Abstract:
Grid-Tied Photovoltaic (PV) technology is a globally accepted renewable technology
used for built environment. Application of grid-tied PV system is a promising
alternative and it’s essential that clients know if the investments in such technologies
are actually profitable. In Sri Lanka fewer studies were found on the economic
evaluation of grid-tied PV technology. In particular, the economics of generating solar
electricity has not been addressed appropriately for Sri Lanka’s apparel manufacturing
industry. Therefore, aim of this study is to evaluate the economic gain of grid-tied PV
technology for apparel manufacturing industry in Sri Lanka to promote its application.
The case study approach was adopted as the research strategy and four (04) apparel
manufacturing facilities were selected. The data collection was done through semistructured
interviews
and
documentary
reviews,
whereas
the
analysis
was
conducted
through
manual
content analysis and evaluation of economic indicators. Case study
data revealed the key economic benefits of the system such as monthly revenue, low
maintenance cost, reduce burden on local utility grid, etc. Key economic challenges
were identified as high initial cost, high replacement costs, cost due to conflicts with
suppliers, revenue depreciation with system losses and the like. Selecting energy
service companies, promote bulk purchase and maintain stocks, enhance national solar
energy demand, improve the process of renewable energy loan schemes, etc. are the
proposed strategies to overcome those challenges. In addition, three (03) economic
indicators were measured, such as levelized cost of electricity, net present value and
simple payback period. The levelized cost of electricity resulted in a reasonable range
for the cost of producing electricity using a solar PV system, ranging between Rs. 10
and Rs. 12 per kilowatt hour (kWh) and simple payback period and net present value
showed a favorable condition, implying system’s profitability for apparel
manufacturing industry in Sri Lanka.
Citation:
Harindi, G.L.. (2021). Economic evaluation of grid -tied PV technology used in apparel manufacturing industry in Sri Lanka [Master's theses, University of Moratuwa]. Institutional Repository University of Moratuwa. http://dl.lib.uom.lk/handle/123/22218