Achieving Techno-Economic Feasibility for Hybrid Renewable Energy Systems through the Production of Energy and Alternative Fuels

Abstract

In developing countries like Ghana, the conversion of waste into energy is gaining greater interest among policy makers and researchers. The present study investigates the feasibility of producing electricity and/or fuels from a hybrid waste-to-energy pilot plant located in the Ashanti Region of Ghana. The plant integrates three technologies: anaerobic digestion, pyrolysis and solar PV. The plant has the potential to produce both energy and fuels such as green hydrogen, refuse derived fuels, bio-compressed natural gas and compost. Thus, this study compares the financial feasibility of three scenarios—generating electricity and fuels, generating electricity alone and generating fuels alone—by modelling their energy output and financial performance using RETSCREEN expert 6.0.7.55 and Microsoft Excel 2019 softwares. The results indicate that the multiple products of electricity and fuels provide higher investment interest with a Net Present Value in excess of EUR 13 million and a payback period of 12 years compared to the electricity-only model. Also, converting electricity into fuels alone also provides substantial benefits which can be explored. However, the Levelized Cost of Energy, ranging from 0.3 to 0.68 EUR/kWh, is far above the average residential End User tariff. Overall, this study provides an important methodology for assessing the potential products of future projects.