Techno-economic and environmental assessment of photovoltaic–battery microgrids across diverse U.S. states
Article
Tufail, S, Riggs, H, Sarwat, A. (2026). Techno-economic and environmental assessment of photovoltaic–battery microgrids across diverse U.S. states
. 30 10.1016/j.ecmx.2026.101668
Tufail, S, Riggs, H, Sarwat, A. (2026). Techno-economic and environmental assessment of photovoltaic–battery microgrids across diverse U.S. states
. 30 10.1016/j.ecmx.2026.101668
The global shift toward cleaner energy is continuously increasing the demand for PV–Battery as these technologies not only cut emissions but also strengthen resilience and provide attractive financial prospects. In this study we present a techno-economic and environmental assessment of PV–battery microgrids across seven U.S. states. In this finance and hardware assumptions are standardized so that differences arise directly from solar resource, tariff structures, and operating patterns. California was the most favorable case with an NPV approaching $7.7M, ROI 93%, with payback period of about 5 years. While, Arizona produces the greatest energy yield and the lowest LCOE around $0.069/kWh, yet limited electricity prices limits its ROI 36%. Maine shows that strong tariffs can compensate for weak solar yield, achieving ROI 49% with the lowest energy output. The comparison reveals number of outcomes. States as California, Arizona, and Maine deliver NPVs in the range of $4M-$8M and ROIs between 36 and 93%, while marginal states Florida and Kansas barely touched feasibility with ROIs barely reaching 7%–12%. Montana proves the weakest economically with NPV only $0.33M and ROI below 4%, though it provides the most substantial environmental benefit with avoided emissions exceeding 56,000 tonnes of CO2 owing to its carbon-heavy grid. Performance indicators across all states span considerable ranges, with LCOE values between $0.069-$0.101/kWh, first-year savings from $0.33M up to $1.22M, and load offsets from 47%–65%. A ±20% tariff sensitivity preserves the ranking of states but shifts the threshold of viability, often pushing lower-tier states into negative NPVs.
