Energies 16 04725
Energies 16 04725
Review
Hybrid Energy Systems for Buildings: A Techno-Economic-Enviro
Systematic Review
Morteza Nazari-Heris 1 , Atefeh Tamaskani Esfehankalateh 2 and Pouya Ifaei 3, *
Abstract: Hybrid energy systems physically or conceptually combine various energy generation,
storage, and/or conversion technologies to reduce costs and improve capability, value, efficiency,
or environmental performance in comparison with independent alternatives. Hybridization is an
interesting energy sector solution for plants to expand their flexibility, optimize revenues, and/or
develop other useful products. Integrated hybrid energy systems’ improved flexibility can hasten
the integration of more renewable energy into the grid and help become closer to the target of
zero-carbon energy grids. This paper aims to provide an updated literature review of design and
applications of hybrid energy systems in buildings, focusing on economic, environmental, and
technical viewpoints. This current study will analyze current and future trends toward hybrid energy
systems for buildings and their functions in electrical energy networks as potential research study
topics for the future. This study aims to enhance sustainable building techniques and the creation of
effective electrical energy networks by offering insights into the design and applications of hybrid
energy systems. The methodology used in this study entails assessing present and potential trends,
as well as looking at hybrid energy system uses and designs in buildings. The higher flexibility of
integrated hybrid systems, which enables enhanced grid integration of renewables, is one of the key
discoveries. The discussion of potential research study themes and conceivable applications resulting
Citation: Nazari-Heris, M.; from this research forms the paper’s conclusion.
Tamaskani Esfehankalateh, A.; Ifaei,
P. Hybrid Energy Systems for Keywords: hybrid energy systems; energy conversion technology; buildings; energy system design;
Buildings: A Techno-Economic-Enviro renewable energy sources
Systematic Review. Energies 2023, 16,
4725. https://doi.org/10.3390/
en16124725
on the environment. Given that the building sector currently makes up 20–40% of all
energy consumption in developed nations [3], renewable energy applications are viable
replacements for fossil fuels to lessen the impact of the building industry’s energy issues
and environmental pollution. Solar and wind energy are two examples of renewable
applications that have grown significantly in recent years [4]. Applications for wind energy,
such as wind turbines, are often installed on a large scale [5] and widely used in distant
and offshore places [6]. Solar energy is a better choice as a power supply source and
is simpler to integrate with existing structures for buildings, with limited installation
area, a need for vibration control, and unfavorable wind environments in urban contexts.
However, to acquire a stable and dependable power supply, matching energy storage
technologies are required, because solar energy and wind power are typically intermittent
and unpredictable [7] and thus not continuously consistent with building demand. The
integrated energy storage unit may control the utility grid frequency for on-grid renewable
energy systems as well as adapt the solar power flow to match the building demand and
increase energy autonomy [8]. Therefore, for efficient power delivery to buildings, it is
important to research the integration of different electrical energy storage (EES) technologies
with PV systems.
The adoption of hybrid energy systems in buildings is also being supported by ad-
vances in technology, such as improved battery storage and energy management systems.
These technologies allow for better integration and optimization of renewable energy
sources, which can further enhance the efficiency and reliability of these systems. The
adoption of hybrid energy systems in buildings is gaining momentum due to the growing
need for sustainable and efficient energy solutions. Technological advancements such as
improved battery storage and energy management systems are playing a crucial role in
supporting this trend. Hybrid energy systems combine multiple sources of energy, such
as solar and wind power, with traditional grid electricity to meet the energy demands of
buildings. Improved battery storage technology allows for the storage of excess energy
generated by renewable sources for use during times of high demand. Additionally, en-
ergy management systems can optimize energy usage and reduce waste by monitoring
and controlling energy consumption in real time. These advancements in technology are
contributing to the wider adoption of hybrid energy systems in buildings, leading to a
more sustainable and resilient future for the built environment [9].
In addition to reducing greenhouse gas emissions and improving energy efficiency,
hybrid energy systems in buildings can also lead to cost savings over the long term. A
report by the Rocky Mountain Institute found that hybrid energy systems can provide
a cost-effective alternative to traditional energy sources, with potential savings ranging
from 10% to 60% on energy bills depending on the specific circumstances. Hybrid energy
systems combine renewable energy sources, such as solar and wind power, with traditional
energy sources, such as fossil fuels, to create an efficient and sustainable energy solution.
