WALLAGA UNIVERSITY

SCHOOL OF GRADUATE STUDIES

COLLEGE OF ENGINEERING AND TECHNOLOGY
DEPARTMENT OF HYDROULIC ENGINEERING

STUDY OF ECONOMIC & TECHINICAL VIABBILITY FOR

REPLACING DIESEL PUMP WITH PV WATER PUMP
(A CASE of WEST WALLAGA ZONE WATER SUPPLY, ETHIOPIA)

BY
TUJUBA SORESSA KILTU

FEBRUARY, 2023 G.C

NEKEMTE, ETHIOPIA
 WALLAGAA UNIVERSITY
SCHOOL OF GRADUATE STUDIES

STUDY OF ECONOMIC & TECHINICAL VIABBILITY

FORREPLACING DIESEL PUMP WITH PV
WATERPUMPSYSTEM
(A CASE OF WEST WALLAGAA ZONEWATERSUPPLY,
ETHIOPIA)

A THESIS SUBMITTED TO WALLAGAA UNIVERSITY, SCHOOL

OF GRADUATE STUDIES, COLLEGE OF ENGINEERING AND
TECHNOLOGY, DEPARTMENT OF HYDRAULIC ENGINEERING FOR
PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE
DEGREE OF MASTERS OF SCIENCE IN HYDROULIC ENGINERING
BY: TUJUBA SORESSA KILTU

MAJOR ADVISOR: DEREJE ADEBA (PhD)

FEBRUARY, 2023
NEKEMTE, ETHIOPIA
 WALLAGA UNIVERSITY
SCHOOL OF GRADUATE STUDIES
FINAL THESIS APPROVAL FORM

As members of the Board of Examining of the Final MSc. thesis open defense, we certify
that we have read and evaluated the thesis prepared by Tujuba Soressa Kiltu under the ti-
tle “Study of Economic & Technical Viability for Replacing Diesel Pump with PV Water
Pump (A case of West Wallaga Zone Water Supply, Ethiopia)” and recommend that the
thesis be accepted as fulfilling the thesis requirement for the Degree of Masters of Sci-
ence in Hydraulic Engineering

_______________________________ ________________ _______________

Chairperson Signature Date
_______________________________ ________________ _______________
Internal Examiner Signature Date

_______________________________ ________________ _______________

External Examiner Signature Date

Final Approval and Acceptance

Thesis Approved by:
__________________________________ _____________________
___________
Department PGC Signature Date

____________________________________ ________________
____________
Dean of College Signature Date

Certification of the Final Thesis

A Confirmation of the thesis I hereby certify that all corrections and recommendations
proposed by the examination board have been incorporated into the thesis entitled Study
of Economic & Technical Viability for Replacement Diesel Pump with PV Water Pump
(A case of West Wallaga Zone Water Supply, Ethiopia) by Tujuba Soressa Kiltu.

_____________________________________ ________________ ____________

Dean of SGS Signature Date

i
 DEDICATION
Thesis is dedicated to my wife Roza Tariku and my sons Sengni and Sura Tujuba for
their dedicated support which has given me great encouragement me to successfully and
timely complete my thesis.

ii
 STATEMENT OF THE AUTHOR

I declare that thesis entitled Study of Economic & Technical Viability for Replacement
Diesel Pump with PV Water Pump (A case of West Wallaga Zone Water Supply,
Ethiopia) is my work and that all sources of material used for thesis have been given due
credit. This work is submitted in partial fulfillment of the requirements for the M.SC de-
gree in Hydraulic Engineering at Wallaga University. I earnestly declare that this work
will not be submitted to any other institution for the award of a degree or diploma any-
where. The thesis is deposited in the university library for loan according to the rules of
the Wallaga University Library. Brief citations from thesis are permitted without special
permission, provided the source is specified. However, Wallaga University, the School of
Graduate Studies, may grant permission for extended citations from this manuscript or the
reproduction of portions of this manuscript. In all other cases, the author's permission
must be obtained.

Name: Tujuba Soressa Kiltu Signature: __________

Date of Submission____________

Location: Wallaga University, Nekemte

iii
 DECLARATION

It is hereby certified thesis entitled “Study of Economic & Technical Viability for Re-
placement Diesel Pump with PV Water Pump (A case of West Wallaga Zone Water Sup-
ply, Ethiopia)” has been accepted in partial fulfillment of the requirements for the award
of the Master of Science in Hydraulic Engineering through the School of Graduate Stud-
ies of Wallaga University through the College of Engineering and Technology conducted
by Tujuba Soressa Kiltu is a genuine work conducted by him under our guidance. The
facts embodied in the thesis have not previously been submitted for the award of an aca-
demic degree or diploma. The support and assistance received during this investigation
were duly acknowledged. Therefore, we recommend that it can be accepted as meeting
the requirements for the research work.

