Viability Assessment of a Hybrid Microgrid System for Rural Electrification: A Case Study of Delta State, Nigeria

Energy poverty is a severe electrification challenge in Nigeria that has affected the country's economic development. The gap between electricity demand and supply continues to increase, and a large percentage of the populace affected are rural dwellers. With the prevailing electricity inaccessibility in rural, renewable energy sources (RES) present viable option for addressing rural electrification challenge. However, RES like solar have intermittency challenges since they are weather dependent. Thus, a hybrid microgrid system (HMS) comprising solar, hydropower and battery storage was sized as a feasible solution for electrifying rural areas in Nigeria. For the HMS sizing, a site was selected, whose residential load demand was estimated. The renewable energy generation potential for the selected resources at the site as well as grid reliability were assessed. Hybrid Optimisation Model for Multiple Energy Resources (HOMER) was used to size the HMS. An economic analysis was performed to determine the levelised cost of energy (LCOE) and net present cost (NPC). For the sized HMS, two scenarios were considered: off-grid and grid-connected HMS configurations. The results showed that the LCOE of the off-grid and grid-connected configurations are $0.101/kWh and $0.046/kWh, respectively. The NPC of the off-grid and grid-connected configurations are $227,307 and $145,282, respectively.