This integration of energy sources allows for greater energy efficiency and reduced reliance
on traditional energy sources, resulting in reduced greenhouse gas emissions and lower
operating costs for building owners. As the benefits of hybrid energy systems become
more widely recognized, they are increasingly being adopted in commercial and residential
buildings to reduce energy costs and to promote sustainable practices [10].
analyzes different methods used by researchers and identifies new generation artificial
intelligence algorithms as the most popular for optimization studies. The study suggests
using hybridization of multiple algorithms to overcome limitations of a single algorithm
and identifies additional techniques for further research in the design of PV-wind hybrid
systems. The authors in [13] provide an overview of the functional integration of hybrid
renewable energy systems (HRES) in multi-energy buildings, highlighting the potential
benefits and challenges associated with their application in the residential building sector.
The focus is on building-integrated HRESs, with at least two renewable energy sources,
and their integration with thermal and electrical loads, as well as external multiple en-
ergy grids, to provide flexibility services. The paper describes new holistic approaches to
management problems and more complex architectures for optimal control. The current
status of solar hydrogen production methods and the energy and exergy efficiencies of a
photovoltaic-hydrogen/fuel-cell hybrid energy system are reviewed in [14] for the case of
Denizli, Turkey for stationary applications. The results indicate that the hydrogen path
is the least efficient due to the addition of the electrolyzer, fuel cells, and second inverter
for hydrogen production and utilization. The authors in [15] review recent developments
in the classification, evaluation, and sizing methodologies of hybrid renewable energy
systems, which are proposed to overcome the variability of a single renewable energy
source. The authors suggest that decision makers should pay attention to environmental
and social indicators when determining the system capacity and that hybrid methods with
high accuracy and fast convergence are the most promising sizing method. In Ref. [16], the
penetration of wind power into hybrid renewable energy systems is reviewed, which is a
solution to current energy deficiencies in different countries around the world. The study
considers economic and technical factors and finds that most countries have identified the
potential for wind power generation using available wind energy resources, with Asian
countries having the potential to penetrate wind energy into hybrid systems and European
countries being ahead in terms of technical development.
1.4. Organization
The remainder of this paper is organized as follows: Section 2 focuses on the economic
aspect of hybrid energy systems in buildings, a review of recent papers, and some tables
and graphs. Section 3 discusses the environmental aspect of hybrid energy systems in
buildings, a review of recent papers, and some tables and graphs. Section 4 focuses on the
technical aspects of hybrid energy systems in buildings, a review of recent papers, and
some tables and graphs. Finally, Section 5 provides the conclusions and future work.
because of its better consistency with long-term construction projects [26]. On the other
hand, the total costs are used in comprehensive reports of a project. These indices include
sufficient details of the probable costs [27]. The initial investment costs are calculated,
regardless of future political and economic fluctuations such as volatile inflation, recession,
or incentives [28]. The indices of this category are used to provide the stakeholders,
investors, and beneficiaries of a project with sufficient information about the requirements
of a project. In contrast, total revenue represents all the economic benefits of a hybrid
energy system in a building. Counting carbon reduction or other economic-environmental
benefits can be improved while shifting from conventional to hybrid systems [29]; hence,
they are usually preferred in macro-economic studies and national policies.
In contrast to costs, total revenue represents all the economic benefits of a hybrid
energy system in a building. Counting carbon reduction or other economic environmental
benefits can be improved while shifting from conventional to hybrid systems [29]. The
latter term includes the project’s running, maintenance, and contingency costs. Finally, the
system’s net present cost (NPC) is a mature term to present all these costs, regardless of
annual economic changes. In other words, all costs are agglomerated, but the computational
economic parameters are assumed to equal the present values in obtaining this cost [30].
The payback is usually calculated according to the NPC. It represents a period of time
required to earn all the investment by selling the products of a system [31]. Considering
the dynamic social and environmental costs and benefits of a hybrid system, the payback
can be obtained from stochastic models with several scenarios [32]. The cost ratio would
replace the above-mentioned metrics to obtain a fraction of costs in a comparative economic
model [26]. The internal rate of return follows a similar formulation to the net present
value and represents the profitability of a project with respect to the cash flows [33], despite
the significance of the number and duration of failure in operation and maintenance
models of the renewable energy systems, which is usually calculated with lifecycle costs
of a project [34]. The total annualized cost (TAC) is the most reliable index encompassing
prominent economic parameters of hybrid energy systems. It is a function of the total capital
costs of an engineering system and a capital recovery factor of the economic system [35].
