Levelized cost of energy and cash flow for a hybrid solar-wind-diesel microgrid on Rottnest island

Abstract

This paper focuses on the selection of an appropriate standalone electricity supply system for a small island of Western Australia, Australia. To reduce the cost of electricity generation and to determine the most economically feasible solution for this island, several configurations are considered. The considered systems vary from a fully diesel generator-based option towards a hybrid system composed of diesel generators, wind turbines, solar farm and battery energy storage. Each system is analyzed by HOMER software and using the real demand data of the island, as well as the prices of different electrical components in the Australian market. The system which yields the minimum lev-elized cost of energy over the project's lifespan and the minimum net present cost is identified and suggested as the most economic option.