On the economics of stand-alone renewable hybrid power plants in remote regions

Highlights: • Economic evaluation of three renewable hybrid power plants for off-grid operation. • The high electricity cost of remote regions increases the competitiveness of renewable energy. • The proposed plants are economically viable when compared to the existing situation. • The zero direct emissions of the plants constitute an additional advantage of the plants. - Abstract: In recent years ever more examples of regions that have managed to achieve or orientate themselves toward renewable energy sufficiency are emerging. However, actions to create energy autonomy are mainly the result of isolated activities and they are less driven from fully organized movements. In addition, total energy independence without the support of a centralized electrical grid is yet to be achieved. The objectives of this work are to investigate the associated costs of stand-alone renewable hybrid power plants on a Greek island and compare them to the cost of the currently used fossil-fuel-based conventional plant. The plants examined here are designed to fully cover the electricity needs of the island. Islands may face numerous energy problems and rely heavily on foreign and environmentally-harmful fuels. It is shown that the relatively high cost of electricity of such a remote region can increase the competitiveness and promote the wider incorporation of technologies based on renewable energy sources that may, in other cases, seem economically inferior to business-as-usual energy solutions.