Evaluating the Non-participation Penalty in Renewable Energy Utilization to Supply a Portion of Electricity for large Industries in Iran

This paper, investigates the consequences of Non-Participation Penalty (NPP) imposed on large industries in Iran for their non-compliance with renewable energy usage. The study presents ten distinct configurations of a hybrid system incorporating grid, wind turbines (WTs), photovoltaic (PV), and diesel generator. HOMER Pro software was used to evaluate scenarios based on real data from a large industrial plant, analyzing the impact of variables on economic parameters, with a particular focus on NPC. According to the results, the integration of diesel generators in WT and PV combinations leads to reductions in both Net Present Cost (NPC) and Cost of Energy (COE) within the hybrid systems and using renewable energy is more cost-effective than accepting the fine and using only the grid until electricity prices increase by $5 \%$ annually. Also, its NPC is at least 4.62${\$}$ less.