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Accelerating Renewable Energy Integration in Energy Planning Considering the PV Techno-Economics and Hourly Profile, Case Study: Indonesian Power Sector

Author

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  • Ahmad Adhiim Muthahhari

    (Electrical Engineering Technology, Universitas Gadjah Mada, Yogyakarta, Indonesia,)

  • Candra Febri Nugraha

    (Electrical Engineering Technology, Universitas Gadjah Mada, Yogyakarta, Indonesia,)

  • Naufal Hilmi Fauzan

    (Department of Electrical and Information Engineering, Universitas Gadjah Mada, Yogyakarta, Indonesia.)

  • Lukman Subekti

    (Electrical Engineering Technology, Universitas Gadjah Mada, Yogyakarta, Indonesia,)

  • Rizki Firmansyah Setya Budi

    (Research Center for Nuclear Reactor Technology, National Research and Innovation Agency Banten, Indonesia.)

Abstract

In planning for the generation capacity expansion planning, it is crucial to consider the economics of scale and the availability of primary energy sources. Solar power generation or PV PP is a plant that is very dependent on the availability of solar irradiance and land. To achieve Net Zero Emission by 2060, the Indonesian government aims to increase PV capacity to 4.68 GW. To support the accelerated integration of PV power plants into the electrical system and fulfill economic and sustainable aspects, the ideal capacity of PV power plants needs to be considered. This study involves optimization and comparison with various scenarios to determine the optimal combination for PV power plant planning. In the optimization process, Mixed Integer Linear Programming (MILP) is used, assuming a load of 100 MW and various PV profiles. Based on the optimization results, to meet a 100 MW load, 138 MW of PV power plants are required, with a configuration of 125 MW for large-scale PV PP, 10 MW for medium-scale PV PP, and 3 MW for rooftop PV PP. The total cost needed is 11,445 thousand dollars, with an levelized cost of electricity (LCOE) of 4.75 c$/kWh. This value is significantly lower compared to other scenarios. To supply for 24 h, PV PP can utilize BESS, with an LCOE reaching 7.79 c$/kWh when optimal capacity and generation are achieved. The recommendation for determining the capacity of PV PP is to use the large-scale capacity scheme, both for daytime supply systems and for the 24-h scheme.

Suggested Citation

  • Ahmad Adhiim Muthahhari & Candra Febri Nugraha & Naufal Hilmi Fauzan & Lukman Subekti & Rizki Firmansyah Setya Budi, 2024. "Accelerating Renewable Energy Integration in Energy Planning Considering the PV Techno-Economics and Hourly Profile, Case Study: Indonesian Power Sector," International Journal of Energy Economics and Policy, Econjournals, vol. 14(2), pages 490-498, March.
    • Handle: RePEc:eco:journ2:2024-02-50
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    References listed on IDEAS

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    1. Pereira, Sérgio & Ferreira, Paula & Vaz, A.I.F., 2017. "Generation expansion planning with high share of renewables of variable output," Applied Energy, Elsevier, vol. 190(C), pages 1275-1288.
    2. Luz, Thiago & Moura, Pedro & de Almeida, Aníbal, 2018. "Multi-objective power generation expansion planning with high penetration of renewables," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2637-2643.
    3. Rizki Firmansyah Setya Budi & Sarjiya Sarjiya & Sasongko Pramoho Hadi, 2022. "The Prospect of Rooftop Photovoltaic Development Considering Global Horizontal Irradiation Uncertainty and Government Policies: A Case of Java Island, Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 12(4), pages 104-116, July.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Photovoltaic Power Plant; Economic of Scale Photovoltaic Power Plant; Net Zero Emission; RE Integration; levelized cost of electricity; Battery energy storage systems;
    All these keywords.

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • Q21 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Demand and Supply; Prices
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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