TAC is used in both the theoretical engineering literature and management reports.
The applications of hybrid energy systems in buildings have been economically evalu-
ated using the metrics mentioned above and some other indices. Some of the recent articles
and their highlighted economic constraints are summarized in Table 1. The systems have
been proposed for different purposes in various climates and built environments, hence
they are composed of different equipment. The correlation between the climate and system
configuration significantly controls the economics of hybrid renewable energy systems
in the built environment. Following a global trend, BAT-assisted solar PVs have been
applied in most systems. WTs are the second most abundant weather-driven renewable
component used to increase the reliability of hybrid systems in appropriate conditions. The
hybrid renewable energy systems can accommodate mini-WTs in building applications.
The systems have usually been modeled with their utilities, but the costs of the resources
have been addressed when necessary [36]. The economic constraints mainly depend on
the objectives of the studies. For instance, comparative analyses could be easily completed
by hiring NPC as the economic criterion. However, the COE and LCO are used when the
aim is to supply the market with the produced energy; the total costs are employed for
complicated systems. Among various economic constraints, TAC is the most flexible one to
be updated by environmental and social life-cycle parameters in advanced appraisals. Even
though economic analyses aid quantitative estimations over applications of hybrid systems,
final decisions should be made considering the social, environmental, and technical aspects
of the projects. This is attributed to the erratic behavior of the natural resources as well as
the unpredictable consumption patterns in the buildings.
Energies 2023, 16, 4725 6 of 15
Table 1. A summary of the literature around hybrid energy systems for buildings considering
economical viewpoints.
Hybrid System
Ref. Main Objective Economical Constraints Published Year
Equipment
A new system was proposed;
[37] multi-objective optimization was PV, BT Total annual cost (TAC) 2023
carried out
The best optimum hybrid
[38] renewable energy system was PV, WT, DG Net present cost (NPC) 2022
proposed in school
Total net present cost
(NNPC), initial cost (IC),
A novel dispatch strategy replacement cost (RC),
[36] PV, WT, BAT, DG 2020
was developed operation and maintenance
cost (O&M),
resource-related costs
A hybrid energy system was
Energy cost, the annual
[39] proposed that used surplus PV 2021
total cost
electricity to make hydrogen
A methodology for the optimal
[40] design of hybrid systems was PV, WT, BAT, DG COE 2021
analyzed and proposed
A sufficient optimization
[41] method for optimal sizing PV, DG, FC TNPC 2019
was introduced
Energy management
[42] optimization and also the PV, WT, BAT Cost of electricity (COE) 2019
optimal sizing were investigated
The viability of developing a
stand-alone hybrid RES system
[43] PV, WT, BAT, DG NPC, COE 2019
was assessed using solar
and wind
Techno-economic feasibility of
[44] PV-Wind hybrid energy systems PV, WT COE 2017
was performed
The size of the optimal hybrid Total cost of electricity
[45] PV, WT, BAT 2018
energy system was analyzed (COE)
and lower carbon emissions when they are combined with energy-efficient building design
and energy management strategies [52]. For instance, building-integrated photovoltaic
systems can be incorporated into the building envelope to generate renewable energy and to
lower the energy requirements of the structure [53], which is similar to how energy-efficient
building designs that include passive solar heating, natural ventilation, and energy-efficient
lighting and appliances may considerably lower a building’s energy consumption and
improve the effectiveness of hybrid energy systems.
The life-cycle environmental effects of power produced by a home hybrid system
that combines solar PV and lithium-ion batteries are presented in [54]. Seven regions of
Turkey are taken into consideration, together with the variations in insolation and other
climatic factors; the implications are evaluated for both individual installations and at
the national level. The system can provide between 12.5% and 18.4% of a household’s
annual electricity demands, according to the results. It produces 4.7–8 times more energy
than it uses throughout the course of its lifetime. Except for human toxicity, which is
mostly caused by the battery, the production of system components and raw materials,
both of which are heavily associated with solar photovoltaics, are shown to be the major
environmental hotspots. Based on the research conducted in [55], it is possible to build a
community that uses almost little-to-no energy by using a distributed energy system (DES),
which combines hybrid energy storage with fully utilized renewable energies. The DES
configuration is optimized in connection to its environment, economy, and net interaction
based on practically zero-energy communities and buildings. The price of equipment, the
price of power, and the carbon tax are all the subject of a sensitivity analysis. The findings
indicate that the new DES’s annual carbon emissions and net interaction are decreased by,
respectively, 51.7–73.2% and 33.5–63.6%, when compared with the reference system.
