Economic Evaluation of using Solar Energy in the Agricultural Sector of Khuzestan Province

Document Type : Original Article

Authors

1 Department of Economics and Maritime Insurance,, Faculty of Economics and Management, khoramshahr University of Marine Science and Technology, khoramshahr, Iran

2 Assistant professor of economics and marine insurance department,, faculty of economics and management, khoramshahr university of marine science and technology, khoramshahr, Iran

3 Assistant professor of economics and marine insurance department, ,faculty of Economics and Management, khoramshahr University of Marine Science and Technology, Khoramshahr, Iran

Abstract

This study aims to economically evaluate the use of solar energy in the agricultural sector of Khuzestan Province, Iran. The necessity of using solar energy in this sector is highlighted by the yearly rise in power consumption in Khuzestan Province, especially in the agricultural sector, and the concurrence of peak consumption with cultivation seasons in spring and summer. Therefore, the EUAC approach was adopted in Excel to evaluate the per-kWh cost of electricity from the national grid and the off-grid solar power plant in four agricultural settlements, i.e., Noturky of Izeh, Shohadaye Andimeshk, Pashminezar of Andimeshk, and Zanshush in Khuzestan Province. According to the results, the costs are directly correlated with the distance of settlements from the nearest power transmission line and their electricity consumption. The analysis and comparison of electricity costs from the grid and the off-grid solar power plant in these settlements showed that solar energy had economic justification in the Noturky settlement of Izeh with the daily electricity consumption of 20 kW. However, due to the high construction costs of solar power plants and the low rates of grid electricity for the agricultural sector, the use of solar energy is not economically viable in other settlements with electricity consumption over 20 kW.

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Articles in Press, Accepted Manuscript
Available Online from 17 March 2024
  • Receive Date: 31 October 2023
  • Revise Date: 28 January 2024
  • Accept Date: 26 February 2024