Feasibility analysis of a smart grid photovoltaics system for the subarctic rural region in Alaska

A smart grid photovoltaics system was developed to demonstrate that the system is feasible for a similar off-grid rural community in the subarctic region in Alaska. A system generation algorithm and a system business model were developed to determine feasibility. Based on forecasts by the PV F-Chart software, a 70° tilt angle in winter, and a 34° tilt angle in summer were determined to be the best angles for electrical output. The proposed system's electricity unit cost was calculated at 32.3 cents/kWh that is cheaper than current unsubsidized electricity price (46.8 cents/kWh) in off-grid rural communities. Given 46.8 cents/kWh as the electricity unit price, the system provider can break even when 17.3 percent of the total electrical revenue through power generated by the proposed system is charged. Given these results, the system can be economically feasible during the life-cycle period. With further incentives, the system may have a competitive advantage.