Investment risk analysis for photovoltaic power plant in the free contracting environment

This research work presents a methodology for investment risk analysis in a photovoltaic power plant. Stochastic modeling are developed for the variables solar irradiance, photovoltaic panel temperature and price of electricity in the Brazilian spot market. A case study is presented to validate the applicability of the methodology. The method is developed considering various characteristics of the Brazilian market, specifically for the Free Contracting Environment, but can be adapted to other markets.