Technical and financial feasibility PV system
5 Enrollments Level : IntermediateRelevance
In light of global climate goals and rising energy demand, rooftop photovoltaic (PV) systems are a key solution for clean, decentralized electricity production. Their scalability, cost-effectiveness, and growing policy support for self-consumption make them central to sustainable energy strategies.
The successful deployment of a rooftop PV system depends not only on the availability of surface area and sunlight, but also on a thorough understanding of its technical and financial feasibility.
This building block provides essential insights into the technical and financial feasibility of a PV system, including site assessment, system performance modelling, consumption and production analysis, CAPEX and OPEX evaluation, and risk and sensitivity analysis. It equips students with a detailed overview of how to evaluate project viability, supporting informed decision-making in PV development and implementation.
Abstract
This building block offers a structured introduction to the technical and financial feasibility of rooftop photovoltaic (PV) systems. It equips students with the skills to assess project viability from both a performance and economic perspective.
The module starts with a general introduction, followed by the technical feasibility component, focusing on site assessment (data collection, roof and shading analysis, electrical installation, and grid connection) and system performance modelling (layout, installed capacity, irradiation, and Performance Ratio).
In the financial feasibility section, students will gain insight into consumption and production profiles, CAPEX and OPEX, and business case development using indicators such as IRR, NPV, and payback time.
A section on sensitivity and risk analysis explores how variations in key assumptions affect project outcomes.
The building block concludes with a synthesis of key insights and lessons learned, enabling students to apply feasibility study principles to real-world PV projects and contribute effectively to the energy transition.
Learning Outcomes
Identify and explain the key components of a comprehensive site assessment for a rooftop PV system, including data gathering, roof and shading analysis, and evaluation of electrical installations and grid connection options.
Apply the principles of system performance modelling by working with preliminary layouts, calculating installed capacity, assessing solar irradiation, and using the Performance Ratio to estimate energy yield.
Analyze consumption and production profiles to assess energy demand and generation patterns, and use these insights for effective PV system sizing.
Evaluate the financial feasibility of a PV project by estimating capital expenditures (CAPEX) and operational expenditures (OPEX), and by interpreting key financial indicators such as IRR, NPV, and payback period.
Perform sensitivity and risk analyses to examine how variations in key parameters influence the technical and financial viability of a PV system.
Interpret and synthesize insights from technical and financial analyses to develop evidence-based recommendations for rooftop PV deployment.
Draw conclusions from practical case studies to recognize common challenges and identify best practices in PV feasibility assessments.
Prior Knowledge
A basic understanding of electrical principles, such as voltage, current, resistance, and power.
Fundamentals of Solar Energy: Basic knowledge of how solar radiation works and the principles of photovoltaic energy conversion.
Basic Financial Concepts: Understanding of key financial terms such as capital expenditure (CAPEX), operational expenditure (OPEX), return on investment (ROI), net present value (NPV), and payback period.
Data Analysis and Interpretation Skills
Ability to interpret graphs, time series data (e.g., energy consumption profiles), and perform simple calculations.
Awareness of global and regional sustainability goals, energy transition drivers, and environmental impact considerations
Keywords
- Rooftop PV
- Energy transition
- Solar energy
- Sustainable development
- Feasibility
Elements
1. About this Building Block
About this Building Block
About this Building Block