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Dissertation Title
“Energy and Economic Evaluation Model

of Photovoltaic Systems for
Rural Electrification in Thailand”
Ms. Prapita Thanarak

Candidate of Doctor of Philosophy Degree
In Renewable Energy
Naresuan University
Dissertation : Prapita Thanarak, October 9, 2006

School of Renewable Energy Technology, Naresuan University, Phitsanulok 65000 Thailand.
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Major Adviser: Prof. Dr.-Ing. Juergen Schmid
Advisers:
1) Assoc. Prof. Dr. Wattanapong Rakwichian
2) Asst. Prof. Dr. Suchart Yammen
Internal examiner:
1) Assist. Prof. Dr. Pumisak Intanon
External examiners:
1) Assoc. Prof. Dr. Uriwan Vijaranakul
2) Dr. Nivat Nabheerong

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Official Acknowledgement
Energy Policy and Planning Office (EPPO)
Deutscher Akademischer Austausch Dienst (DAAD)
School of Renewable Energy Technology (SERT)
Provincial Electricity Authority (PEA)
Electricity Generating Authority of Thailand (EGAT)

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Objectives
1 ) To determine the suitable photovoltaic systems for

rural electrification in Thailand
2 ) To study the energy and economic evaluation model

of photovoltaic systems for rural electrification
in Thailand
3) To study the Socio-Economic Impact of

the PV rural electrification

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Scope of the Study
Three photovoltaic systems which were considered

for the study are namely:
Solar Home System (SHS)
Battery Charging Station (BCS)
Centralized Mini Grid (CMG)
Intra-comparison of the PV systems

then compared with the Diesel Generator.

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Methodologies Adopted
1 ) Field visits, Systems Inspection & Interview End-users
2 ) Economic analysis PV systems and Diesel Generator
3) Develop suitable economic model

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Illustrative Example of Household

Fuel Transition & Modernization

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Forecasted Value of National Energy Consumption

in the Future
(Assumption: Energy Elasticity = 1.4 :1 and Est. GDP Growth Rate = 5% per year)
Unit: Billion Baht
2,500
2,145
2,000
1,529
1,500
1,090
1,000
777
573
500
0
1997 2002 2007 2012 2017
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Conventional Power Plants

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Hydro Power Plants
Pumiphol Dam Srinakarin Dam

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Large Scale PV Power Plant

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RE Potential in Thailand
Solar
Solar >5,000
>5,000 MW
MW
Mini
Mini Hydro
Hydro 700
700 MW
MW
High Potential Low Development
Wind
Wind 1,600
1,600 MW
MW Biomass
Biomass 7,000
7,000 MW
MW

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Methodology
Study the installed PV system at site

Determine community functional load
Assess the impact of technical advances
Study impact on Social aspect
Study environment impact
Study Sustainable Development of PV system
Compare advantage and disadvantage

Compare the cost of alternative PV
Construct theoretical
models
Recommend

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Solar Home System

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Battery Charging Station

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Battery Charging Station

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Centralized Mini Grid

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Results & Discussions

Empirical results
Renewable Energy for Sustainable Development

Suitability of RE provided to community
Familiar with the selected technology
Experiences on technology & know accurately how to operate with
it & maintenance
Spare parts & technician skill
Acceptance on selected technology
Readiness & acceptance of villager
Desire of electricity supply & satisfy with selected technology
Willingness to pay the maintenance fee (electrical equipment &
system)
Willingness to co-
co-invest on the necessary equipment
Establish an organization
Evaluating the system design, installation, operation and
monitoring

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Empirical results
Individual PV systems
Advantage Disadvantage
- Simple proven designs are - Power availability somewhat
available, can be done locally dependent on the weather
- Less service required & easily - Requires shade free mounting
serviceable when required
location
- Components are modular & few in
numbers - Requires more customer
- Less training is needed for installer
attention & training than other
& field maintenance systems
- System size is modular & can be
modified according to load demand
- Moderate capital cost
- Readily available spare parts
- Individual dependent system
- It’s modular & easily modifiable to
accommodate changes in load
requirement
- Rapid installation
- Little change in efficiency with the
fluctuations of load

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Empirical results
Centralized PV systems
Advantage Disadvantage
- Instantaneous response to load - High capital requirement
changes with excellent voltage & - Highly trained electronic
frequency regulation, in case the technician required for
system is oversized than the load maintenance
profile of the remote areas. - Spare parts are not easily
- Unattended operation available
- No moving mechanical -Limited system experience
components rather than monitored
- System is more reliable as long demonstration projects
as system is designed based upon -Requires a large, shade free
the load profile community area
-Power supply capacity is
weather dependent

