Optimization of a Brownfield Microgrid Comprising a Diesel Power Plant, Solar Power Plant, and Energy Storage System to Support the Diesel Power Bunaken Island: Integration of HOMER Pro and PLS-SEM

Eben Ronitua Sitompul; Tri Wahyu Adi

doi:10.59141/jiss.v7i8.2541

Authors

Eben Ronitua Sitompul Institut Teknologi PLN
Tri Wahyu Adi Institut Teknologi PLN

DOI:

https://doi.org/10.59141/jiss.v7i8.2541

Keywords:

brownfield optimization, dedieselization, HOMER Pro, microgrid, PLS-SEM, Bunaken Island

Abstract

Bunaken Island operates a diesel–PV–BESS hybrid microgrid; however, diesel dependence remains substantial because of degraded PV capacity, limited energy storage, and a temporal mismatch between solar generation and evening peak demand. This study evaluated a brownfield-based dedieselization strategy using a sequential explanatory mixed-methods approach. Four scenarios were simulated using HOMER Pro: baseline, dispatch optimization, PV revitalization, and 100% renewable dedieselization. The simulation outputs were subsequently integrated with Partial Least Squares Structural Equation Modeling (PLS-SEM) to examine the relationships among economic performance, technical performance, environmental and social factors, and microgrid optimization. Under the baseline assumptions, revitalizing the PV system to 287 kWp while retaining the existing 540 kWh BESS resulted in a net present cost (NPC) of US$8.386 million and a levelized cost of energy (LCOE) of US$0.327/kWh, compared with US$11.261 million and US$0.440/kWh, respectively, under the baseline scenario. Renewable energy penetration increased from 4.66% to 24.30%, accompanied by an annual diesel fuel reduction of approximately 116,000 liters. A 100% renewable configuration was technically feasible with 2,000 kWp of PV capacity and a 6,480 kWh BESS but required approximately US$4.52 million in capital expenditure. The PLS-SEM model yielded an R² value of 0.998 for microgrid optimization; economic performance was the strongest determinant (f² = 90.428), while technical performance contributed primarily through its effect on economic performance. The findings supported a phased optimize–modernize–decarbonize pathway for energy transitions in small-island and conservation-area microgrids.

References

Afriani, M. D., & Poletti, S. (2026). Evaluating renewable energy pathways and emissions targets in Indonesia: An OSeMOSYS-based economic and sensitivity analysis of PLN. Energy Policy, 211, 115093.

Ajiboye, O. K., Ochiegbu, C. V., & Ofosu, E. A. (2023). A review of hybrid renewable energies optimisation: Design, methodologies, and criteria. https://doi.org/10.1080/14786451.2023.2227294

Ali, S., Zheng, Z., Aillerie, M., Sawicki, J., & Hissel, D. (2021). A review of DC microgrid energy management systems dedicated to residential applications.

Amer, A., Massoud, A., & Shaban, K. (2024). Optimization of hybrid renewable-diesel power plants considering operational cost, battery degradation, and emissions. Heliyon, 10(6), e27021. https://doi.org/10.1016/j.heliyon.2024.e27021

Arévalo, P., Ochoa-Correa, D., Villa-Ávila, E., Espinoza, J. L., & Albornoz, E. (2025). Decarbonizing insular energy systems: A literature review of practical strategies for replacing fossil fuels with renewable energy sources. Fuels, 6(1), 12.

Baniya, B., & Giurco, D. (2024). Cost-effective and optimal pathways to selecting building microgrid components. Energy and Buildings, 324, 114896. https://doi.org/10.1016/j.enbuild.2024.114896

Frick, N. M., Eckman, T., Leventis, G., & Sanstad, A. H. (2021). Methods to incorporate energy efficiency in electricity system planning and markets.

Galli, B. J. (2018). How to effectively use economic decision-making tools in project environments and project life cycle. IEEE Transactions on Engineering Management, 67(3), 932–940.

