Multipurpose renewable energy resources based hybrid energy system for remote community in northern Ghana

Abstract

Many developing countries face the triple problems of unreliable supply of electricity, inadequate access to good drinking water supply and insecurity. The problem of electricity and water supply are more pronounced in remote areas due to lack of utility grid extension. This study examines the feasibility of using hybrid energy system consisting of solar PV and biodiesel generators in meeting the electricity and domestic water needs of a remote community in Ghana. The Hybrid Optimization Model for Electric Renewable (HOMER) software was used to carry out the analysis presented in this study. A daily electrical load of 104kWh/day to meet the need of 100 households, small-scale businesses and a central water pumping system is estimated. Five different initial investment support scenarios, are considered: 100%, 75%, 50%, 25% and 0%. The results show a rather poor load profile (load factor of 12.26%) and a levelized cost of electricity (LCOE) of US$0.76/kWh at full cost (100% cost). The LCOE declines to US$.20/kWh when the entire upfront cost of the project is grant-financed. Compared with end-user tariff of US$0.10/kWh for lifeline customers in Ghana, beneficiaries of this PV-based mini-grid system will pay up to 200% more, even under full-grant finance conditions for maintenance of the system. Such interventions often replace inferior and health-threatening options such kerosene lamps, candles and in some cases outright darkness. Although the system is relatively expensive from a purely financial point of view, social equity considerations, together with innovative approaches encouraging daytime use of electricity for productive activities can help sustain such mini-grid solutions.