Techno-Economic Analysis of Grid-Connected PV Battery Solutions for Holiday Homes in Sweden

Grid-connected PV battery systems for private homes are becoming increasingly popular in many countries, including Sweden. This study aimed to evaluate the techno-economic feasibility of such distributed, grid-connected PV battery systems for single homes at a Swedish holiday location. It was especially of interest to investigate the impact of demand charges, as they are frequently introduced by utilities in Sweden and are also common in popular winter sport regions. Grid-connected PV battery systems were sized and optimized based on their net present cost. Load patterns, incentives, demand tariff structures and electricity price variation were used to study the sensitivity of the obtained results. Grid-connected residential PV battery systems were found to be equally profitable compared to grid-connected PV systems without batteries when demand charges were applied. When the load profiles had peak loads throughout the whole year and the batteries were large enough sized to shave many peaks, grid-connected PV battery systems had slightly higher profitability than grid-connected PV systems without batteries. The total savings also depended on the actual rate of demand charge. The good profitability we found greatly depends on the current state incentives for these systems in the form of tax credits for surplus electricity and investment costs. Removing the tax credit for surplus electricity would reduce the savings generated by a grid-connected PV system without batteries significantly more than for grid-connected PV systems with batteries.

Automated summary

This study evaluates the techno-economic feasibility of grid-connected PV battery systems for single homes at a Swedish holiday location. The study finds that grid-connected residential PV battery systems can be equally or slightly more profitable compared to grid-connected PV systems without batteries when demand charges are applied.