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The economics of solar PV self-consumption in Thailand

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  • Tongsopit, Sopitsuda
  • Junlakarn, Siripha
  • Wibulpolprasert, Wichsinee
  • Chaianong, Aksornchan
  • Kokchang, Phimsupha
  • Hoang, Nghia Vu

Abstract

Declining prices of solar photovoltaic modules and consumers' interest in green electricity production are driving the prevalence of electricity “prosumers” worldwide. Prosumers are electricity consumers who produce electricity for their own consumption, using distributed energy technologies including distributed solar photovoltaics (DPVs). Many jurisdictions around the world are adjusting to this changing energy landscape by reforming their policies to support self-production and self-consumption of electricity. This paper analyzes the economics of electricity self-consumption of DPV electricity in Thailand. Based on our study, we assess the feasibility of DPV self-consumption schemes for four customer groups. Among the three schemes assessed, (no compensation for excess electricity, net metering, and net billing), all customer classes are profitable and net metering offers the most customer benefits. However, we recommend net billing for policy adoption, not only because of its sufficient level of economic viability but also its flexibility in addressing broad stakeholders' concerns. Our analytical approach captures in detail how DPV sizing relative to the load may be impacted by those compensation mechanisms. Our methodology can be replicated by countries that would like to develop or reform their national-level DPV self-consumption policies during an energy transition.

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  • Tongsopit, Sopitsuda & Junlakarn, Siripha & Wibulpolprasert, Wichsinee & Chaianong, Aksornchan & Kokchang, Phimsupha & Hoang, Nghia Vu, 2019. "The economics of solar PV self-consumption in Thailand," Renewable Energy, Elsevier, vol. 138(C), pages 395-408.
    • Handle: RePEc:eee:renene:v:138:y:2019:i:c:p:395-408
    DOI: 10.1016/j.renene.2019.01.087
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    5. Suntiti Yoomak & Theerasak Patcharoen & Atthapol Ngaopitakkul, 2019. "Performance and Economic Evaluation of Solar Rooftop Systems in Different Regions of Thailand," Sustainability, MDPI, vol. 11(23), pages 1-20, November.
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    12. Pei Huang & Xingxing Zhang & Benedetta Copertaro & Puneet Kumar Saini & Da Yan & Yi Wu & Xiangjie Chen, 2020. "A Technical Review of Modeling Techniques for Urban Solar Mobility: Solar to Buildings, Vehicles, and Storage (S2BVS)," Sustainability, MDPI, vol. 12(17), pages 1-37, August.
    13. Beuse, Martin & Dirksmeier, Mathias & Steffen, Bjarne & Schmidt, Tobias S., 2020. "Profitability of commercial and industrial photovoltaics and battery projects in South-East-Asia," Applied Energy, Elsevier, vol. 271(C).
    14. Matthias Linhart & Valerie Rodin & Simon Moser & Andrea Kollmann, 2021. "Citizen Participation to Finance PV Power Plants Focused on Self-Consumption on Company Roofs—Findings from an Austrian Case Study," Energies, MDPI, vol. 14(3), pages 1-20, January.
    15. Aksornchan Chaianong & Athikom Bangviwat & Christoph Menke & Naïm R. Darghouth, 2019. "Cost–Benefit Analysis of Rooftop PV Systems on Utilities and Ratepayers in Thailand," Energies, MDPI, vol. 12(12), pages 1-26, June.
    16. Wichsinee Wibulpolprasert & Umnouy Ponsukcharoen & Siripha Junlakarn & Sopitsuda Tongsopit, 2021. "Preliminarily Screening Geographical Hotspots for New Rooftop PV Installation: A Case Study in Thailand," Energies, MDPI, vol. 14(11), pages 1-30, June.
    17. Kirsten Gram-Hanssen & Anders Rhiger Hansen & Mette Mechlenborg, 2020. "Danish PV Prosumers’ Time-Shifting of Energy-Consuming Everyday Practices," Sustainability, MDPI, vol. 12(10), pages 1-19, May.
    18. Alhammami, Hasan & An, Heungjo, 2021. "Techno-economic analysis and policy implications for promoting residential rooftop solar photovoltaics in Abu Dhabi, UAE," Renewable Energy, Elsevier, vol. 167(C), pages 359-368.
    19. Codina, Eloi & Domenech, Bruno & Juanpera, Marc & Palomo-Avellaneda, Leopold & Pastor, Rafael, 2023. "Is switching to solar energy a feasible investment? A techno-economic analysis of domestic consumers in Spain," Energy Policy, Elsevier, vol. 183(C).
    20. Alessandro Burgio & Daniele Menniti & Nicola Sorrentino & Anna Pinnarelli & Zbigniew Leonowicz, 2020. "Influence and Impact of Data Averaging and Temporal Resolution on the Assessment of Energetic, Economic and Technical Issues of Hybrid Photovoltaic-Battery Systems," Energies, MDPI, vol. 13(2), pages 1-26, January.
    21. Chaianong, Aksornchan & Bangviwat, Athikom & Menke, Christoph & Breitschopf, Barbara & Eichhammer, Wolfgang, 2020. "Customer economics of residential PV–battery systems in Thailand," Renewable Energy, Elsevier, vol. 146(C), pages 297-308.

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