Economic Analysis of Residential Distributed Solar Photovoltaic

Abstract

Under the huge challenges of global energy conservation, emission reduction and energy security, distributed solar photovoltaic industry has become the key means to achieve economic restructuring and low carbon economy. Based on System Advisor Model software, the authors choose Baoji as the sample plot. Household load, unit investment, loan interest rate and loan fraction are used as influence factors to analyze the economic benefits of distributed solar photovoltaic in China. The result demonstrates that government incentives help to increase the profitability of distributed solar photovoltaic by a large extent; other factors that influence the profitability includes household load, unit investment cost, loan interest rate and loan fraction.

Graphical abstract

Keywords

distributed solar photovoltaic / internal rate of return / price ladder / government incentives

References

[1] International Renewable Energy Agency. (2015). Renewable power generation costs in 2014. Bonn: International Renewable Energy Agency (IRENA)

[2] National Development and Reform Commission. (2013). The notice on leveraging the healthy development of solar photovoltaic industry by tariff policy (NDRC Price Issues, No.1638, 2013). Beijing: National Development and Reform Commission.

[3] National Renewable Energy Laboratory. (2014). System advisor model (version 2014.11.24)[Computer software]. Golden, Colorado: Alliance for Renewable Energy, LLC

[4] The People’s Government of Shaanxi Province. (2014). Policy on promoting demonstration program of distributed solar photovoltaic (Shaanxi Government Issues, No. 37, 2014). Xi’an: The People’s Government of Shaanxi Province.

RIGHTS & PERMISSIONS

2015 The Author(s) 2015.This article is published with open access at engineering.cae.cn