Financial Implications of Rooftop Solar Penetration in Sri Lanka from Utility Point of View

Abstract

Solar is one of the fast growing and economical renewable power generation sources. The intention of development of solar power generation is to promote clean energy while addressing the basic requirement of uninterrupted and reliable electricity supply.The Sri Lankan government decided to adopt a policy that would use subsidies to encourage the growth of solar PV-based electricity. As a result, the market developed with a large number of customers eager to install solar rooftop systems, and they received strong assistance from solar power service providers. Hence, the utility is required to absorb the solar energy produced and this study focuses on the impact of solar penetration to the utility.System dispatch data for year 2019 and rooftop solar generation data for a period of 6 months of year 2019 were considered for the analysis in this paper. The model compares the financials of two scenarios to estimate the impact to the utility. The base case scenario, which is business as usual with the already installed solar generation in the system and No solar scenario which assumes that there is no solar in the system and therefore the demand is met by other available generation capacities in the system.This paper examines the two scenarios with careful calculations of how the system can still run without solar in the system. Daily demand patterns were also analysed and then expanded to months and summarized for the year. This research focuses the financial impact of solar electricity penetration to the national grid and how everyone can still be benefitted.