Gholami, M., Muyeen, S. M., & Abokhamis, S. (2023). Development of new reliability metrics for microgrids: Integrating renewable energy sources and battery energy storage system. Energy Reports, 10, 2251–2259. https://doi.org/10.1016/j.egyr.2023.09.047

Gomes, J. G., Xu, H. J., Yang, Q., & Zhao, C. Y. (2021). An optimization study on a typical renewable microgrid energy system with energy storage. Energy, 234, 121210. https://doi.org/10.1016/j.energy.2021.121210

Hamilton, J., Negnevitsky, M., Wang, X., & Lyden, S. (2019). High penetration renewable generation within Australian isolated and remote power systems. Energy, 168, 684–692.

Holdmann, G. P., Wies, R. W., & Vandermeer, J. B. (2019). Renewable energy integration in Alaska’s remote islanded microgrids: Economic drivers, technical strategies, technological niche development, and policy implications. Proceedings of the IEEE, 107(9), 1820–1837.

Ishraque, F., Shezan, S. A., Ali, M. M., & Rashid, M. M. (2021). Optimization of load dispatch strategies for an islanded microgrid connected with renewable energy sources. Applied Energy, 292, 116879. https://doi.org/10.1016/j.apenergy.2021.116879

Luchkov, K., Chipriyanov, M., Chipriyanova, G., & Marinov, M. (2026). A scenario framework for investment appraisal and shared risk in smart microgrids in industrial zones. Journal of Risk and Financial Management, 19(8), 578.

Ma, Z. G., Værbak, M., Cong, L., Billanes, J. D., & Jørgensen, B. N. (2025). Enhancing island energy resilience: Optimized networked microgrids for renewable integration and disaster preparedness. Electronics, 14(11), 2186.

Miao, H., Yu, Y., Kharrazi, A., & Ma, T. (2023). Multi-criteria decision analysis for the planning of island microgrid system: A case study of Yongxing Island, China. Energy, 284, 129264. https://doi.org/10.1016/j.energy.2023.129264

Odetoye, O. A., et al. (2023). Multi-year techno-economic assessment of proposed zero-emission hybrid community microgrid in Nigeria using HOMER. Heliyon, 9(9), e19189. https://doi.org/10.1016/j.heliyon.2023.e19189

Peerapong, P., & Limmeechokchai, B. (2017). Optimal electricity development by increasing solar resources in diesel-based micro grid of island society in Thailand. Energy Reports, 3, 1–13.

Perwez, U., Sohail, A., Hassan, S. F., & Zia, U. (2015). The long-term forecast of Pakistan’s electricity supply and demand: An application of long range energy alternatives planning. Energy, 93, 2423–2435.

Prasetyo, S. D. (2026). Techno-economic evaluation and policy frameworks for renewable energy in Indonesia’s frontier, outermost, and least developed (3T) regions: Pathways to sustainable regional electrification. Next Energy, 12, 100655.

Prawitasari, A., Nurliyanti, V., Maharani, D., Utami, P., & Nurdiana, E. (2024). A systematic decision-making approach to optimizing microgrid energy sources in rural areas through diesel generator operation and techno-economic analysis: A case study of Baron Technopark in Indonesia. 13(2), 315–328.

PT PLN (Persero). (2025). Rencana usaha penyediaan tenaga listrik (RUPTL) 2025–2034.

Reber, T., Burman, K., & Hirsch, B. (2016). Sustainable energy for remote Indonesian grids: Strategies to accelerate nationwide deployment. National Renewable Energy Laboratory.

Riayatsyah, T. M. I., Geumpana, T. A., Fattah, I. M. R., Rizal, S., & Mahlia, T. M. I. (2022). Techno-economic analysis and optimisation of campus grid-connected hybrid renewable energy system using HOMER Grid.

Simatupang, D., Sulaeman, I., Moonen, N., Maulana, R., & Baharuddin, S. (2021). Remote microgrids for energy access in Indonesia—Part II: PV microgrids and a technology outlook.

Sinha, S., & Chandel, S. S. (2014). Review of software tools for hybrid renewable energy systems. Renewable and Sustainable Energy Reviews, 32, 192–205. https://doi.org/10.1016/j.rser.2014.01.035

Sulaeman, I., et al. (2021). Remote microgrids for energy access in Indonesia—Part I: Scaling and sustainability challenges and a technology outlook.

Wolf, F., Surroop, D., Singh, A., & Leal, W. (2016). Energy access and security strategies in Small Island Developing States. Energy Policy, 98, 663–673.