Integrated Energy and Economic Model for Rooftop Photovoltaics on Distribution System

Abstract

The penetration of rooftop photovoltaics (PVs) in residential sector has a significant impact to the distribution system. The impact is not only on the technical sides but also on the economic sides. This study proposes Integrated Energy and Economic Model (IEEM) which integrates electricity generation, load profiles, economic assumptions and electricity regulation. It is developed by employing econometric spreadsheet program. IEEM investigates the effect of the PVs on the national electricity cost and electricity tariff. Spreadsheet calculation is used to determine the PVs energy production in Jakarta distribution system. Load profiles is obtained through data of residential customers in Jakarta distribution system. Both economic assumptions and electricity regulation are outlined based on Indonesian Government regulation. From the technical sides, PVs decreases the usage of distribution transformers to less than 80% of transformers load. The economic sides gives insight that PVs not only decreases the electricity sales and distribution business income, but also makes a long payback period on the distribution network investment. In further, the model calculation results show that the increasing of PVs has an impact on increasing the utility electricity cost, while residential electricity tariffs remained. This study can give a consideration for decision makers in state-owned utility to re-arrange their tariff structure and PVs policies for the feasibility of PVs projects in residential sector. This model can be applicable to any location by changing the generation, load profiles, relevant economic assumptions and electricity regulation.