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Financial Analysis of a Desalination–Wastewater Recycle Plant Powered by a DC-DC Photovoltaic-Batteries System on the Aeolian Islands, Italy

Author

Listed:
  • Gabriele Mosconi

    (Independent Researcher, 20832 Desio, Italy)

  • Maurizio F. Acciarri

    (Department of Materials Science and Solar Energy Research Centre MIB-SOLAR, University of Milano-Bicocca, Via Cozzi 55, 20125 Milano, Italy)

Abstract

The scarcity of drinking water is an increasingly pressing issue in many regions of the world, even in areas up till now considered developed. Climate change deprives many populations of the amount of water necessary for human consumption and traditional crops. Therefore, finding new water sources and making their usage more efficient and able to adapt to new environmental conditions without worsening the situation with further pollution is becoming mandatory. In the case study considered here, set on the Italian island of Vulcano in the Central Mediterranean, we propose the economic analysis and financial sustainability of plants for the desalination and recycled wastewater, powered by a DC-DC photovoltaic tracker system with silicon crystal panels sustained by a daily pack of lithium batteries. We present an estimation of the necessary budget, and propose a mix of traditional and innovative financial instruments to construct and analyse the economic trends of the installations over 30 years, considering the specific area price levels, salaries and interest rates. Finally, through the net present value index, we evaluate the financial sustainability of the entire operation, namely, identifying the circumstances when funding and building these plants in areas as remote as the one considered here is cost-effective.

Suggested Citation

  • Gabriele Mosconi & Maurizio F. Acciarri, 2023. "Financial Analysis of a Desalination–Wastewater Recycle Plant Powered by a DC-DC Photovoltaic-Batteries System on the Aeolian Islands, Italy," Energies, MDPI, vol. 16(13), pages 1-21, June.
    • Handle: RePEc:gam:jeners:v:16:y:2023:i:13:p:4935-:d:1178750
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    References listed on IDEAS

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    1. Vishwas Powar & Rajendra Singh, 2021. "Stand-Alone Direct Current Power Network Based on Photovoltaics and Lithium-Ion Batteries for Reverse Osmosis Desalination Plant," Energies, MDPI, vol. 14(10), pages 1-23, May.
    2. Marula Tsagkari & Jordi Roca Jusmet, 2020. "Renewable Energy Projects on Isolated Islands in Europe: A Policy Review," International Journal of Energy Economics and Policy, Econjournals, vol. 10(5), pages 21-30.
    3. Daniel Lugo-Laguna & Angel Arcos-Vargas & Fernando Nuñez-Hernandez, 2021. "A European Assessment of the Solar Energy Cost: Key Factors and Optimal Technology," Sustainability, MDPI, vol. 13(6), pages 1-25, March.
    4. Kendall Mongird & Vilayanur Viswanathan & Patrick Balducci & Jan Alam & Vanshika Fotedar & Vladimir Koritarov & Boualem Hadjerioua, 2020. "An Evaluation of Energy Storage Cost and Performance Characteristics," Energies, MDPI, vol. 13(13), pages 1-53, June.
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