Impact of Module Degradation on the Viability of On-Grid Photovoltaic Systems in Mediterranean Climate: The Case of Shymkent Airport

Zhalgas Smagulov (Department of Mechanical and Aerospace Engineering, School of Engineering and Digital Sciences, Nazarbayev University)
Adil Anapiya (Department of Mechanical and Aerospace Engineering, School of Engineering and Digital Sciences, Nazarbayev University)
Dinara Dikhanbayeva (Department of Mechanical and Aerospace Engineering, School of Engineering and Digital Sciences, Nazarbayev University)
Luis Rojas-Solorzano (Department of Mechanical and Aerospace Engineering, School of Engineering and Digital Sciences, Nazarbayev University)

International Journal of Renewable Energy Development
Vol 10, No 1 (2021): February 2021

This paper presents the techno-economic feasibility analysis of an on-grid Photovoltaic Solar System (PVSS) subject to Mediterranean climate aging effects. The PVSS under study is considered installed on the roof of Shymkent airport, located in southern Kazakhstan. A PVSS performance degradation rate of 1.48%-per-annun was considered according to the Mediterranean climate prevailing in the location. A 25-year life-cycle cost analysis comparing the rated vs. de-rated on-grid PVSS led to a positive Net Present Value (NPV), a less than 9-year equity payback, and favorable internal rate of return (IRR) and Benefit-to-Cost (B-C) ratio in both conditions. However, the de-rated PVSS system underperformed in 16.2%, 43.5% and 20% the IRR, NPV and B-C ratio, respectively. The analysis demonstrates that despite the expected performance degradation associated to climatic aging, a convenient feed-in tariff (FIT) and attractive financial conditions, such as those present in Kazakhstan, conform a robust setting to promote on-grid PVSS in the country.