Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region

The inclusion of photovoltaic energy in the Colombian energy matrix has had several difficulties due to the lack of energy policies and regulations in renewable energy projects. The lack of government support with subsidies that extend the coverage of PV energy projects in residential areas has made...

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Autores:
Ospino C., Adalberto
Robles Algarín, Carlos
Tobón-Perez, Juan
Peña Gallardo, Rafael
Acosta-Coll, Melisa
Tipo de recurso:
Article of journal
Fecha de publicación:
2020
Institución:
Corporación Universidad de la Costa
Repositorio:
REDICUC - Repositorio CUC
Idioma:
eng
OAI Identifier:
oai:repositorio.cuc.edu.co:11323/7976
Acceso en línea:
https://hdl.handle.net/11323/7976
https://doi.org/10.32479/ijeep.9560
https://repositorio.cuc.edu.co/
Palabra clave:
PV systems
Net metering
Discounted cash flow method
Optimal debt rati
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openAccess
License
CC0 1.0 Universal
id RCUC2_fbfb5f7a659491c495e457658c065bba
oai_identifier_str oai:repositorio.cuc.edu.co:11323/7976
network_acronym_str RCUC2
network_name_str REDICUC - Repositorio CUC
repository_id_str
dc.title.spa.fl_str_mv Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
title Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
spellingShingle Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
PV systems
Net metering
Discounted cash flow method
Optimal debt rati
title_short Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
title_full Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
title_fullStr Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
title_full_unstemmed Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
title_sort Financing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean region
dc.creator.fl_str_mv Ospino C., Adalberto
Robles Algarín, Carlos
Tobón-Perez, Juan
Peña Gallardo, Rafael
Acosta-Coll, Melisa
dc.contributor.author.spa.fl_str_mv Ospino C., Adalberto
Robles Algarín, Carlos
Tobón-Perez, Juan
Peña Gallardo, Rafael
Acosta-Coll, Melisa
dc.subject.spa.fl_str_mv PV systems
Net metering
Discounted cash flow method
Optimal debt rati
topic PV systems
Net metering
Discounted cash flow method
Optimal debt rati
description The inclusion of photovoltaic energy in the Colombian energy matrix has had several difficulties due to the lack of energy policies and regulations in renewable energy projects. The lack of government support with subsidies that extend the coverage of PV energy projects in residential areas has made the collection of funds more challenging. This paper presents a techno-economic analysis for the implementation of grid-connected photovoltaic projects on the roofs of residential areas, under the net metering policy framework. For the profitability analysis, the discounted cash flow (DCF) method was used. The revenues were obtained from the forecasts of the electrical power production of the PV system, based on the characteristics of the Colombian Caribbean Region. For this purpose, the meteorological data (2013-2017) of this region were used as an input for the calculation of the economic benefits that can be achieved with the implementation of PV systems. Based on the technical sizing and economic assumptions, it was proved that the DCF method allows to accurately determine the optimal debt ratio. After evaluating the three scenarios proposed, it was demonstrated that profitability and self-sustainability, with investment from creditors, is obtained from the implementation of PV systems of at least 3 kWp.
