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Citizen Participation to Finance PV Power Plants Focused on Self-Consumption on Company Roofs—Findings from an Austrian Case Study

Author

Listed:
  • Matthias Linhart

    (Department of Energy Economics, Energy Institute at the Johannes Kepler University, A-4040 Linz, Austria)

  • Valerie Rodin

    (Department of Energy Technology, Energy Institute at the Johannes Kepler University, A-4040 Linz, Austria)

  • Simon Moser

    (Department of Energy Economics, Energy Institute at the Johannes Kepler University, A-4040 Linz, Austria)

  • Andrea Kollmann

    (Department of Energy Economics, Energy Institute at the Johannes Kepler University, A-4040 Linz, Austria)

Abstract

Despite large amounts of available roof space, long pay-back periods for investments in photovoltaic (PV) power plants often hinder PV installations in industrial parks. Photovoltaic citizen participation initiatives (PV-CPI) are an alternative way of financing PV power plants that add non-financial benefits to these investments. This paper analyzed the feasibility of the installation of PV power plants focused on high rates of self-consumption financed by citizen participation initiatives on the roofs of five companies located in the Austrian Ennshafen industrial business park based on the net present value and the discounted pay-back period and compared it to a standard financing scheme, assuming a predetermined interest rate for participants as well as economies of scale with respect to the specific installation costs due to a joint purchase of the PV power plants. To calculate the feasibility, site-specific data and literature input have been used. The results show that despite an interest rate above the current interest rates of conservative forms of investments provided to (small-scale) investors, a payback-period of 17–23 years can be reached while the joint purchase can lead to a competitive feasibility of the PV-CPI compared to an individual purchase of PV power plants.

Suggested Citation

  • 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.
    • Handle: RePEc:gam:jeners:v:14:y:2021:i:3:p:738-:d:490364
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    References listed on IDEAS

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    1. Moser, Simon & Puschnigg, Stefan & Rodin, Valerie, 2020. "Designing the Heat Merit Order to determine the value of industrial waste heat for district heating systems," Energy, Elsevier, vol. 200(C).
    2. 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.
    3. Thomas Huld & Ana M. Gracia Amillo, 2015. "Estimating PV Module Performance over Large Geographical Regions: The Role of Irradiance, Air Temperature, Wind Speed and Solar Spectrum," Energies, MDPI, vol. 8(6), pages 1-23, June.
    4. August Wierling & Valeria Jana Schwanitz & Jan Pedro Zeiß & Celine Bout & Chiara Candelise & Winston Gilcrease & Jay Sterling Gregg, 2018. "Statistical Evidence on the Role of Energy Cooperatives for the Energy Transition in European Countries," Sustainability, MDPI, vol. 10(9), pages 1-25, September.
    5. Pons-Seres de Brauwer, C. & Cohen, J.J., 2020. "Analysing the potential of citizen-financed community renewable energy to drive Europe's low-carbon energy transition," Renewable and Sustainable Energy Reviews, Elsevier, vol. 133(C).
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    Cited by:

    1. Venizelos Efthymiou & Christina N. Papadimitriou, 2022. "Smart Photovoltaic Energy Systems for a Sustainable Future," Energies, MDPI, vol. 15(18), pages 1-3, September.

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