Researchers in Saudi Arabia have identified the best and optimum PV system configurations for the Saudi residential market. Their analysis investigated the capacity threshold that leads to a lower cost of electricity compared to grid electricity costs. They used NREL’s HOMER software to analyze the energy requirements of the residential units, the solar energy potential and weather characteristics of the selected location, and the financial parameters influencing a project’s profitability.

An international research group has outlined a techno-economic optimization methodology for deploying residential PV systems in Saudi Arabia.

“Our study provides valuable insights for policymakers and stakeholders, helping them understand the renewable energy landscape and make informed decisions to promote sustainable development and clean energy transitions in Saudi Arabia,” the research’s lead author, Khaled Mohammad Saeed Almohammadi, told pv magazine.

“Our findings also showed that the minimum renewable fractions required for achieving competitive cost of energy (COE) values varied across cities, ranging from 30% in Al Wajh to 58% in Hafar AlBatin, indicating different levels of reliance on renewable energy,” he added. “The combination of natural resources, government initiatives, technological advancements, and economic factors makes rooftop PV systems a highly feasible and attractive option in Saudi Arabia.”

The researchers explained that their techno-economic analysis for grid-connected residential solar PV embraces 19 Saudi cities and is intended to identify the best and optimum PV system configurations for the Saudi residential market. Their analysis investigated the threshold of capacity that leads to a lower cost of electricity (COE) compared to the current grid electricity cost.

The proposed methodology uses the US National Renewable Energy Laboratory’s (NREL) HOMER software and considers the energy requirements of the residential units, the solar energy potential and weather characteristics of the selected location, and the financial parameters influencing a project’s profitability.

“With detailed simulation outputs provided by HOMER Pro, important metrics such as energy generation, system reliability, and grid consumption can be examined to assess the feasibility and effectiveness of the designed systems,” the scientists explained.

Through the analysis, the research team found that Hail, Sakaka, and Jeddah are the locations offering the best tradeoff between renewable fraction (RF) and net present cost (NPC), with NPC values being close to $18,400 and an RF of 47%, and the closeness index for these three sites being 0.57.

Furthermore, the analysis showed that Taif and Al Hofuf ranked fourth and fifth, respectively, with similar closeness indices of approximately 0.58. “Taif was found to be more economical, with a lower NPC, while Al Hofuf excelled in terms of renewable fraction, showcasing a higher value,” the academics stated, adding that Mecca and Tabuk secured the sixth rank, with NPC values ranging from $16,000 to $16,500 and RF of 43–44%.

“The combination of natural resources, government initiatives, technological advancements, and economic factors makes rooftop PV systems a highly feasible and attractive option in Saudi Arabia,” Almohammadi stated, noting that installation cost affordability and public awareness are the main barriers. “Smart metering is available in all Saudi houses. These devices were installed by the government in the last 5 to 7 years. This makes rooftop PV installations in the residential sector ready to be implemented.”

The research’s findings are available in the study “Techno-economic assessment and optimization of grid-connected solar PV systems in Saudi Arabia’s building sector,” published in Utilities Policy. The research was conducted by scientists from Saudi Arabia’s Taibah University and Morocco’s Ecole Superieure de Technologie de Fes.