publishDate 2020
dc.date.issued.none.fl_str_mv 2020-08-22
dc.date.accessioned.none.fl_str_mv 2021-03-10T15:23:18Z
dc.date.available.none.fl_str_mv 2021-03-10T15:23:18Z
dc.type.spa.fl_str_mv Artículo de revista
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dc.type.content.spa.fl_str_mv Text
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dc.type.version.spa.fl_str_mv info:eu-repo/semantics/acceptedVersion
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dc.identifier.issn.spa.fl_str_mv 21464553
dc.identifier.uri.spa.fl_str_mv https://hdl.handle.net/11323/7976
dc.identifier.doi.spa.fl_str_mv https://doi.org/10.32479/ijeep.9560
dc.identifier.instname.spa.fl_str_mv Corporación Universidad de la Costa
dc.identifier.reponame.spa.fl_str_mv REDICUC - Repositorio CUC
dc.identifier.repourl.spa.fl_str_mv https://repositorio.cuc.edu.co/
identifier_str_mv 21464553
Corporación Universidad de la Costa
REDICUC - Repositorio CUC
url https://hdl.handle.net/11323/7976
https://doi.org/10.32479/ijeep.9560
https://repositorio.cuc.edu.co/
dc.language.iso.none.fl_str_mv eng
language eng
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Akter, M.N., Mahmud, M.A., Oo, A.M. (2017), Comprehensive economic evaluations of a residential building with solar photovoltaic and battery energy storage systems: An Australian case study. Energy and Buildings, 138, 332-346
Asumadu, S.S., Owusu, P.A. (2016), The potential and economic viability of solar photovoltaic power in Ghana. Energy Sources, Part A: Recovery, Utilization, and Environmental Effects, 38(5), 709-716
Banrep. (2017), Banco de la República, Tasas de Captación Semanales y Mensuales. Available from: http://www.banrep.gov.co/es/tasascaptacion-semanales-y-mensuales. [Last accessed on 2019 Apr 10]
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DANE. (2017), Departamento Administrativo Nacional de Estadística. Encuesta Anual Manufacturera (EAM), 1997-2015. Available from: http://www.dane.gov.co/index.php/estadisticas-portema/industria/ encuesta-anual-manufacturera-enam/eam-historicos. [Last accessed on 2018 Jun 11]
DANE. (2018), Departamento Administrativo Nacional de Estadística. Índice de Precios al Consumidor-IPC. Available from: https://www. dane.gov.co/index.php/estadisticas-por-tema/precios-y-costos/ indice-de-precios-al-consumidor-ipc. [Last accessed on 2018 Jan 15]
Dellosa, J.T. (2015), Financial Payback of Solar PV Systems and Analysis of the Potential IMPACT of Net-metering in Butuan city. Philippines: IEEE 15th International Conference on Environment and Electrical Engineering. p1453-1458.
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Gaona, E.E., Trujillo, C.L., Guacaneme, J.A. (2015), Rural microgrids and its potential application in Colombia. Renewable and Sustainable Energy Reviews, 51, 125-137.
García, J., Gutierrez, A., Tobón, L.V., Velasquez, H. (2018), Smart Grids and Demand Response Mechanism: The Case of the Colombian Electricity Market. United States: Center for Research in Economics and Finance (CIEF), Working Papers, 18-20
Griffiths, S., Mills, R. (2016), Potential of rooftop solar photovoltaics in the energy system evolution of the United Arab Emirates. Energy Strategy Reviews, 9, 1-7.
Ioannou, A.K., Stefanakis, N.E., Boudouvis, A.G. (2014), Design optimization of residential grid-connected photovoltaics on rooftops. Energy and Buildings, 76, 588-596
Jamil, I., Zhao, J., Zhang, L., Jamil, R., Rafique, S.F. (2017), Evaluation of energy production and energy yield assessment based on feasibility, design, and execution of 3×50 MW grid-connected solar PV pilot project in Nooriabad. International Journal of Photoenergy, 2017, 1-18.
Karki, I.B. (2015), Effect of temperature on the IV characteristics of a polycrystalline solar cell. Journal of Nepal Physical Society, 3(1), 35-40
Kumar, N.M., Kumar, M.R., Rejoice, P.R., Mathew, M. (2017), Performance analysis of 100 kWp grid connected Si-poly photovoltaic system using PVsyst simulation tool. Energy Procedia, 117, 180-189.
Lima, D.A. (2019), Stochastic analysis of economic viability of photovoltaic panels installation for big consumers in Brazil. Electric Power Systems Research, 173, 164-172.