_________________________ _____________________
______________
Major Advisor Signature Date
__________________________ ____________________
_________________
Co-advisor Signature Date

iv
 BIOGRAPHY

The author was born in 1990 GC in Oromia region, West Wallaga zone, Nedjo Woreda,
Sombo Dora Kebele. He attended his elementary education at Gida Wanda Biyo Elemen-
tary School and his high school education at Nedjo Comprehensive Secondary School in
Nedjo City, West Wallaga Zone. He then joined Haramaya University, Faculty of Water
Supply and Environmental Engineering, Department of Soil and Water Engineering for
the course in 2009 and graduated in 2013/14 with BSc degree in 2014. After graduating,
he was employed by Oromia Water, Mineral and Energy office in the West Wallaga Zone
and worked in various positions in the Zone until 2021. Studying hydraulic engineering.

v
 ACKNOWLEDGEMENTS

First, and foremost, I thank the almighty God for making me healthy and happy while
carrying out this thesis work. I would like to express my deepest gratitude to my advisor
Dr. Dereje Adeba for his unlimited constructive advice, comments, scientific criticisms
and continuous evaluations throughout my study. The thesis would not have been accom-
plished without his

valuable, genuine, timely and unreserved guidance and advice. I thank him for his
friendly approach and a dedicated effort to accomplish the thesis successfully.

I would like to acknowledge Oromia Water, and Energy Bureau, World Vision Ethiopia
Nedjo AP for their kind assistance and unlimited cooperation in providing all the neces-
sary material and intellectual resources during the fieldwork. I would like to thank Mr.
Kibiru Geri , Mr. Getacho Rabu, and Tesfaye Soressa for their special assistance during
the fieldwork and Software

works. I would also like to thank Nedjo Town Water Supply Service and all its staff
members, especially Mr. Boshara, Head of the Office, and Nadjo water and energy office
Mr. Merga Hundessa staff office for their kind support during the fieldwork and for pro-
viding the necessary information regarding the water supply system of nedjo rural water
supply scheme. I am also indebted to my friend Abdisa Sendaba for his continuous sup-
port and encouragement to complete the thesis work. My special thank goes to my wife
Roza Tariku and my sons Sagni and Sura Tujuba for their continuous backup to timely
and complete this thesis work. I am also grateful to all my family members, my friends
and others, who have directly or indirectly contributed towards the completion of this
study through moral support.

vi
 ACRONYMS AND ABBREVATIONS

PV: Photovoltaic
DG: Diesel generator
DS: Diesel System
AP: Area program
CSP: Concentrated solar power
GHG: Greenhouse gas
GW: Giga watt
kW: Kilo watt
W: Watt
kWh: Kilo watt hour
NOx: Nitrous oxide
NASA: National Aeronautics and Space Administration
Si: Silicon
DC: Direct current
AC: Alternate current
V: Volt
a-Si: Amorphous silicon
MPPT: Maximum power point tracker
P: Power
I: Current
Temp: Temperature
T: Torque
Ea: Internal voltage generated
Ia: Armature current
Va: Load voltage
Ra: Winding resistance
jX: Synchronous reactance
DP: Life cycle cost
IRR: Internal rate of return
NPV: Net present Value
B-C: Benefit cost ratio
NB: Net benefit

vii
NC: Net cost
ALCC: Annual life cycle cost
SPP: Simple payback period
USD: United states‟ dollar
PW: Present worth
A: Equal annual cost
I: Discount rate
N: Economic life of project
F: Future value
SV: Salvage value
Ic : Initial cost
AW: Annual worth
PW (DG): Present worth of Diesel system
PW (PV) : Present worth of PV system
AW (DG): Annual worth of Diesel system
AW (PV): Annual worth of PV system
UWC: Unit water cost
AWD: Annual water delivery
AS: Annual saving
GRC: Greenhouse gas reduction cost
O&M: Operation and maintenance
PBP: Payback period
NMAE: National Metrological Agency of Ethiopia
Vmp: Voltage at maximum power
Imp: Current at maximum power
Voc: Open circuit voltage
Isc : Short circuit current
Kva; Kilo volt ampere
Gen-set: Generator set
CSA: Central Statistical Agency
E: Irradiance
LCB: linear current amplifier

viii
 Table of Contents
DEDICATION.................................................................................................................... ii
STATEMENT OF THE AUTHOR......................................................................................iii
DECLARATION.................................................................................................................iv
BIOGRAPHY...................................................................................................................... v
ACKNOWLEDGEMENTS.................................................................................................vi
APPENDIX...................................................................................................................... xiii
ABSTRACT...................................................................................................................... xiv
CHAPTER ONE................................................................................................................. 1
1. INTRODUCTION.......................................................................................................1
1.1. Background....................................................................................................................1
1.2. Statement of the problem...............................................................................................4
1.3. Research Questions........................................................................................................5
1.4. Objectives of the Study..................................................................................................5
1.4.1. General Objective...................................................................................................................5
1.4.2. Specific Objectives..................................................................................................................5
1.5. Significance of the Study...............................................................................................5
1.6. Scope of the Research....................................................................................................6
1.7. Thesis Organization.......................................................................................................6
CHAPTER TWO....................................................................................................................8
2. LITERATURE REVIEW...................................................................................................8
2.1. PV Water Pumping System............................................................................................8
2.2. Comparative analysis of pv versus diesel water pumping system..................................8
2.3. Water Pumping Technology...........................................................................................9
2.3.1. Hydraulic Pumps...................................................................................................................10
2.3.2. PV Solar Pumps.....................................................................................................................10

