5.

Designing and Modeling

Off-Grid Solar Systems

Foundations of Off-Grid Solar in Haiti

Overview

2
Overview

The objectives of this module are to provide an overview and key resources/tools
for understanding:​

• What is the Renewable Energy Optimization Tool (REopt®) and how is it used
for designing and modeling distributed renewables? (Go to Section)

• What kinds of off-grid solar projects has REopt been used for? (Go to Section)

• What information/data is needed to run a REopt analysis? (Go to Section)

• How can REopt be used in Haiti? (Case study for a rural health clinic) (Go to
Section)

3
Who is this REopt Training For?

Anyone wanting to understand:

• Key considerations for designing an
off-grid solar system
• How an optimization tool (like REopt)
can help evaluate different system
designs

Photo by Dennis Schroeder / NREL

4
What is the REopt tool and how is it
used for designing and modeling
distributed renewables?

5
 What is REopt?
• REopt is an energy decision-making tool developed and maintained by the National Renewable Energy
Laboratory (NREL).
• REopt determines the cost-optimal sizing and dispatch of generation and storage technologies for grid-
connected sites or off-grid microgrids.
• REopt can be used to meet economic, resilience, and decarbonization goals.
• The tool is available as a free, easy-to-use webtool, application programming interface (API), or open-
source codebase.

6
 What is REopt?

This series will focus on REopt’s off-grid modeling capabilities.

For more information regarding using REopt to model grid-connected systems, see resources at
https://reopt.nrel.gov.

7
 REopt can help answer key questions for
a given off-grid site.

What is the least-cost What is the expected How do expected sizes

mix and size of levelized cost of and costs vary based
technologies to meet energy of this project? on community size,
the energy needs of this service levels, fuel
community? costs, etc.?

8
What is REopt?

• At its core, REopt is an optimization model

• The goal of the model is to minimize the lifecycle cost (LCC) of energy
while meeting operational and user-defined constraints (e.g., reliability
requirements)

Capital Costs
O&M Fuel
LCC (Minus
Costs Purchases
Incentives)

• REopt minimizes energy costs by recommending the optimal sizing and

dispatch of microgrid technologies, given a site’s specifications

9
REopt Assumes PV and Battery Are Separately AC-Coupled
• AC-coupled systems convert DC power from the PV array to AC power, then
convert this AC power back to DC power to charge the batteries.
• The PV and battery systems are assumed to each have their own DC to AC
inverter(s)
Assumed configuration in REopt

Image Source:
https://www.solaredge.com/uk/solaredge-blog/dc-
coupled-vs-ac-coupled-pv-systems 10
REopt Overview for Off-Grid Applications
Economic Drivers
Economics
Technology Costs
Optimized Minimum
Incentives Cost Solution
Technology Options Financial Parameters

Technologies
Renewable Generation Technology Mix
Solar PV Technology Size

Conventional
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool
Energy Storage Project Economics
Batteries Capital and O&M Cost
Life cycle cost
LCOE

Electric Load Profile

11
REopt Overview for Off-Grid Applications
Economic Drivers
Economics Input: Expected total hourly electricity
Technology Costs
Optimized Minimum
Incentives
demandCost
(forSolution
one year).
Technology Options Financial Parameters
Can estimate based on:
Technologies
Renewable Generation
• Technologies
Technology Mixto be powered and their
Solar PV timing of use
Technology Size
• Building type(s) to be powered
Conventional • Metered data for existing systems
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool REopt users can specify:
• A minimum load met < 100 % to
Energy Storage allow for load
Project shedding.
Economics
Batteries Capitaloperating
and O&M Cost
• A load reserve
Life cycle cost
requirement
LCOE to improve reliability.

