Economic Feasibility of Renewable Electricity Generation Systems for Local Government Office: Evaluation of the Jeju Special Self-Governing Province in South Korea

Abstract

While environmental and energy concerns have become global issues, the government of South Korea has made notable efforts and formulated plans for the diffusion of renewable energy generation facilities for the nation’s public and governmental institutions. Accordingly, Jeju Island has become one of the most promising locations for utilizing renewable energy resources. This study aims to propose potential configurations for renewable energy generation facilities (mainly solar and wind energy facilities) in response to the electricity demand of the main local governmental offices of Jeju Special Self-Governing Province. The study utilizes the hybrid optimization of multiple energy resources software to simulate two optimized configurations for generation at a cost of energy of $0.306 per kWh (independent) and $0.204 per kWh (grid-connected) with 100% renewable fraction for the island. The implications of the simulation results and limitations of the study are discussed.