CHAPTER THREE............................................................................................................... 22
3. REEARCH METHODS AND MATERIALS......................................................................22
3.1. Description of the Study Area......................................................................................22
3.1.1. Climate, Hydrology and Vegetation Cover............................................................................24
3.1.2. Vegetation cover and land use-land cove.............................................................................24
3.1.3. Climatic Data of solar radiation.............................................................................................24
3.1.5. Livelihood and Socio-Economic Characteristics....................................................................24
3.4. Research Design..........................................................................................................25
3.5. Sampling Frequency.....................................................................................................26
3.6. Sampling Procedures and Techniques.........................................................................26
3.7. Methods of Data Analysis............................................................................................27

ix
 3.8. Method of Life Cycle Cost Analysis for solar pv Water pump system........................28
3.8.1. Net Present Value.................................................................................................................29
3.8.2. Internal Rate of Return.........................................................................................................29
3.8.3. Benefit-Cost Ratio.................................................................................................................29
3.8.4. Payback Period.....................................................................................................................29
3.8.5. Financial Risk Analysis...........................................................................................................30
3.9. Environmental Impact Comparison analysis................................................................30
3.10. Validity of the Data and Quality Assurance..................................................................31
CHAPTER FOUR.............................................................................................................32
4. RESULTS AND DISCUSSIONS...............................................................................32
4.1. To compare the economic benefit of a solar water pumping system versus a diesel wa-
ter pumping system...................................................................................................................32
4.1.4. Cash Flow Cost Breakdown...................................................................................................46
4.2. LCC Analysis Present Worth Approach.......................................................................51
4.3. Financial Viability Analysis.........................................................................................58
4.3.3. Net Present Value.................................................................................................................59
4.3.4. Annual Life Cycle Saving........................................................................................................59
4.3.5. Benefit Cost Ratio.................................................................................................................60
4.3.6. Total Annual Saving and Income...........................................................................................60
4.3.7. GHG Reduction Cost.............................................................................................................60
4.4. Financial Risk Analysis...............................................................................................61
4.4.1. Impact graph.........................................................................................................................62
4.4.2. Impact of Input Parameters on After-tax IRR-equity.............................................................63
4.4.2.1. Wali Tate Gida..................................................................................................................63
4.4.2.2. Kote Genasi......................................................................................................................64
4.4.2.3. Najo Lega Tabota.............................................................................................................65
4.4.2.4. Eba Wakayo.....................................................................................................................66
4.4.3. Distribution graph.................................................................................................................66
4.4.3.1. Disterbution pre-tax-IRR equity Wali Tate Gida...............................................................67
4.4.3.2. Kote Genasi......................................................................................................................67
4.4.3.3. Distribution energy production Nedjo lega Tabot............................................................68
4.4.3.4. Distribution energy production Eba Wakayo...................................................................68
4.5. Sensitivity Analysis.....................................................................................................69
4.5.1. Nedjo Laga Tabota Example..................................................................................................69
4.5.2. Sensitive analysis of walitate Gida........................................................................................70
4.6. Reliability of Solar PV Water Pumping System...........................................................71
4.7. Greenhouse Gas Emission Reduction Potential of Solar PV........................................74
CHAPTER FIVE...............................................................................................................75
5. SUMMERY CONCLUSION & RECOMMENDATIONS...........................................75
5.1. Summary......................................................................................................................75
5.2. Recommendations........................................................................................................78
REFERENCE................................................................................................................... 79
APPENDEX A.................................................................................................................. 84

x
 LIST OF TABLE

Table 4: 1 result Summary of economic benefit and gas emission Comparison between DS and PV___________32
Table 4: 2Final PV and Diesel System LCC Value of each Water Scheme__________________________________33
Table 4: 3Final Average LCC Summary____________________________________________________________34
Table 4: 4 Initial cost of Diesel Motor______________________________________________________________35
Table 4: 5 Initial Cost of PV Water Pump System_____________________________________________________36
Table 4: 6 Summery of Capital investment cost DS and PV water pump system._____________________________36
Table 4: 7 Operational Costs for the PV____________________________________________________________38
Table 4: 8 Operational Costs for the Diesel System___________________________________________________39
Table 4: 9 summery of Operation cost for DS &PV water pump system___________________________________40
Table 4: 10 Summery of operation cost for DS and PV water pump system_________________________________40
Table 4: 11. Maintenance and replacement interval for diesel engine_____________________________________42
Table 4: 12 Maintenance Costs for diesel water pump system parameter__________________________________42
Table 4: 13 Maintenance cost for Diesel Generator spare part (USS/25year`______________________________42
Table 4: 14 PV Component Replacement Cost_______________________________________________________44
Table 4: 15 Diesel System Component Replacement cost in 25years twice_________________________________44
Table 4.16 : Incoming cost from water sell_________________________________________________________45
Table 4: 17 Diesel generator cost breakdown for walitate Gida_______________________________________46
Table 4: 18 Diesel generator cost breakdown for Kote Genasi__________________________________________46
Table 4: 19 Diesel generator cost breakdown for Najo Lega Tabota______________________________________46
Table 4: 20 Diesel generator cost breakdown for Eba Wakayo__________________________________________47
Table 4: 21 summery DG of incoming cost water sell_________________________________________________47
Table 4: 22 PV cost distribution over its life for Walitate Gida Sprin Source_______________________________48
Table 4: 23 PV cost distribution over its life for Eba Wakayo___________________________________________48
Table 4: 24 PV cost distribution over its life for Kote Genasi____________________________________________48
Table 4: 25 PV cost distribution over its life for Najo Laga Tabota______________________________________48
Table 4: 26 summery of PV in coming cost from water sell_____________________________________________49
Table 4: 27 summery of cost flow break down_______________________________________________________49
Table 4: 28 present worth of Diesel Generators______________________________________________________52
Table 4: 29Presence worth of PV solar_____________________________________________________________53
Table 4: 30Annual worth of the Diesel generator_____________________________________________________54
Table 4: 31 summery of Presence worth and Annual worth of PV________________________________________54
Table 4: 32 summary of Presence worth and Annual PV AND DG_______________________________________54
Table 4: 33Unit water of DS_____________________________________________________________________56
Table 4: 34Unit Water of PV_____________________________________________________________________56
Table 4: 35Summary of LCC Analysis Present Worth Approach PV and DS_______________________________56
Table 4: 36 Summary of fanatical analysis__________________________________________________________61
Table 4: 37Input Parameters and Output Indicators associated with the Monte Carlo simulation performed in the
RETScreen Risk Analysis Model.__________________________________________________________________62