Electric Load Profile

12
REopt Overview for Off-Grid Applications
Economic Drivers
Input: Technologies to be considered
for meeting user-specified
Economics electricity
Optimized Minimum
demand. Technology Costs
Incentives Cost Solution
Technology Options Financial Parameters
Users can perform scenario analysis to
evaluate tradeoffs (e.g., diesel generator Technologies
Renewable Generation Technology Mix
only vs. solar, storage, & generator). Technology Size
Solar PV

Conventional
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool
Energy Storage Project Economics
Batteries Capital and O&M Cost
Life cycle cost
LCOE

Electric Load Profile

13
REopt Overview for Off-Grid Applications
Economic Drivers
Economics
Technology Costs
Optimized Minimum
Incentives Cost Solution
Technology Options Financial Parameters

Technologies
Renewable Generation Technology Mix
Solar PV Technology Size

Conventional
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool
Energy Storage Project Economics
Batteries Capital and O&M Cost
Life cycle cost
LCOE

Electric Load Profile

Source: https://nsrdb.nrel.gov
14
REopt Overview for Off-Grid Applications
Economic Drivers
Economics Input: Site-specific costs and
Technology Costs
Optimized
financial Minimum for the off-
considerations
Incentives Cost Solution
grid system.
Technology Options Financial Parameters

REoptTechnologies
users can specify: cost of
Renewable Generation Technology Mix
solar panels, batteries, generator, fuel,
Technology Size
Solar PV
O&M, host discount rate, planning
horizon, escalation rates, etc.
Conventional
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool
Energy Storage Project Economics
Batteries Capital and O&M Cost
Life cycle cost
LCOE

Electric Load Profile

15
REopt Overview for Off-Grid Applications
Economic Drivers
Example Key Outputs:
Economics
Recommended System Sizes
Technology Costs Optimized Minimum
Incentives
Cost Solution
Technology Options Financial Parameters

Technologies
Renewable Generation Technology Mix
Solar PV Technology Size

Conventional
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool
Energy Storage Project Economics
Batteries Total and Levelized Cost Capital and O&M Cost
Life cycle cost
LCOE

Electric Load Profile

16
REopt Overview for Off-Grid Applications
Example Key Outputs: Economic Drivers
Cost-Optimal System Dispatch
Economics
Technology Costs Optimized Minimum
Incentives Cost Solution
Technology Options Financial Parameters

Technologies
Renewable Generation Technology Mix
Solar PV Technology Size

Conventional
Operations
Generation Optimal Dispatch
Diesel Generators
reopt.nrel.gov/tool
Energy Storage Project Economics
Batteries Capital and O&M Cost
Cost Breakdown Life cycle cost
LCOE

Electric Load Profile

17
Renewable Energy & Emissions Accounting

Emissions estimated based on fuel usage Percent renewable electricity calculated based on
relative contribution of solar generation.

18
Renewable Energy & Emissions Accounting

• REopt reports CO2 emissions of microgrid systems as this greenhouse

gas contributes to climate change.
• REopt reports NOx, SO2, and PM2.5 emissions as these particulate
species can cause local negative health outcomes.

19
How Can You Use REopt?

Easy-to-use, free web tool

reopt.nrel.gov

Application Programming Interface (API)

https://github.com/nrel/reopt-api-analysis/wiki

Open-source codebase
https://github.com/NREL/REopt_API and https://github.com/NREL/REopt.jl

Custom NREL analysis

20
REopt Web Tool User Interface

• REopt Web Tool is a free, publicly

available, user-friendly web tool
• Optimizes distributed energy system sizes
and dispatch to minimize life cycle cost of
energy
• Resilience mode optimizes systems to
sustain critical load during grid outages
• Clean energy goals allow users to
consider renewable energy targets and
emissions reductions targets
• Unchecking “Grid” allow users to model
off-grid microgrids of solar, storage, wind,
and diesel generators

21
REopt Web Tool Demo
https://reopt.nrel.gov/tool/
What kinds of off-grid solar projects
has REopt been used for?

23
 REopt Analysis for Clean Energy Microgrids in Cameroon

• NREL researchers provided technical assistance to

Cameroonian microgrid developer to support sizing
and cost estimates for pilot microgrid project
• Developed tools to support planning for wide-scale
microgrid deployment

