A comparison between the wind energy system and the solar energy system in feeding areas isolated from the grid in terms of economic feasibility.
Year: 2024
Type: article
Abstract: Remote areas often lie in difficult-to-reach locations, such as mountainous or rugged terrains, which makes extending electricity infrastructure both costly and challenging. The sparse population and distance from economic hubs further deter investments, as the return on investment is typically low. This research deals with the economic feasibility analysis of two solar and wind energy projects over 20 years, focusing on calculating a set of financial factors such as monthly revenues, operating costs, monthly and cumulative cash flows, and taxes due on revenues and the capital payback period for each project was also calculated in addition to their Net Present Value (NPV) and the monthly cash flows were calculated through the revenues resulting from the sale of energy generated from solar and wind systems, in addition to calculating the operating costs that include maintenance and operation. Revenues and costs were adjusted annually using the inflation factor (3%), which reflects the economic reality and the results of the financial analysis showed that solar energy is the most economically viable option compared to wind energy. Keyword: solar energy - wind energy -Economic feasibility -Isolated areas.
DOI: 10.62341/mkym1848
Authors: Yosef Mohemmad Abolkasem, M. K. Jalboub
Language: English
Subfield: Energy Engineering and Power Technology
Field: Energy
Domain: Physical Sciences
Open Access status: hybrid
OpenAlex ID: W4405739185