xi
 LIST OF FIGURE

Figure 2:1 PV module characteristics (J. Diesel fuel water pump system______________________________9

Figure 2: 2 PV module characteristics solar water pump system___________________________________10

Figure 2: 3 PV module characteristics________________________________________________________11

Figure 2: 4 PV module characteristics________________________________________________________11

Figure 2: 5PV module characteristics (J Photovoltaic cells, modules and Arrays______________________14

Figure 2: 6 PV module characteristics_______________________________________________________16

Figure 2: 7PV module characteristics________________________________________________________17

Figure 3: 1 Location Map of West Wallaga Zone 22

Figure 4: 2 Cash flow diagram for PV generator ______________________________47

Figure 4: 3 cost flow break down chart PV and DG______________________________________51

Figure 4: 4presence worth and annual worth of PV and DG chart_________________________56

Figure 4: 5Impact on Net Present Value for Wali Tate Gida_____________________________64

Figure 4: 6 Impact on Net Present Value for Kote Genasi_______________________________65

Figure 4: 7 Impact on After-tax IRR-equity for Eba Wakayo_____________________________67

Figure 4: 8 Distribution graph of Pre-tax equality for Wali Tate Gida_____________________68

Figure 4: 9 Distribution graph of EPC for Kote Genasi__________________________________68

Figure 4: 10 Distribution graph of EPC for Nedjo La Tabota_____________________________69

Figure 4: 11 Distribution graph of EPC for Eba Wakayo_________________________________69

Figure 4: 12 sensitive analysis on Nedjo lega Tabota scheme____________________________70

Figure 4: 13 sensitive analysis of walitate Gida__________________________________________71

xii
 APPENDIX
Appendix A: 1 Results of cost saving of Walitate Gida Scheme PV_______________________________________86

Appendix A: 2 Results of financial viability of Walitate Gida PV_________________________________________86

Appendix A: 3 Results of Cost saving and financial viability for Kote genasi PV____________________________87

Appendix A: 4 Results of cost saving for Najo Laga Tabota PV__________________________________________88

Appendix A: 5 Results of financial viability for Najo Laga Tabota PV ___________________________________88

Appendix A: 6 Results of cost saving for Eba wakayo PV_______________________________________________89

Appendix A: 7 Results of financial viability for Eba Wakayo PV________________________________________89

Appendix C: 1 source of potable drink water in west Wallaga zone scheme data col-
lected 90

Appendix D: 1 Najo Laga Tabota SPV water pump system photo

_____________________90
Appendix D: 2 Walitate Gida SPV water photo_____________________________________91

Appendix D: 3 Diesel water pump system when open photo Source: In west Wallaga zone by site
observation__________________________________________________________________91

Appendix E: 1 Water Coverage in west Wallaga data from office

_____________________92
Appendix E: 2 Population in west Wallaga drink potable water________________________92

Appendix E: 3 Fuel consumption form web site_____________________________________94

Appendix E: 4 Solar radiation of data take from website______________________________95

