Sustainable energy is central to achieving the global Sustainable Development Goals (SDGs), particularly in electrifying underserved communities. This study examines Sigulu Island, which lacks grid electricity and relies on costly, polluting diesel generators. On-site assessments revealed a daily load demand of 1,455.705 kWh. This study designed and analyzed a Sustainable Techno-economic Hybrid Renewable Energy System (STHRES) combining solar photovoltaics and wind turbines, with battery backup, to meet the island's energy needs. The research adopted both qualitative and quantitative methods, gathering atmospheric weather conditions specific to Sigulu Island. Solar panels and wind turbines were identified as the most viable options, with the system incorporating 677 units of 1 kW solar panels and 27 units of 1 kW wind turbines, generating 839.97 kW and 640.08 kW daily, respectively. Additionally, 527 Li-ion batteries were used to store approximately 1480.05 kW of surplus energy demand to manage fluctuations capable of sustaining the island for 8 hours during a total blackout. The initial installation costs are estimated at $90,393.04 for solar PV, $27,729.82 for wind turbines, $159,169.81 for batteries, and $92,407.00 for the inverter. The STHRES is projected to save $56,917.93 annually, covering 15.4 % of the installation costs compared to diesel operations. Moreover, this system will reduce Uganda's carbon footprint by 436,035.6 kgCO₂ annually, equivalent to a 0.01 % reduction in national emissions. The proposed system decreases the Net Present Cost (NPC) from $426,617.60 to $369,699.67 and the Cost of Energy (COE) from $32.12/kWh to $ 27.79/kWh. With a 9 % Internal Rate of Return (IRR) and a 3 % Return on Investment (ROI), STHRES has a payback period of 8.2 years, demonstrating its financial and environmental benefits for Sigulu Island.