Economic Evaluation of Residential Grid Connected PV Systems Based on Net- Metering and Feed-in- Tariff Schemes in Palestine
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Original research
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Net-Metering and Feed-in Tariff  schemes used for accounting the energy of PV grid connected systems in Palestine are discussed and evaluated in this paper. Net- Metering  scheme includes two main items that have a negative effect on the economics  of  the  PV  system.  The  first  item  is  represented  in  monthly subtraction  of  25%  of  the  excess  PV  energy,  as compensation for utilizing the electric grid and the second one is striking off the excess PV energy at the end of each year instead of carrying it forward to  following year. Economic analysis of PV grid connected system certifies that Net-Metering reduces the income of the PV system and therefore does not encourage expanding the use of PV systems.  Considering Net-Metering, a PV system of 5 kWp with an annual yield of 8686 kWh installed on a house with an annual consumption of 6984  kWh, 19% of  total annual PV energy generated will not be credited which results in a net present value of  5126 $, an internal rate of return of 17.3% and a payback period of 7.6 years. On the other hand, the same analysis were used to evaluate the same system with Feed-in Tariff, where the total annual PV energy will be credited, the results were 7991 $, 22%  and 5.7 year 
respectively.  Moreover,  the  performed  analyses  show  that  the  Net-  Metering  is  sensitive  to  load  profile  variation  even  at constant annual energy load. For this case, different economic parameters were obtained for different two load scenarios. 

Journal
Title
IJRER
Publisher
IJRER
Publisher Country
Turkey
Indexing
Scopus
Impact Factor
None
Publication Type
Both (Printed and Online)
Volume
8
Year
2018
Pages
2106-2115