Gathered data from Developed set of Used the REopt API

pilot microgrid, community types and (custom hybrid inverter
developer cost sizes and load profiles version) to run ~300 Compiled results into
estimates. for each. scenarios. easy-to-use
workbook.
Funding: USTDA 24
Estimating the Impact of Agricultural Productive Use of
Energy (PUE) on Microgrid Outcomes in Kenya and Zambia
2
Estimate costs of microgrid components and other
1
financial parameters
For select 10km2 grid cell, we estimate hourly
PUE and community electricity demand…
Irrigation Refrigeration

3
Milling, etc. Households + businesses

…and hourly solar PV production factors REopt determines the least-cost microgrid configuration and
associated levelized cost of electricity (LCOE)

4
Outputs for each priority grid cell:
• Cost-optimal microgrid technologies and sizes
• Levelized cost of electricity ($/kWh)
Using geospatial data, engineering calculations,
• Calculated for: Comparison
discussion with in-country subject matter experts. • Community only illustrates added
• Community + PUEs value of PUEs
25
PV / Hybrid Water Treatment in British Virgin Islands

Techno-economic analysis of a renewable energy hybrid system to help power a

reverse osmosis water treatment plant in a remote island in the British Virgin Islands

● NREL's REopt analysis identified

cost-effective technologies, sizes, and
operating strategies for reducing the
life-cycle system operation costs of
generating power for the island and
for water treatment

● By deploying a 640 kW of PV and

470-kWh of battery, 40% diesel
savings could be realized thereby
saving money and improving the
resilience of energy service for the
island community Anegada, British Virgin Islands

Photos from NREL / DOE

26
Scenarios Considered in Jamaica Critical Facility Analysis

The scenarios modeled in this analysis are intended to inform the cost-optimal
investments in PV and battery systems at four critical facilities, under varying
assumptions:

Resilience:
To survive a 6-hour, 24-hour, vs. 5-day grid outage

Backup Generation:
Utilizing the site’s existing generator vs. retiring the generator

PV Net Billing System Size Limits

Assuming no net billing system size limit relative to load vs. assuming PV
cannot generate > 120% of site’s load

27
Review

28
What data is needed to run a REopt analysis?

• Site location
• Hourly site load (electrical demand) for one year
• Capital and operating costs for each system component
• Expected system lifetimes and replacement costs
• Current cost of fuel and expected cost escalation
• Available area for solar PV
• Financial parameters (e.g., discount rate) for the potential investment
• Desired level of service/operating reserves required (load & PV operating
reserves, minimum load met, generator sizing)

The more detailed the inputs the more accurate the results!

29
 REopt is REopt is not
appropriate for… appropriate for…
• Initial estimates of system sizing • Detailed system design or
engineering considerations (for
• Initial estimates of levelized cost
everything related to the topology
of electricity (LCOE)
and engineering design, see people
• Evaluating impact of load served, with the appropriate expertise)
system cost, fuel cost. etc. on
• Planning distribution networks
outcomes (i.e., performing
(REopt does not account for line
sensitivity analysis)
capacities, voltage drop, etc.)

30
How can REopt be used in Haiti?
(Case study for a rural health clinic)

31
Powering a
Dispensaire in
Département Sud
A rural dispensaire provides
much-needed health services
to the surrounding community.

It is isolated from the grid but

has an existing diesel
generator. They frequently
experience fuel shortages and
would like to reduce reliance
on diesel fuel while maintaining
reliability.
This is not based on a real completed
project, but instead is meant to be
illustrative of the REopt process

NREL | 32
Photo from Don Buchanan
Powering a
Dispensaire in
Département Sud

We are tasked with using

REopt to evaluate the
cost-optimal PV and
battery system sizing to
supplement the existing
diesel generator.

NREL | 33
Photo from Don Buchanan
Analysis Steps

Step 1: Determine goals for the site

Step 2: Estimate hourly electric load for the site

Step 3: Identify available space for solar panels

Step 4: Estimate system costs

Step 5: Establish financial parameters

Step 6: Establish operating goals and constraints

Step 7: Input data into REopt for all scenarios of interest

34
Step 1: Determine Goals

Example Goal: Supplement the dispensaire’s existing

5 kW generator with solar and battery storage to
improve reliability while minimizing energy costs.