xiii
 ABSTRACT
This study was conducted in the West Wallaga Zone to compare the energy alternatives
and GHG emission reductions of a solar water pump system and a diesel water pump sys-
tem. Total of all schemes in west Wallaga motorized water distribution by diesel genera-
tor were collected and analyzed from Nedjo district kebele, as well as some rural areas
where solar pump water systems were already in place. The solar energy alternative was
analyzed using the RET Screen software program. Diesel generators were analyzed using
a manual calculation formula to compare and contrast with solar water pump systems.
Economic analysis depends on the LCC technique and applying all the necessary proce-
dures. The comparison between the two systems was extended to cover the environmental
impacts. Environmental impacts have been identified and discussed because there is a
greater concern worldwide regarding environmental issues, including greenhouse gas
emissions. The results of this thesis depend on the data collected from the area study of
the existing rural water supply scheme. LCC of Diesel Generator Energy is very expen-
sive, but PV solar energy is very inexpensive.(742,864 USD on average > 146,808
USD).Therefore, PV Solara Energy is good for area study in an economic sense because
the present value (PW) of DS is very high and the PV water pump system's PW is low, so
the PV water pump system was an alternative to consider. (average: 7,254,522 >
189,033), The annual return on the DS investment is high, while the annual return on the
AW PV water pump system, if chosen, is low.(797,997 on average > 20,794)The unit wa-
ter cost of Diesel Energy is very high because the maintenance and fuel consumption of
the schemes are very high; if the UWC of the schemes is low, it can’t run the service. (Av-
erage: 32 > 0.8 USD /M3)Because existing schemes powered by PV solar water pump
systems have a low cost to sell 1 m3 of water, PV systems benefit the community. Because
the LCC of the projects is very high, the schemes powered by diesel generators do not pay
back in the life span period (average: DG has no payback, investment cost, or savings
cost, but PV schemes pay back at 13 years). Using DG Energy was high fuel consump-
tion, but the incoming cost from water sold is the same as PV Energy, which has a small
operation cost and maintained cost, therefore from PV Energy project gate profit.(aver-
age PV solar gate profit), The result of the RET Screen software of the PV solar water
pump system shows us BCR, ALCS, and AS& Income. (Only a PV system can help you
save money.)PV and DG water pump system environmental impact evaluation result: the
PV water pump system reduced GHG emissions (average: 255 USD per ton), but the DG
water pump system polluted the environment. Therefore, PV water pumping systems were
found to be an economically viable and attractive technology that was chosen over diesel
water pumping systems in all sampled kebeles of the West Wallaga Zone

Keywords: economic analysis, life-cycle cost, photovoltaic, sensitivity analysis.

xiv
xv
 CHAPTER ONE
1. INTRODUCTION
1.1. Background
There is a great and urgent need to supply environmentally sound technology for the pro-
vision of drinking water. Remote water pumping systems are a key component in meeting
this need because most people in developing countries live in off-grid areas. Water pump-
ing has a long history, and many methods have been developed to pump water with a
minimum of effort. These have utilized a variety of power sources, including wind, solar,
hydropower, and fossil fuels.

Water resources are essential for meeting human needs, ensuring food production, restor-
ing ecosystems, social and economic development, and sustainable development when
these power sources are used. According to (Feoin Harvey, 2020), water scarcity is ex-
pected to affect more than 3 billion people worldwide, as the amount of freshwater avail-
able to each person has fallen by a fifth or more in the last two decades. We currently,
fund 1 million people in 180 countries through our fearless, independent journalism (New
York/ Stockholm, 2017)

Using these energy sources has its pros and cons. In the past, well pumping in Ethiopia's
off-grid areas was predominantly achieved with diesel generators. Diesel water pumping
systems became more attractive in the second half of the twentieth century with the devel-
opment of fuel supply infrastructure and technology that enabled diesel-powered engines
to pump water from springs. Diesel pumps have the advantage of pumping water as re-
quired, even with different daily flow rates depending on operating times and over large
heads.

Diesel engines have relatively low capital costs but higher operating costs due to their re-
liance on fossil fuel price fluctuations and exchange rate fluctuations. In addition, diesel
engines require regular maintenance linked to their hours of operation and have a rela-
tively short lifespan. This is because the short lifespan of diesel engines is highly depen-
dent on the level of maintenance, operating conditions, and quality of the engine and in-
stallation.

1
Hand pumps are used to pump water from shallow wells, especially in common areas.
These are robust devices that are easy to maintain and have low capital costs.

However, they are limited in terms of delivery volume and installation depth (hydraulic
load limitation (Theobald, 2016). In addition to suitability, this plays a crucial role in
achieving the global climate protection goal of switching to clean energy by reducing
greenhouse gas emissions caused by the use of diesel-based water pump engines (Geleta
Jarso Gelchu, 2019).

Historically, pumping from the source and off-grid areas of Ethiopia was predominantly
achieved with diesel pumps (Belay, Y. and E. Haramaya, 2008).Since most of the coun-
try's rural areas do not have the option of using mains electricity to drive the pumps, they
have instead relied on diesel-powered generators for power (Asefa Kabada.etal, 2013)
However, diesel-based water pumps have many disadvantages, such as high running and
maintenance costs and an unreliable and costly fuel supply (Shim, 2017).

Replacing diesel- based pumps with problems such as: High running costs. Maintenance
costs, operation cost, replacement cost and environmental pollution (Haramaya, 2008).
Diesel water pump systems replaced by solar water pump systems, it may, can improve
community living standards by providing affordable energy to pump water. It also helps
address health, education, and gender issues. In countries like Ethiopia, with plenty of
sunshine, high diesel prices, and year-round water requirements, PV pumping systems
have been found to be economically viable (Argaw, Neway., R. Foster and A. Ellis,
2003).

In addition to the economic benefits of solar pumps, government benefits include reduced
diesel consumption, and associated subsidies, and foreign exchange savings on diesel im-
ports to rural kebeles in the area. Kebels are far from existing grid lines; as a result, fuel
transportation was difficult and often risky due to poor development of road infra-struc-
ture. In addition, diesel-based water pumping systems not only require expensive fuels,
but also incur high maintenance and operating costs that cause noise and air pollution.

