Impact of Photovoltaic Module Performance Degradation Rate on LCOE of Utility Scale Systems

Abstract

This work examines the impact of different photovoltaic (PV) module degradation rates on the system level degradation for PV systems with DC-AC ratios ranging from 1.0-1.6, typical of the utility scale PV market. Annual module degradation rates ranging from 0.3%-0.7% are simulated in sites with high and low solar resource availability in the United States. Results are presented evaluating the influence of site irradiance, DC-AC ratio, and module degradation rate when predicting degradation of utility scale PV system performance. The diminished influence of module degradation rate in typical utility PV system configurations is analyzed and quantified as it pertains to the levelized cost of energy (LCOE).