35
Step 2: Estimate Hourly Electric Load

Remember, there are several approaches to estimating electricity demand

for a site, including:

• Considering technologies/appliances on-site and their timing of use

• Using modeled loads for similar building type(s)

• Utilizing metered interval (e.g., hourly) data for existing systems at this or other
sites

36
Step 2: Estimate Hourly Electric Load

Remember, there are several approaches to estimating electricity demand for a site,
including:

• Considering technologies/appliances on-site and their timing of use

• Using modeled loads for similar building type(s)

• Utilizing metered interval (e.g., hourly) data for existing systems at this or other sites

We will use this approach

in this demonstration.

37
Step 2: Estimate Hourly Electric Load

Utilization Rate Over 1 Day

(fraction of 100% of each hour)
Electronic Equipment Peak Power
Quantity Power (W) Hour 0 Hour 1 Hour 2 Hours 3-21 Hour 22 Hour 23
Used (kW)

7w Phillips light bulbs 20 7 0.14 0.5 0.5 0.5 … 1 1

80w Tube lights 30 80 2.4 0.5 0.5 0.5 … 1 1

ACS Btu 18 1 1,800 1.8 0 0 0 … 0 0
Wall fans 5 40 0.2 0 0 0 … 0 0
Ceiling fans 10 75 0.75 0 0 0 … 0 0
Microscopes 2 88 0.176 0 0 0 … 0 0
Toilet lights 10 15 0.15 0.5 0.5 0.5 … 1 1

38
Step 2: Estimate Hourly Electric Load

Utilization Rate Over 1 Day

(fraction of 100% of each hour)
Electronic Equipment Peak Power
Quantity Power (W) Hour 0 Hour 1 Hour 2 Hours 3-21 Hour 22 Hour 23
Used (kW)

7w Phillips light bulbs 20 7 0.14 0.5 0.5 0.5 … 1 1

80w Tube lights 30 80 2.4 0.5 0.5 0.5 … 1 1

ACS Btu 18 1 1,800 1.8 0 0 0 … 0 0
Wall fans 5 40 0.2 0 0 0 … 0 0
Ceiling fans 10 75 0.75 0 0 0 … 0 0
Microscopes 2 88 0.176 0 0 0 … 0 0
Toilet lights 10 15 0.15 0.5 0.5 0.5 … 1 1

39
Step 2: Estimate Hourly Electric Load

Utilization Rate Over 1 Day

(fraction of 100% of each hour)
Electronic Equipment Peak Power
Quantity Power (W) Hour 0 Hour 1 Hour 2 Hours 3-21 Hour 22 Hour 23
Used (kW)

7w Phillips light bulbs 20 7 0.14 0.5 0.5 0.5 … 1 1

80w Tube lights 30 80 2.4 0.5 0.5 0.5 … 1 1

ACS Btu 18 1 1,800 1.8 0 0 0 … 0 0
Wall fans 5 40 0.2 0 0 0 … 0 0
Ceiling fans 10 75 0.75 0 0 0 … 0 0
Microscopes 2 88 0.176 0 0 0 … 0 0
Toilet lights 10 15 0.15 0.5 0.5 0.5 … 1 1

40
Step 2: Estimate Hourly Electric Load

Utilization Rate Over 1 Day

(fraction of 100% of each hour)
Electronic Equipment Peak Power
Quantity Power (W) Hour 0 Hour 1 Hour 2 Hours 3-21 Hour 22 Hour 23
Used (kW)

7w Phillips light bulbs 20 7 0.14 0.5 0.5 0.5 … 1 1

80w Tube lights 30 80 2.4 0.5 0.5 0.5 … 1 1

ACS Btu 18 1 1,800 1.8 0 0 0 … 0 0
Wall fans 5 40 0.2 0 0 0 … 0 0
Ceiling fans 10 75 0.75 0 0 0 … 0 0
Microscopes 2 88 0.176 0 0 0 … 0 0
Toilet lights 10 15 0.15 0.5 0.5 0.5 … 1 1