Therefore, in order to provide a sustainable solution to the problem related to the tradi-
tional diesel water pumping system; it is better if replaced with a solar water pumping
system to minimize dependency on fuel for a diesel generator. In order to reduce pollu-
tion and increase energy productivity, preference must be given to energy sources that
emit fewer greenhouse gases into the atmosphere (Zanab, N. and Sada, I, 2016).

2
Ultimately, this study can help fill the gap by evaluating the viability and reliability, eco-
nomic analyses of the solar water pumping system and its emission reduction potential in
rural Kebeles of West Wallaga Zone of Oromia Regional State, Ethiopia.

In addition to the economic benefits of solar pumps, government benefits include reduced
diesel consumption and associated subsidies, foreign exchange savings on diesel imports
to rural cables in the area. The Kebels are too far from existing grid lines; As a result, fuel
transportation was difficult and often risky due to poor development of road infra-struc-
ture. In addition, diesel-based water pumping systems not only require expensive fuels,
but also incur high maintenance and operating costs that cause noise and air pollution.

Therefore, in order to provide a sustainable solution to the problem related to the tradi-
tional diesel water pumping system; it is better if replaced with a solar water pumping
system to minimize dependency on fuel for a diesel generator. In order to reduce pollu-
tion and increase energy productivity, preference must be given to energy sources that
emit fewer greenhouse gases into the atmosphere (Zanab, N. and Sada, I, 2016).

Ultimately, this study can help fill the gap by evaluating the viability and reliability,

Economic analyses of the solar water pumping system and its emission reduction poten-
tial in rural Kebeles of West Wallaga Zone of Oromia Regional State, Ethiopia.

3
 1.2. Statement of the problem
Energy demand in Ethiopia has grown very rapidly. However, the share of clean energy
supply for off-grid water pumping has not grown to the same extent. Fossil fuels are the
main energy sources currently believed to be depleted. In addition, these energy sources
can cause significant damage to our environment. It is difficult to reverse such environ-
mental impacts. The harmful gases produced when fossil fuels are burned are CO and
NO. These gases are the main sources of greenhouse gases and are also responsible for
global warming. This environmental challenge can be minimized by looking for alterna-
tive clean energy sources. Because only about 17% of Ethiopians have access to electric-
ity, most rural areas cannot use mains electricity to power pumps and must instead rely on
diesel-powered generators (Belay, Y. and E. Haramaya, 2008).

As previously studied in the case of a diesel generator pumping potable water, the gaps
are filled by replacing power with solar water pump system power, the economic benefits
of solar water pumps, and the reduction of GHG emissions. Although considerable effort
has been implemented to improve and expand access to drinking water supply, many
Ethiopian rural communities still suffer from a shortage of potable drinking water (Asefa
Kabada.etal, 2013), the most valuable natural resource whose relative scarcity (due to
limited accessibility and availability) is a major obstacle to community development; In
many rural areas, water sources are distributed among many rural populations, so in-
stalling a new transmission line and transformers at the site will be very expensive. Hand
pumps, spring development, and diesel pumping systems have been conventionally in-
stalled in such areas; many of them are currently out of service due to a lack of mainte -
nance (Froukh, 2006). These systems are portable and easy to install. However, they have
some major disadvantages, such as: Variable water production and requires frequent on-
site visits for refueling and maintenance, variable water production and requires frequent
on-site visits for refueling and maintenance. In addition, diesel fuel is often expensive and
not readily available in rural areas of many developing countries (Ramos, J.S. and H.M.
Ramos. , 2009)

As a result, a technology for pumping potable water that is both cost-effective and envi -
ronmentally friendly should be developed. The purpose of diesel water pump systems is
to replace alternative energy for domestic water supply, livestock, and irrigation. Fossil
fuel consumption also has negative environmental impacts, particularly the release of car-
bon dioxide (CO2) into the atmosphere (Kumar, A. and T.C. Kandpal. , 2007). Since the

4
study area has favorable conditions for alternative solar energy resources for power gen-
eration, replacing traditional diesel pumps with solar PV water pumps is expected to be
the appropriate technology choice for the community to maintain water supply and envi-
ronmental security, which improves the health and social development of the community.
Therefore, this study evaluates the economic benefits and reliability of the solar water
pumping system and its emission reduction potential in rural kebeles of the West Wallaga
zone of the Oromia regional state, Ethiopia.

1.3.Research Questions
The study attempts to answer the following research questions

 Can investing in solar water pumping systems have economic benefits compare to
diesel generator water pumping systems at the rural community level?
 What is the difference between LCC diesel water pump systems and PV water
pump systems?
 Does a solar water pump system reduce GHG emissions?

1.4. Objectives of the Study

1.4.1. General Objective

The general aim of this study is to analyze the economic and technical feasibility of a
photovoltaic water pumping system versus a diesel water pumping system and to evaluate
the feasibility and reliability of the solar water pumping system and its emission reduction
potential in rural Kebeles of the West Wallaga Zone of Oromia State Region, Ethiopia.

