Techno-economic study is needful to optimize the usage of renewable energy components that targeting low cost of electricity generation system. The selected case study area is coastal area in Pekan, Pahang, Malaysia. The autonomous system designed in this study is hybrid standalone PV-wind-diesel energy system to fulfil a 20.1 kWh/day demand for a coastal housing. Such power system was designed and optimized further to meet the power demand at a minimum cost of energy using energy optimization software, Hybrid Optimization Model for Electric Renewables (HOMER). The analysis was focused on the operational characteristics, economics and environmental. The standalone PV-wind-diesel energy system has total net present cost about $61, 911 with cost of energy $0.66/kWh. Apparently, the generation of electricity from both wind turbine and PV was inflated with the diesel generator system. From the payback period calculation, time taken to recover full capital invested through the installation of hybrid PV-wind-diesel is six years. Moreover, the installation of diesel generator should be optimizing in order to mitigate the environmental emissions
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