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Results & Discussion
Evaluation of Impacts of PV Rural Electrification System
Social impacts
Modern Media
Attitude
Technical comments
Economy
Policy

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Number of People watching television for their

entertainment and other information
100%
91%
80%
68%
Do you benefit from more
entertainment (watching TV,
60%
etc.)
40%
32%
Are your children benefiting
from information and
20% education due to use of SHS
9%
0%
Yes No

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Respondents views on quality of electricity supply
50%
40%
40%
32%
30%
21%
20%
10%
5% 2%
0%
Very satisfied Satisfied Acceptable Not satisfied due to I do not care
unstable electricity
voltage
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Preferred electricity supply system in rural Thailand
8%
2% Photovoltaic (PV) Power
Diesel/Petrol generator
Grid Electricity Supply

90%

PDF
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0%
Complete
Were you able to generate more income

from its use?
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Are you comfortable with your system?
Are you able to save more money when

using this system?
Do you benefit from more entertainment

(watching TV, etc.)
Are your children benefiting from

information and education due to use of
SHS
Do you consider it to be clean energy

source?
Does it improve Safety/Security in your

home?
Do you consider your system to be

reliable?
Is the SHS easier to maintenance?

Benefits of electricity generated from PV systems

No
Is it easy to operate?
Yes
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Percentage of respondents willing to pay with

different payment method for PV system
9% Lump Sum
Two Payments
23%
Three Payments
57%
Leasing (Pay a Monthly Fee)
9%
2%
No Response

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The factors that rural people cared while purchasing

PV system
Capital Cost
19%
37%
Quality
After Sales Service
44%

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Factor concerned by the users while using PV system
70%
66%
60%
50%
40%
30%
17%
20%
15%
10%
2%
0%
Operation Maintenance Spare Parts Repair Services

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Percentage of preferred electricity supply

system for village electrifications
56%
60%
50%
40%
30%
21%
20% 14%
10%
4% 5%
0%
Large centralised Solar PV / Diesel Centralised Small Grid Electricity No Preference
Solar PV system generator hybrid hydro/ Solar PV
System

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Causes of Low Performance of SHS
Installation of PV Inappropriate location

module at location of battery and poor
mostly shadowed by wiring.
trees.

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Poor Maintenance & It’s Risk to Households
Poor wiring By passed charge

connections without controller in SHS
insulation in a house.

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Previous - PV Rural Electrification Model
Demand Side
Loads (kWh)
Supply
Side
Electricity Prices Production

(Lcoe) Costing

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Rural Community Electrification
Based load 297.5 Wh/day per household (PEA’s load

forecast model)
Service life time of PV assumed to be 20 years, DG 10

years.
Discount rate 6.5%, general inflation rate 4.5%, fuel

price escalation 5.5%

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Economics
Different costs associated with PV and DG system
100%
90% LCC
80%
70%
Replacement Costs
60%
50%
40% O & M Costs
30%
20%
Investment Costs
10%
0%
SHS BCS CMG DG

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Life cycle cost of PV systems compare with DG
900
800
Thousand THB
700
600
SHS
500 .
BCS
400
CMG
300
DG
200
100
0
0 2 4 6 8 10 12 14 16 18 20
Year

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Area chart in Lcoe of rural electricity supply system
500 DG
Lcoe (THB/kWh)
400
CMG
300
200 BCS
100
SHS
0
1 10 20 30 40 50 60 70 80 90 100
No. of HH

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The trend of the percentage of each Lcoe contributed

by different categories of rural supply system with
respect of No. of HH in the community
100%
DG
80%
CMG
Lcoe (%)
60%
40%
BCS
20%
SHS
0%
1 10 20 30 40 50 60 70 80 90 100
No. of HH

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Previous - PV Rural Electrification Model
Demand Side
Loads (kWh)
Supply
Side
Electricity Prices Production

(Lcoe) Costing

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PV Rural Electrification Model (PRE-Model)

Demand Side
Community
Loads (kWh) Functional
Load
Supply
Side
Social & Production

Electricity Prices
Environmental
(Lcoe) Impact Costing
Deduct the
CO2 saving
price of CO2
and trading
in (Lcoe)
Environmental Benefit
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Conclusions
Based on the daily base load of 297.5 kWh/HH per day,