1.4.2. Specific Objectives

The specific objectives of this study are:

 To compare the economic benefits of a solar water pumping system versus a diesel
water pumping system.
 To analysis of the LCC of diesel water pump systems and solar PV water pump sys-
tems
 To estimate of the potential contribution of solar water pumps to reducing GHG emis-
sions.

1.5. Significance of the Study

The importance of this study is to provide comprehensive information on the potential of

PV solar systems to replace diesel generators for water pumping in the West Wallaga

5
Zone. From this point of view, the study could be taken as a reference for solar energy
utilization technology for pumping water, which is now seen as a possible solution to the
energy problems of the country's remote areas. The study is of great importance to the ru-
ral community and government politicians.

The results of this research provide useful information on which to base informed finan-
cial and technical decisions for the government and the many individuals wishing to con-
sider solar pumping systems. Water is one of the most important resources necessary to
support life in rural development; therefore, this can be achieved in rural areas by provid-
ing sufficient water through a solar-powered pumping system. This will therefore reduce
fossil fuel consumption and thus help mitigate the effects of climate change, which has
become a top issue on the development agenda at international, national, and local levels.
The government can benefit from savings in diesel fuel subsidy spending and foreign ex-
change savings resulting from reduced diesel imports, and government policymakers will
also benefit from the outcome as it will help them review current policies towards the re-
newable energy sectors and improve them accordingly.

1.6.Scope of the Research

The scope of this study tends to analyze recent usage and cost trends, as well as a compar-
ative cost-benefit analysis between diesel and PVP based on the life cycle cost approach,
with recent technical developments in the PVP sector and expected diesel fuel price in-
creases to perform. In order to conduct a comparative cost-benefit analysis between diesel
and solar PVP water pumps, the current diesel price (including price fluctuations within
the country) as well as the expected fuel price increase are considered.

1.7. Thesis Organization

The entire research organization is categorized into literature review, data collection, and
design of various scenarios, economic evaluation, and analysis of results. A feasibility
study of a PV water pumping system is a task that involves gathering relevant information
from a variety of sources.

The first step involves collecting data on existing solar water pump systems in the Najo
woreda, West Wallaga Zone, designed to operate with solar water pumps at an average
flow of 5 l/s and heads of 250 m and 80 m. This information comes from World Vision
Ethiopia's Najo AP program. In addition, a literature review was conducted to select the
best configuration and understand the basics of using solar energy to pump water. This in-

6
cluded reviewing relevant specialist literature, researching on the Internet, and contacting
organizations that conduct various types of research on the use of solar energy.

Scenarios and data processing using computer programs and manual economic evalua-
tion. Today, several advanced, specific computer programs deal with solar energy analy-
sis, PV design, and calculations related to the economics of solar energy. The RETScreen
program was used to analyze general economics, PV power generation, GHG analysis,
sensitivity, and risk analysis of solar energy. The third step involves discussion and re-
sults from the analysis, as well as conclusions and recommendations. Appendix A lists all
the general procedures performed on RETScreen

7
 CHAPTER TWO
2. LITERATURE REVIEW
2.1. PV Water Pumping System
PV solar water pumping systems installed in our zone are located in a rural community in
the Najo district in west Oromia. The area has a latitude and longitude of 9.2 N and 35.8
E and an altitude of 1922 m above sea level. The average maximum and minimum annual
temperatures are 15-20 °C. The monthly average is 12 hours of daylight per day. The
sources of the existing rural water supply motorized by a PV solar water pump system
were borehole and spring, which were installed by the NGO Ethiopia World Vision Najo
Program AP.

A borehole source of water is typically found about 30 m below the surface; a useful
height of 35 m is therefore taken into account in the calculations. A water flow of 54 m3
per day should cover the needs of a small rural community of around 800 households.
These schemes are located in Walitate Gida Kebele, Human Wakayo, Kote Genasi, Nejo
Laga Tabota site, and Nejo District in the West Wallaga Zone of Oromia Regional State.
In this project, DC voltage is used to operate the pump. The water level is chosen to cor-
respond to the source, not the downhole, to meet DC/AC submersible pump specifications
to work in DC mode only. For most similar schemes, if the water column is greater than
100 m, an AC system must be used, as there are no DC submersible pumps on the market
that can operate at this depth.

2.2. Comparative analysis of pv versus diesel water pumping system

One of the most comprehensive recent studies comparing solar and diesel pumps is the
(Emcon Consulting Group, 2006) report, Feasibility Assessment for the Replacement of
Diesel Water Pumps with Solar Water Pumps, issued by the Ministry of Mines and En-
ergy of Namibia and prepared by Em Con Advisory Group. According to this study, solar
energy has been used for pumping in Namibia for over 25 years, and 669 solar-powered
wells were installed from 2001 to 2006, creating a large field of study. This report pro -
vides overwhelming evidence for small to medium-sized sources. But this study has not
limited the power of solar water pumps. On a life-cycle cost basis, solar (photovoltaic)
pumps are significantly less expensive than diesel-powered (DP) pumps. But in our coun-
try, whether it is cheap or not, it will be identified at the end of this study.

