Cost benefit analysis of a photovoltaic-energy storage electrification solution for remote islands

Abstract

A large number of various sized islands are spread throughout the south-east Mediterranean Sea. Most of these small islands face serious infrastructure problems, like the insufficient power supply and the low quality of electricity available at very high production cost. In an attempt to improve the life quality of all these isolated communities, an investigation concerning the financial viability of an integrated electrification solution based on one or more photovoltaic generators and an appropriate energy storage system is described. The main target of a similar solution is to maximize the contribution of the photovoltaic generator and minimize the life-cycle electricity generation cost of the remote island networks investigated. In addition, special emphasis is given in order to select the most cost-efficient energy storage configuration available. According to the results obtained for high and medium–high solar potential regions, the proposed configuration is found to be more cost-effective than the existing thermal power stations. Several side benefits like the improved electrical network reliability and the minimization of the environmental and macroeconomic impacts resulting from the replacement of the imported oil should also be considered.