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This project develops a mini-grid hybrid power system to provide reliable supply of clean water supply for rural areas and emergency relief conditions. This design process includes the mini-grid power system with desalination plant and economic analysis for the whole project life cycle. The mini-grid power supply introduces solar power as the sole power supply after considering the geographical conditions of rural areas that make it not viable to build transmission line interconnection with the existing National Grid. Currently, these remote areas are highly depending on diesel generators which the transportation cost of fuel is often unaffordable. Furthermore, natural disasters such as tsunami, flood, earthquake, typhoon and volcanic eruption usually results in isolated areas which creates plenty of opportunities for renewable energy applications in emergency relief conditions where the massive destruction of infrastructures for power and clean water supply usually took place. The design scenario of mini-grid power system will be utilising solar and batteries as the energy storage system. This mini-grid power system will be supplying reliable power supply for desalination plant to provide clean water supply. The economic issues that will be considered are the initial capital cost invested, the total net present cost (NPC), the cost of electricity (COE) generated by the system per kWh and the simple payback time (SPBT) for the project. In addition, this project will support the renewable energy applications to reduce the green house gas (GHG) emission as following Malaysia's commitment to reduce greenhouse gas emission intensity by 40% by 2020. The simulation studies will be based on an actual set of conditions in a remote area in Pulau Tuba, Langkawi using HOMER. Experimental prototype of mini-grid inverter and desalination plant are developed to verify the reliability of power and water supply.