High Renewable Energy (Solar Photovoltaics and Wind) Penetration Hybrid Energy Systems for Deep Decarbonization in Philippine Off-grid Areas

The Philippines has many off-grid areas relying on diesel generators for energy access, but have high greenhouse gas emissions, high electricity costs, and intermittent operation. An opportunity to decarbonize the energy system of off-grid islands is by harnessing both solar photovoltaic (PV) and wind power. This work evaluates the techno-economic viability of putting up solar PV-wind-battery-diesel hybrid energy systems in 143 existing off-grid island areas operated by the National Power Corporation-Small Power Utilities Group (NPC-SPUG) using HOMER® Pro. The application obtains the optimal system component sizes with the least levelized cost of electricity (LCOE). The results suggest that there are 137 islands capable of using both solar PV and wind generation, 4 islands using solar PV only, and 2 islands using wind only. The hybrid energy systems in the sample islands require USD 774,171,061 (~ PHP 40,643,980,682) worth of investment cost with potential annual savings of USD 132,403,163 (~ PHP 6,951,166,051). The resulting system capacities and their corresponding LCOEs suggest high sensitivity towards wind potential due to lower capital cost of wind and potential higher energy share up to 58.47 %. Wind generation for off-grid islands should be considered alongside solar PV, especially in areas with high wind potential, to provide reliable energy access and reduce greenhouse gas emissions.