Abstract

The devastating effects of fossil fuels on the environment, limited natural sources and increasing demand for energy across the world make renewable energy sources more important than in the past. The 2015 United Nations Climate Change Conference resulted in a global agreement on net zero CO2 emissions shortly after the middle of the twenty-first century, which will lead to a collapse of fossil fuel demand. The focus of the study is to define a cost optimal 100% renewable energy system in Iran by 2030 using an hourly resolution model. The optimal sets of renewable energy technologies, least-cost energy supply, mix of capacities and operation modes were calculated and the role of storage technologies was examined. Two scenarios have been evaluated in this study: a country-wide scenario and an integrated scenario. In the country-wide scenario, renewable energy generation and energy storage technologies cover the country’s power sector electricity demand. In the integrated scenario, the renewable energy generated was able to fulfil both the electricity demand of the power sector and the substantial electricity demand for water desalination and synthesis of industrial gas. By adding sector integration, the total levelized cost of electricity decreased from 45.3 to 40.3 €/MWh. The levelized cost of electricity of 40.3 €/MWh in the integrated scenario is quite cost-effective and beneficial in comparison with other low-carbon but high-cost alternatives such as carbon capture and storage and nuclear energy. A 100% renewable energy system for Iran is found to be a real policy option.

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