Design optimisation for a hybrid renewable microgrid: Application to the case of Faial island, Azores archipelago

The integration of intermittent renewable energy sources (RES) represents a great challenge for any energy system. In particular, islanded microgrids with a high penetration of renewables experience a strong need for technologies that allow to match demand and production at any moment. This work aims at proposing an optimised design for the energy system of Faial, an island in the Azores archipelago, featuring the highest possible renewable energy penetration that can be obtained respecting the technological and financial feasibility constraints. To this purpose, a model has been developed, using weather and electric demand measured data to combine and size optimally the components of a hybrid energy system. The model can be varied in its constraints to fit at best the multi-objective nature of the problem, where the conflicting objectives are the Net Present Value, its Renewable Energy Fraction and the Energy Index of Reliability. Once a set of possible optimal design has been determined, a system design featuring 5504 kW of geothermal installed power and 6208 kWh of BESS (Battery Energy Storage System) capacity, together with the already present thermal generators and 4250 kW of wind turbines, has been analysed more in detail. Monte Carlo simulations with synthetic time series have been performed to investigate the impact on the project of the variability in wind speed and in energy demand, highlighting the robustness of the selected design. •We propose an optimised design for the energy system of Faial, an island in the Azores archipelago.•The model features the highest possible renewable energy penetration respecting the technological and financial constraints.•Monte Carlo simulations were performed to investigate the impact of the variability in wind speed and energy demand.