Lüdeke-Freund, F., Loock, M. (2011), Debt for brands: Tracking down a bias in financing photovoltaic projects in Germany. Journal of Cleaner Production, 19(12), 1356-1364
Malvoni, M., Leggieri, A., Maggiotto, G., Congedo, P.M., De Giorgi, M.G. (2017), Long term performance, losses and efficiency analysis of a 960 kWP photovoltaic system in the Mediterranean climate. Energy conversion and management, 145, 169-18
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spelling Ospino C., AdalbertoRobles Algarín, CarlosTobón-Perez, JuanPeña Gallardo, RafaelAcosta-Coll, Melisa2021-03-10T15:23:18Z2021-03-10T15:23:18Z2020-08-2221464553https://hdl.handle.net/11323/7976https://doi.org/10.32479/ijeep.9560Corporación Universidad de la CostaREDICUC - Repositorio CUChttps://repositorio.cuc.edu.co/The inclusion of photovoltaic energy in the Colombian energy matrix has had several difficulties due to the lack of energy policies and regulations in renewable energy projects. The lack of government support with subsidies that extend the coverage of PV energy projects in residential areas has made the collection of funds more challenging. This paper presents a techno-economic analysis for the implementation of grid-connected photovoltaic projects on the roofs of residential areas, under the net metering policy framework. For the profitability analysis, the discounted cash flow (DCF) method was used. The revenues were obtained from the forecasts of the electrical power production of the PV system, based on the characteristics of the Colombian Caribbean Region. For this purpose, the meteorological data (2013-2017) of this region were used as an input for the calculation of the economic benefits that can be achieved with the implementation of PV systems. Based on the technical sizing and economic assumptions, it was proved that the DCF method allows to accurately determine the optimal debt ratio. After evaluating the three scenarios proposed, it was demonstrated that profitability and self-sustainability, with investment from creditors, is obtained from the implementation of PV systems of at least 3 kWp.Ospino C., Adalberto-will be generated-orcid-0000-0003-1466-0424-600Robles Algarín, Carlos-will be generated-orcid-0000-0002-5879-5243-600Tobón-Perez, JuanPeña Gallardo, Rafael-will be generated-orcid-0000-0001-7776-6547-600Acosta-Coll, Melisa-will be generated-orcid-0000-0002-5433-0414-600application/pdfengCorporación Universidad de la CostaCC0 1.0 Universalhttp://creativecommons.org/publicdomain/zero/1.0/info:eu-repo/semantics/openAccesshttp://purl.org/coar/access_right/c_abf2International Journal of Energy Economics and Policyhttp://www.econjournals.com/index.php/ijeep/article/view/9560/5460PV systemsNet meteringDiscounted cash flow methodOptimal debt ratiFinancing of residential rooftop photovoltaic projects under a net metering policy framework: the case of the colombian caribbean regionArtículo de revistahttp://purl.org/coar/resource_type/c_6501http://purl.org/coar/resource_type/c_2df8fbb1Textinfo:eu-repo/semantics/articlehttp://purl.org/redcol/resource_type/ARTinfo:eu-repo/semantics/acceptedVersionAbdin, G.C., Noussan, M. (2018), Electricity storage compared to net metering in residential PV applications. Journal of Cleaner Production, 176, 175-186Akter, M.N., Mahmud, M.A., Oo, A.M. (2017), Comprehensive economic evaluations of a residential building with solar photovoltaic and battery energy storage systems: An Australian case study. Energy and Buildings, 138, 332-346Asumadu, S.S., Owusu, P.A. (2016), The potential and economic viability of solar photovoltaic power in Ghana. Energy Sources, Part A: Recovery, Utilization, and Environmental Effects, 38(5), 709-716Banrep. (2017), Banco de la República, Tasas de Captación Semanales y Mensuales. Available from: http://www.banrep.gov.co/es/tasascaptacion-semanales-y-mensuales. [Last accessed on 2019 Apr 10]Burke, M.J., Stephens, J.C. (2018), Political power and renewable energy