Multicriteria Decision Analysis for Renewable Energy Technology Selection in Developing Countries

Abstract

The shift to renewable energy technology is a very important issue for sustainable development, especially in developing nations where access to energy is still a major problem. In this paper, discusses the Multicriteria Decision Analysis (MCDA) that was used as a tool to choose the right renewable energy technologies that can be implemented in developing countries based on the needs and limitations. The paper enumerates some of the important criteria, e.g., cost, environmental consideration, technological viability, and social acceptability, that affect the decision-making process. An example of a case study approach using MCDA methods, such as Analytical Hierarchy Process (AHP), to estimate and rank renewable energy alternatives using a set of criteria. The analysis of the dataset was performed statistically, showing that solar energy is the most efficient (90%), least expensive (0.05 USD/kWh), and wind energy has average performance with a cost of 0.07 USD/kWh and efficiency of 80. Biomass is a bit more expensive (0.09 USD/kWh) and less effective (70 %), but biomass is important in rural locations because of its social acceptance (75 %). The potential of hydropower to reduce CO2 (70 %) is great but the area needed (200 ha) is large. A hybrid system, which is a mixture of solar and wind, offers a moderate solution with 88% efficiency and 78% CO2 reduction, mediocre costs (0.065 USD/kWh), and acreage. The results highlight the relevance of contextual considerations in the choice of renewable energy technology and the need to incorporate the local economic, social, and environmental factors in the decision-making process. The paper ends with suggestions on how policymakers in third-world countries should apply MCDA to make informed decisions to ensure that the uptake of renewable energy remains consistent with sustainable development goals (SDGs).