Table 2 summarizes some of the newly published papers around hybrid energy sys-
tems for buildings with environmental standpoints.
Table 2. A summary of the literature around hybrid energy systems for buildings considering
environmental viewpoints.
Table 2. Cont.
Hybrid energy systems are generally assessed, designed, and optimized according
to their techno-economic concerns. Indeed, the optimal sizing elucidates the ideal hybrid
energy system configuration(s) and requires costs for both operation and technical perfor-
mance [70]. Not only the economic models but the social and environmental performance of
the systems are usually assessed based on their technical models. Independent environmen-
tal or social analyses can be performed following a technical model [71] or various aspects
of a system can be integrated into techno-economic-enviro-social models [72]; in any case, a
technical model is an indispensable part of a comprehensive evaluation. Various technical
indices have been used as optimization constraints, objective functions, and parameters.
Technical indices such as power supply probability (PSP), loss of power supply probability
(LPSP), and loss of load probability (LLP) are introduced as reliability constraints. These
parameters are associated with the probability of failing to supply the demand power
load over time. Electricity production over the entire life-cycle of a hybrid energy system
is represented by EP. The EP is a function of the availability of resources, as well as the
capacity factor of the systems. However, the systems rarely operate at their full capacity.
The efficient operation of a conversion system is usually represented by energy efficiency.
Taking the quality of energy in addition to its quantity into account, exergy efficiency best
serves performance evaluation purposes. Power production, loss factor, voltage availability,
and profile are the factors used to put more emphasis on the electrical performance of the
systems. However, level of autonomy, load margin, renewable penetration, and fraction are
parameters that deal mainly with technical aspects of the hybrid renewable energy systems.
Some of the recent papers regarding the technical aspects of hybrid energy systems in
buildings are summarized in Table 3. According to the table, solar PVs and WTs are the
popular components with an increasing application rate in the buildings. The geographical
location of the built environment determines the type of resources. However, growing
interest in weather-driven renewable energies has motivated many researchers to focus
their designs on solar and wind facilities. Otherwise, useless rooftop and façade areas of
buildings and free spaces in built environments turn them to technically viable alternatives
for solar and wind systems installation, respectively. Reliability and loss constraints have a
crucial role in hybrid systems equipped with batteries. They can readily affect the economic
performance of a system. Considering the trade-off between these metrics, a reliable system
is often noneconomic in a long-term operation. The systems with a high upper bound of
battery sizes are less sensitive than the systems with big storage to the variations of the
demand load and uncertainties of the natural variables. In contrast, the systems retrofitted
by short- and long-term storage facilities are expected to be reliable in meeting dynamic
demand. The technical constraints can provide the evaluation models with a chance of
including social and environmental aspects. Simpler technical models are preferred for
future extensions. Special attention is devoted to production and consumption variables in
management studies, whereas the capacities of the components and their efficiencies are
the major technical constraints for design purposes. Recent research shows an interest in
substituting hydrogen facilities with traditional storage equipment. Although technical
constraints can constitute a full model of the energy systems in buildings, they are usually
complemented by economic, environmental, and social models to present comprehensive
analyses. In these combined models, technical models provide analytical bases.
Energies 2023, 16, 4725 10 of 15
Table 3. A summary of the literature around hybrid energy systems for buildings considering
technical viewpoints.
Hybrid System
Ref. Main Objective Technical Constraints Published Year
Equipment
Different dispatch strategies were Unmet load, excess energy
[73] investigated to find a suitable one for PV, WT, BAT, DG factor, the renewable 2022
the desired location energy portion
Energy consumption, energy
Various analyses were conducted with
production, excess energy,
specific models in the target location
[74] PV, WT, DG unmet load, capacity 2022
to conclude the optimal solution for
shortage, and
continuous power supply
renewable fraction
Natural gas-fired boilers were
replaced by solar borehole thermal Net annual direct energy
[75] energy storage (BTES) and sewage BTES, SHR consumption, net annual 2022
heat recovery (SHR) systems in primary energy consumption
Canadian buildings
The potential of solar and wind power
units was studied to propose effective Energy production and
[76] PV, WT 2019
short-, mid-, and long-term solutions energy consumption
to power crises
Sensitivity of prime and deferrable
[77] loads of hospitals were evaluated PV, WT, BAT System performance 2021
employing hybrid systems
The feasibility of retrofitting
university buildings with hybrid Components’ sizes, power
[78] BAT, PV, WT 2021
renewable energy systems was loss probabilities
studied in Saudi Arabia
A whale optimization algorithm
[79] (WOA) was applied to optimally PV-Biowaste-FC system Reliability 2022
design a hybrid system
An optimal configuration was
obtained with minimum loss of power
[80] PV, WT Primary energy input 2019
supply, net present cost, cost of energy,
and hydrogen production costs
A techno-economic analysis was
performed on a hybrid energy system
[23] PV, WT, BAT Energy demand 2021
and its on-grid and off-grid operations
were investigated
An optimization method was
proposed based on technical, Efficiency of the
[81] PV, WT, BAT 2019
economic, environmental, and hydrogen tank
socio-political objectives.
