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The Economic Potential of Agrivoltaic Systems in Apple Cultivation—A Hungarian Case Study

Author

Listed:
  • Aidana Chalgynbayeva

    (Institute of Applied Economics, Faculty of Economics and Business, University of Debrecen, H-4032 Debrecen, Hungary)

  • Péter Balogh

    (Institute of Statistics and Methodology, Faculty of Economics and Business, University of Debrecen, H-4032 Debrecen, Hungary
    HUN-REN-DE High-Tech Technologies for Sustainable Management Research Group, University of Debrecen, Boszormenyi Street 138, H-4032 Debrecen, Hungary)

  • László Szőllősi

    (Institute of Economics, Faculty of Economics and Business, University of Debrecen, H-4032 Debrecen, Hungary)

  • Zoltán Gabnai

    (Institute of Applied Economics, Faculty of Economics and Business, University of Debrecen, H-4032 Debrecen, Hungary
    HUN-REN-DE High-Tech Technologies for Sustainable Management Research Group, University of Debrecen, Boszormenyi Street 138, H-4032 Debrecen, Hungary)

  • Ferenc Apáti

    (Institute of Horticulture, Faculty of Agricultural and Food Sciences and Environmental Management, University of Debrecen, H-4032 Debrecen, Hungary)

  • Marianna Sipos

    (Institute of Horticulture, Faculty of Agricultural and Food Sciences and Environmental Management, University of Debrecen, H-4032 Debrecen, Hungary)

  • Attila Bai

    (Institute of Applied Economics, Faculty of Economics and Business, University of Debrecen, H-4032 Debrecen, Hungary
    HUN-REN-DE High-Tech Technologies for Sustainable Management Research Group, University of Debrecen, Boszormenyi Street 138, H-4032 Debrecen, Hungary)

Abstract

Agrivoltaic systems (AVS) allow the simultaneous use of land—as a limited resource—for crop production and electricity generation. This paper introduces the development prospects of AVS in Hungary with insights into international trends. The most important part is a complex economic analysis and a unit cost analysis of a 38 MWp capacity AVS, considering the most typical basic data in electricity and apple production. The applied risk analysis is based on a Monte Carlo simulation, the distribution function, and probabilities. To introduce the economic facet of the competitiveness of AVS, a comparative analysis was carried out between AVS, ground-mounted photovoltaic (GM-PV) systems, and conventional apple production systems (ConAPS). In the most probable scenario, the AVS was financially attractive (NPV = 70 million EUR under 30 years). Our correlation analysis shows that feed-in tariff (FIT) price and the role of financing are considered the dominant economic factors. A favorable FIT price enhances the profitability of AVS; however, it makes GM-PV systems more profitable compared to AVS, so it negatively affects the competitiveness of AVS systems. AVS operations result in a more balanced unit cost of apples and of electricity compared to the independent operation of GM-PV systems and of ConAPS; in addition, it allows for land saving and more intensive land use.

Suggested Citation

  • Aidana Chalgynbayeva & Péter Balogh & László Szőllősi & Zoltán Gabnai & Ferenc Apáti & Marianna Sipos & Attila Bai, 2024. "The Economic Potential of Agrivoltaic Systems in Apple Cultivation—A Hungarian Case Study," Sustainability, MDPI, vol. 16(6), pages 1-34, March.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:6:p:2325-:d:1355187
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    References listed on IDEAS

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