41
Step 2: Estimate Hourly Electric Load
Utilization Rate Over 1 Day
(fraction of 100% of each hour)
Electronic Equipment Peak Power
Quantity Power (W) Hour 0 Hour 1 Hour 2 Hours 3-21 Hour 22 Hour 23
Used (kW)

7w Phillips light bulbs 20 7 0.14 0.5 0.5 0.5 … 1 1

80w Tube lights 30 80 2.4 0.5 0.5 0.5 … 1 1

ACS Btu 18 1 1,800 1.8 0 0 0 … 0 0
Wall fans 5 40 0.2 0 0 0 … 0 0
Ceiling fans 10 75 0.75 0 0 0 … 0 0
Microscopes 2 88 0.176 0 0 0 … 0 0
Toilet lights 10 15 0.15 0.5 0.5 0.5 … 1 1
Estimated Load (kW)
7w Phillips light bulbs 0.07 0.07 0.07 … 0.14 0.14
80w Tube lights 1.2 1.2 1.2 … 2.4 2.4
ACS Btu 18 0 0 0 … 0 0
Wall fans 0 0 0 … 0 0
Ceiling fans 0 0 0 … 0 0
Microscopes 0 0 0 … 0 0
Toilet lights 0.075 0.075 0.075 … 0.15 0.15

42
Step 2: Estimate Hourly Electric Load
Utilization Rate Over 1 Day
(fraction of 100% of each hour)
Electronic Equipment Peak Power
Quantity Power (W) Hour 0 Hour 1 Hour 2 Hours 3-21 Hour 22 Hour 23
Used (kW)

7w Phillips light bulbs 20 7 0.14 0.5 0.5 0.5 … 1 1

80w Tube lights 30 80 2.4 0.5 0.5 0.5 … 1 1

ACS Btu 18 1 1,800 1.8 0 0 0 … 0 0
Wall fans 5 40 0.2 0 0 0 … 0 0
Ceiling fans 10 75 0.75 0 0 0 … 0 0
Microscopes 2 88 0.176 0 0 0 … 0 0
Toilet lights 10 15 0.15 0.5 0.5 0.5 … 1 1
Estimated Load in Each Hour (kW) = Peak Power (kW) * Utilization
EstimatedRate
Load(%)
(kW)
7w Phillips light bulbs 0.07 0.07 0.07 … 0.14 0.14
80w Tube lights 1.2 1.2 1.2 … 2.4 2.4
ACS Btu 18 0 0 0 … 0 0
Wall fans 0 0 0 … 0 0
Ceiling fans 0 0 0 … 0 0
Microscopes 0 0 0 … 0 0
Toilet lights 0.075 0.075 0.075 … 0.15 0.15

43
Step 2: Estimate Hourly Electric Load

Estimated Load (kW)

7w Phillips light bulbs 0.07 0.07 0.07 … 0.14 0.14
80w Tube lights 1.2 1.2 1.2 … 2.4 2.4
ACS Btu 18 0 0 0 … 0 0
Wall fans 0 0 0 … 0 0
Ceiling fans 0 0 0 … 0 0
Microscopes 0 0 0 … 0 0
Toilet lights 0.075 0.075 0.075 … 0.15 0.15
Total Load 1.345 1.345 1.345 … 2.69 2.69

44
Step 2: Estimate Hourly Electric Load

Estimated Load (kW)

7w Phillips light bulbs 0.07 0.07 0.07 … 0.14 0.14
80w Tube lights 1.2 1.2 1.2 … 2.4 2.4
ACS Btu 18 0 0 0 … 0 0
Wall fans 0 0 0 … 0 0
Ceiling fans 0 0 0 … 0 0
Microscopes 0 0 0 … 0 0
Toilet lights 0.075 0.075 0.075 … 0.15 0.15
Total Load 1.345 1.345 1.345 … 2.69 2.69

Estimated Load For One Day

6.0

5.0
Estimated Load (kVA)

4.0

3.0

2.0

1.0

0.0
0 5 10 15 20
Hour of Day
45
Step 2: Estimate Hourly Electric Load

Estimated Load (kW)

