South Africa’s persistent electricity supply constraints and escalating tariffs have intensified interest in alternative and reliable energy solutions for commercial users. This paper presents a techno-economic feasibility study of a grid-connected solar photovoltaic (PV) system integrated with battery energy storage for a commercial facility in Cape Town, South Africa. Monthly electricity consumption data over a 12‑month period were analysed to determine load characteristics and system sizing requirements. PVSyst simulation software was employed to estimate energy yield, system losses, and performance ratio, while a detailed bill of quantities was used to determine capital investment costs. Economic viability was evaluated using net present value (NPV) and internal rate of return (IRR) over a 20‑year project lifespan, incorporating electricity tariff escalation, operation and maintenance costs, component replacement, and insurance costs. The proposed hybrid system comprises 102.4 kWp of installed PV capacity, two 50 kVA hybrid inverters, and 80 kWh of lithium‑ion battery storage. Results indicate a positive NPV of R45.36 million and an IRR of 27.55%, confirming the project’s economic viability. The findings provide practical guidance for commercial renewable energy investments in regions facing grid unreliability.

Keywords

Solar photovoltaic systems; Battery energy storage; Techno‑economic analysis; Load shedding; Commercial energy systems