20 years of service life of PV system and 10 years for
Diesel Genset system; and economic parameters of
discount rate 6.5%, inflation 4.5% and fuel price
escalation rate 5.5%:
1. Life Cycle Costs of SHS (56,476 THB), BCS (96,989 THB),

CMG (878,296 THB) and DG (167,321 THB).
2. Life Cycle unit cost of energy generated by each system

were found to be SHS (26), BCS (45), CMG (57) and DG
(11).
3. 16.8 and 109.9294 litres of kerosene and diesel can be

saved, hence saving 20,416.8 kg of over the life cycle of
the SHS per household at 2005 CO2 emission rates.

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Recommendations
1. Detailed Survey of Load Profile and Social Status of the
community has to be carried before project
implementation of Rural Electrification Project.
2. An acceptable system should be selected based on the
survey.
3. Users should be well trained about functionality of the
system.
4. System should be installed properly to gain the
maximum yield from the installed system.
5. A strict installation and wiring standard should be
implemented to avoid any accidents.
6. A single watch dog Governmental Organization should
be formed to check and monitor the standard of
installed system and operation periodically.

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Anticipated Benefits of the Study
1. The research would play key role for government s

investment decision making for rural electrification
and would guide in selecting suitable PV system for
different geographical rural areas.
2. With the availability electricity to rural people from

photovoltaic system, provides basic needs of
people such as lighting and news information for
people who live in un-electrified area where PEA
grid can not access.
3. The model can be used for neighboring countries

such as Cambodia and Lao PDR for rural
electrification planning.

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“Energy and Economic Evaluation Model

Ms. Prapita Thanarak

Dissertation : Prapita Thanarak, October 9, 2006

Major Adviser: Prof. Dr.-Ing. Juergen Schmid

1) Assoc. Prof. Dr. Wattanapong Rakwichian

2) Asst. Prof. Dr. Suchart Yammen

1) Assist. Prof. Dr. Pumisak Intanon

1) Assoc. Prof. Dr. Uriwan Vijaranakul

2) Dr. Nivat Nabheerong

Dissertation : Prapita Thanarak, October 9, 2006

Energy Policy and Planning Office (EPPO)

Deutscher Akademischer Austausch Dienst (DAAD)

School of Renewable Energy Technology (SERT)

Provincial Electricity Authority (PEA)

Electricity Generating Authority of Thailand (EGAT)

Dissertation : Prapita Thanarak, October 9, 2006

1 ) To determine the suitable photovoltaic systems for

2 ) To study the energy and economic evaluation model

3) To study the Socio-Economic Impact of

Dissertation : Prapita Thanarak, October 9, 2006

Scope of the Study

Three photovoltaic systems which were considered

Solar Home System (SHS)

Battery Charging Station (BCS)

Centralized Mini Grid (CMG)

Intra-comparison of the PV systems

Dissertation : Prapita Thanarak, October 9, 2006

1 ) Field visits, Systems Inspection & Interview End-users

2 ) Economic analysis PV systems and Diesel Generator

3) Develop suitable economic model

Dissertation : Prapita Thanarak, October 9, 2006

Illustrative Example of Household

Dissertation : Prapita Thanarak, October 9, 2006

Forecasted Value of National Energy Consumption

Conventional Power Plants

Dissertation : Prapita Thanarak, October 9, 2006

Hydro Power Plants

Pumiphol Dam Srinakarin Dam

Dissertation : Prapita Thanarak, October 9, 2006

Large Scale PV Power Plant

Dissertation : Prapita Thanarak, October 9, 2006

High Potential Low Development

Dissertation : Prapita Thanarak, October 9, 2006

Study the installed PV system at site

Compare advantage and disadvantage

Dissertation : Prapita Thanarak, October 9, 2006

Solar Home System

Dissertation : Prapita Thanarak, October 9, 2006

Battery Charging Station

Dissertation : Prapita Thanarak, October 9, 2006

Battery Charging Station

Dissertation : Prapita Thanarak, October 9, 2006

Centralized Mini Grid

Dissertation : Prapita Thanarak, October 9, 2006

Results & Discussions

Renewable Energy for Sustainable Development

Dissertation : Prapita Thanarak, October 9, 2006

Dissertation : Prapita Thanarak, October 9, 2006

Dissertation : Prapita Thanarak, October 9, 2006

Results & Discussion

Evaluation of Impacts of PV Rural Electrification System