7w Phillips light bulbs 0.07 0.07 0.07 … 0.14 0.14
80w Tube lights 1.2 1.2 1.2 … 2.4 2.4
ACS Btu 18 0 0 0 … 0 0
Required for
Wall fans 0 0 0 … 0 0
Ceiling fans 0 0 0 … 0 0
REopt: Estimated
Microscopes 0 0 0 … 0 0 load for 1 calendar
Toilet lights 0.075 0.075 0.075 … 0.15 0.15 year at hourly
Total Load 1.345 1.345 1.345 … 2.69 2.69 resolution.
Estimated Load For One Day
6.0 Estimated Load for One Year
6.0
5.0
Estimated Load (kVA)

5.0
4.0
4.0
3.0 3.0

2.0 2.0

1.0
1.0
0.0
0.0 1/1/22 2/20/22 4/11/22 5/31/22 7/20/22 9/8/22 10/28/22 12/17/22
0 5 10 15 20
Hour of Day
46
Step 3: Identify Available Space

• Can use site visit or geospatial tool such as Google Earth

• Avoid obstructions and shading
• Consider suitability of roof to support solar loads
Hypothetical Scenario:

Land Available: 0.3 acres

Roof Space Available:

1,890 ft2

Source: Google Earth

47
Step 4: Estimate System Costs

Input Value
Solar Panels $430 / kW
PV Racking $560 / kW
PV Inverters $591.23 / kW
Total PV Capital Cost $1,581 /kW
Battery Inverter Cost $510 / kW
Battery Energy Cost $562 / kWh
Other Materials $888 / peak kW load
Installation Labor $1,307 / peak kW load
Annual Labor $87.15 / peak kW load / year
Diesel Fuel Cost $1.48 / liter

Costs were sourced from generalized information on past microgrid project bids in Haiti as an example – these costs have
likely increased substantially in the past few years, but REopt users can adjust costs in the online tool. It will be important to
talk to suppliers to understand the current costs

48
Step 5: Establish Financial Parameters

Input Value
Project Life 20 years

Off-taker (Host) Discount Rate (nominal) 15%

O&M & Fuel Cost Escalation Rate (nominal) 34%/year (World Bank; 2022 Inflation Rate)

0% (not considering tax implications of O&M

Host Effective Tax Rate
expenses)

These parameters are selected based on a hypothetical project in Haiti, but

should be adjusted to specific project context

49
Step 6: Establish Operating Goals

Input Value
Minimum Annual Load Met [%] 97%

Load Operating Reserve Requirement [%] 10%

Solar PV Operation Reserve Requirement [%] 25%

Battery Minimum Turndown [%] 20%

Generator Minimum Turndown [%] 15%

Generator Annual Fuel Availability [liters / year] 2,500 liters / year

These parameters are selected based on a hypothetical project in Haiti, but

should be adjusted to specific project context

50
Step 7: Input Data Into REopt Web Tool for Each Scenario

• Scenario 1: Cost-optimal solution considering historical inflation

(34%)

• Scenario 2: Cost-optimal solution considering less inflation (10%)

51
 Results
Inflation = 34% Inflation = 10%

https://reopt.nrel.gov/tool/results/88f9bf6c-c308-4d17-bed6-3930a46b99bf https://reopt.nrel.gov/tool/results/ad9cdb63-28c4-434d-a3c3-596510690c68

52
 Thank you

This work was authored, in part, by the National Renewable Energy Laboratory (NREL), operated by Alliance for
Sustainable Energy, LLC, for the U.S. Department of Energy (DOE) under Contract No. DE-AC36-08GO28308.
Funding provided by the United States Agency for International Development (USAID) under Contract No. IAG-
19-2120. The views expressed in this report do not necessarily represent the views of the DOE or the U.S.
Government, or any agency thereof, including USAID. The U.S. Government retains and the publisher, by
accepting the article for publication, acknowledges that the U.S. Government retains a nonexclusive, paid-up,
irrevocable, worldwide license to publish or reproduce the published form of this work, or allow others to do so,
for U.S. Government purposes.
NREL/PR-7A40-89248