futures: A critical review. Energy Research and Social Science, 35, 78-93Chamorro, M.V., Silvera, O.C., Ochoa, G.V., Ortiz, E.V., Castro, A.O. (2017), Cálculo de las radiaciones total, directa y difusa a través de la transmisibilidad atmosférica en los departamentos del Cesar, La Guajira y Magdalena (Colombia). Espacios, 38(7), 1-8DANE. (2017), Departamento Administrativo Nacional de Estadística. Encuesta Anual Manufacturera (EAM), 1997-2015. Available from: http://www.dane.gov.co/index.php/estadisticas-portema/industria/ encuesta-anual-manufacturera-enam/eam-historicos. [Last accessed on 2018 Jun 11]DANE. (2018), Departamento Administrativo Nacional de Estadística. Índice de Precios al Consumidor-IPC. Available from: https://www. dane.gov.co/index.php/estadisticas-por-tema/precios-y-costos/ indice-de-precios-al-consumidor-ipc. [Last accessed on 2018 Jan 15]Dellosa, J.T. (2015), Financial Payback of Solar PV Systems and Analysis of the Potential IMPACT of Net-metering in Butuan city. Philippines: IEEE 15th International Conference on Environment and Electrical Engineering. p1453-1458.Dufo-López, R., Bernal-Agustín, J.L. (2015), A comparative assessment of net metering and net billing policies. Study cases for Spain. Energy, 84, 684-694EIA. (2018), Energy Information Administration, Capacity Factors for Utility Scale Generators Primarily Using Fossil Fuels. Available from: https://www.eia.gov/electricity/monthly/epm_table_grapher. php?t=epmt_6_07_b. [Last accessed on 2019 Jan 20]Electrificadora del Caribe S.A. E.S.P. (2018), Tarifas y Subsidios. Available from: http://www.electricaribe.co/tu-energia/#2017. [Last accessed on 2019 Jan 15]Eras, J.J.C., Morejón, M.B., Gutiérrez, A.S., García, A.P., Ulloa, M.C., Martínez, F.J.R., Rueda-Bayona, J.G. (2018), A look to the electricity generation from non-conventional renewable energy sources in Colombia. International Journal of Energy Economics and Policy, 9(1), 15-25.Gaona, E.E., Trujillo, C.L., Guacaneme, J.A. (2015), Rural microgrids and its potential application in Colombia. Renewable and Sustainable Energy Reviews, 51, 125-137.García, J., Gutierrez, A., Tobón, L.V., Velasquez, H. (2018), Smart Grids and Demand Response Mechanism: The Case of the Colombian Electricity Market. United States: Center for Research in Economics and Finance (CIEF), Working Papers, 18-20Griffiths, S., Mills, R. (2016), Potential of rooftop solar photovoltaics in the energy system evolution of the United Arab Emirates. Energy Strategy Reviews, 9, 1-7.Ioannou, A.K., Stefanakis, N.E., Boudouvis, A.G. (2014), Design optimization of residential grid-connected photovoltaics on rooftops. Energy and Buildings, 76, 588-596Jamil, I., Zhao, J., Zhang, L., Jamil, R., Rafique, S.F. (2017), Evaluation of energy production and energy yield assessment based on feasibility, design, and execution of 3×50 MW grid-connected solar PV pilot project in Nooriabad. International Journal of Photoenergy, 2017, 1-18.Karki, I.B. (2015), Effect of temperature on the IV characteristics of a polycrystalline solar cell. Journal of Nepal Physical Society, 3(1), 35-40Kumar, N.M., Kumar, M.R., Rejoice, P.R., Mathew, M. (2017), Performance analysis of 100 kWp grid connected Si-poly photovoltaic system using PVsyst simulation tool. Energy Procedia, 117, 180-189.Lima, D.A. (2019), Stochastic analysis of economic viability of photovoltaic panels installation for big consumers in Brazil. Electric Power Systems Research, 173, 164-172.Lüdeke-Freund, F., Loock, M. (2011), Debt for brands: Tracking down a bias in financing photovoltaic projects in Germany. Journal of Cleaner Production, 19(12), 1356-1364Malvoni, M., Leggieri, A., Maggiotto, G., Congedo, P.M., De Giorgi, M.G. (2017), Long term performance, losses and efficiency analysis of a 960 kWP photovoltaic system in the Mediterranean climate. Energy conversion and management, 145, 169-18Miranda, R.F., Szklo, A., Schaeffer, R. 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