5. Conclusions
This study reviews existing research on hybrid energy systems for buildings and as-
sesses emerging issues. Energy technologies are combined in hybrid energy systems to save
costs and boost effectiveness, adaptability, and environmental performance. They provide a
viable option for facilities looking to maximize profits and create other beneficial items. Sig-
nificant reductions in greenhouse gas emissions can be achieved by using hybrid systems
to target difficult-to-decarbonize applications and integrate additional renewable energy.
Policymakers, building owners, and stakeholders can be directed toward making effective
policy decisions that encourage the widespread adoption of these systems by building on
the technical, economic, and environmental research offered in this paper. Implementing
Energies 2023, 16, 4725 11 of 15
strong government incentives and subsidies to promote the integration of hybrid energy
systems is a crucial recommendation for policy. Governments can speed up the adoption
of these systems and shorten the payback period by providing financial assistance in the
form of tax credits or grants to building owners. In addition, regulatory frameworks that
mandate or reward the inclusion of hybrid energy systems in building regulations and
standards should be considered by politicians. The building industry would be pushed
toward more eco-friendly and energy-efficient solutions because of this explicit demand for
sustainable energy practices. In addition, supporting R&D projects through collaborations
between government, business, and university can result in technological improvements
and innovation in hybrid energy systems. This would support ongoing system efficiency,
cost-effectiveness, and grid integration improvements, supporting the sustainability and
scalability of these solutions over the long term. Policymakers may successfully harness
the potential of hybrid energy systems, lower greenhouse gas emissions, improve energy
resilience, and promote sustainable growth in the construction industry by putting these
policy proposals into practice.
There are several potential directions for further research in hybrid energy systems for
buildings, in addition to examining present and anticipated trends. These consist of:
• The process of tailoring hybrid energy systems to a certain building type and location
while considering the local climate, energy demand profiles, and resource availability
considering social equity access to energy sources.
• The creation of novel energy storage technologies that can be included into hybrid
energy systems of buildings.
• The real-time optimization of energy production and consumption through the inte-
gration of cutting-edge control systems and artificial intelligence into hybrid energy
systems of buildings.
• The examination of hybrid energy systems’ economic viability and scalability, espe-
cially considering developing nations and off-grid or isolated locations.
• The investigation of cutting-edge business strategies and funding options, including
community ownership models, energy as a service (EAAS) model, and green bond, to
promote the adoption of hybrid energy systems.
• Future lines of action can be expanded for buildings in cities that allow governments
to align their development objectives sustainable development goals (SDGs).
Author Contributions: Conceptualization, M.N.-H.; methodology, M.N.-H., A.T.E. and P.I.; data
curation, M.N.-H. and A.T.E.; writing—original draft preparation, M.N.-H., A.T.E. and P.I.; writing—
review and editing, M.N.-H. and P.I.; supervision, M.N.-H.; funding acquisition, P.I. All authors have
read and agreed to the published version of the manuscript.
Funding: This research was supported by the Brain Pool program through the National Research
Foundation of Korea (KRF) funded by the Ministry of Science and ICT (2019H1D3A1A02071051).
Data Availability Statement: No new data were created or analyzed in this study.
Conflicts of Interest: The authors declare no conflict of interest.
Abbreviations
BAT Battery system
BTES Borehole thermal energy storage
CCHP Combined cooling, heating, and power
CHP Combined heat and power
CAGR Compound annual growth rate
COE Cost of energy
DG Diesel generator
DES Distributed energy system
EES Electrical energy storage
EAAS Energy as a service
HP Heat pump
Energies 2023, 16, 4725 12 of 15
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