The Role of Digitalization in Microgrid Including Renewable Energy Sources

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Abstract:

Hybrid renewable energy systems (HRES) with potential environmental, economic and social benefits are designed to improve energy efficiency and reliability. In this study, artificial intelligence and smart grids were studied to supply electricity for a green cottage. The obtained results are essential for designing, implementing, and building HRES. Three cost-benefit and environmental, economic scenarios were assessed. The first scenario aimed for a 23.8% renewable energy penetration. The second scenario aimed for "renewable and cost-effective" with a 54% renewable energy penetration rate. The third scenario aimed to supply the green cottage Electrical energy with renewable energy entirely. Using the first scenario, with average daily fuel consumption of 1.11 liters, the annual hybrid renewable energy conversion system produces 1697 kWh of energy, with a net present value (NPV) of $553.68 and an internal rate of return (IRR) of 21.49% and a payback period of 15.71 years. In the second scenario, with average daily fuel consumption of 0.694 liters, total annual energy production is 1652 kWh, NPV is $341.47, IRR is 19.5%, and the payback period is 17.61 years. In the third scenario, the system produced 1933 kWh per year, with an NPV of -372.9 dollars and an IRR of 15.08 percent. This scenario has financially not feasible, and the depreciation and return on investment periods are outside the project life. The least effective is on fixed assets and increasing the feed-in tariff of renewable energy is the most important factor in project economics, followed by reducing operating costs. 

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Journal title

volume 7  issue 3

pages  0- 0

publication date 2021-11

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