8
shows a comparison of solar and diesel water pumps covering a range of heads (10 m to
250 m) and a range of daily flow rates (3,000 to 158,400 liters). According to the result,
they can pump more than those, but it depends on the sun shining. The life cycle costs
were calculated over a 25-year period, taking into account operating costs, maintenance
costs, and replacement costs. The following studies are older and are therefore based on
fuel costs that are not realistic today. All of the studies cited below were pro-solar at the
time of writing and would be even more favorable if written today with current fuel pries.

A Sandra National Lab study of 3 different-sized solar cells and pumping systems (106
WP, 48 WP, and 30 WP) in Mexico showed that all had lower life cycle costs than diesel-
powered pumps. PV systems compared to diesel had a payback period of 2, 2.5, and 15
years when replacing fuel pumps (gas or diesel). Note: At the time of this study, in 1998,
crude oil prices were $11 per barrel versus $1358 today (source: Energy Information
Agency, US Government). have the lowest life cycle costs for PV generator sizes of
1kWh and 2 kWh and the same costs as fuel pumps for power ratings of 4 kW.

2.3. Water Pumping Technology

The water pumping technologies for rural applications are hand pumps, solar, wind, and
diesel pump systems. Hand pumps are used to pump water from shallow wells, especially
in common areas. These are robust devices that are easy to maintain and have low capital
costs. However, they are limited in pump volume and installation depth (hydraulic stress
limit less than 250 m4/day) (Muhamad Akram,Abid Rashid and Ume Layila, 2022).
Wind pumps have a long service life, can raise water from depths of 300 to 400 m, re-
quire basic knowledge, but are labor-intensive to maintain. However, the wind pump
sytems are not easy to install and require larger water storage than, for example, diesel or
solar pumps to cover low wind periods (Bayou, Tesfaye, 1996) .

Diesel pumps could be used in all areas with high flow rates (Distributor, 1988) Water
pumping systems powered by diesel engines are traditionally used in Ethiopia, but fuel
costs, transportation issues, and a lack of qualified personnel make the traditional water
pumping system unreliable and expensive for rural communities (Misrak Girma, 2016)
Given the unavailability/scarcity of electricity, the annual increase in the cost of diesel,
and the ever-decreasing cost of PV modules, PV pumping systems are becoming more fi-
nancially attractive in modern times compared to diesel-powered pumping systems (Sako
et.al, 2011)

9
 2.3.1. Hydraulic Pumps

A hydraulic pump is a water-powered pump for pumping water. It uses water pressure to
move part of the stream to the desired location. It consists of a cyclic water pump that
uses the water hammer effect to build up pressure that increases the hydraulic head and
decreases the fluid flow rate.

2.3.1.1. Diesel Electrical Pumps

These pumps are powered by an on-site diesel generator that works as a regular electric-
ity generator to simply run the pump on electricity as shown in fig 1.1blow. This is the
most polluting technology and is heavily dependent on oil availability and affordability. It
has a low advantage but a very high disadvantage for fueling and maintenance re-
quirments

Figure 2:1 PV module characteristics (J. Diesel fuel water pump system

2.3.2. PV Solar Pumps

Solar pumps are the most viable non-fossil fuel-based water pumping technology. It's
even more practical than the traditional windmills as they can pump water as long as the
sun shines. It consists of solar panels, a pump controller, a DC pump, or an AC pump
with an inverter. Some pumps use a linear current amplifier (LCB) that allows additional
current to start the pump by changing the voltage. This allows the pump to start and run
even on cloudy days..

10
Figure 2: 2 PV module characteristics solar water pump system

solar energy into electrical energy to run a water pump with DC or AC motor. An SPV
water pumping system consists of a PV array, a DC/AC submersible pump set, and elec-
tronics (Chandel et al, 2015). The PV array is mounted on a suitable structure with a de-
vice for manual or automatic tracking. Water is pumped and stored in tanks for use during
the day, at night, or on cloudy days (National Renewable Energy Laboratory, 2017) The
water tank serves as storage and the battery is not generally used to store PV power; how -
ever, it can be used for specific reliable requirements (Rohit et,al, 2013).

PV water pumping systems have demonstrated significant efficiency gains, driven by fun-
damental scientific research and manufacturing innovations, which have resulted in con-
sistent cost reductions (Martin et,al, 2017) and mean that energy generated from PV tech-
nology is more accessible than ever. The steady decline in the price of solar photovoltaic
(PV) modules has made solar pumps commercially viable for an increasingly wide range
of applications(Kou et,al, 1998)

Current solar pumping technology uses electronic systems that have further increased out-
put power, system performance, and overall system efficiency (Protogeropoulos, C. and
S. Pearce, 2000). The controller provides inputs to monitor storage tank levels and control
pump speed, and uses maximum power point tracking technology to optimize water. PV
module costs have decreased significantly and are available at US$0.59/Wp in 2014 com-
pared to around US$1/Wp in 2012 in India; this has a significant impact on the total cost
of the pumping system, as PV modules account for 60, 80% of the total cost of a PV sys-
tem (Foster et,al, 2014).

11
 2.3.2.1. Principle of Solar Water Pump

Solar water pumping is based on PV technology that converts sunlight into electricity to
pump water (Figure 2.1). The PV panels are connected to a motor (DC or AC) that
coverts the electrical energy supplied by the PV panel into mechanical energy, which is
converted into hydraulic energy by the pump. The capacity of a solar pumping system to
pump water is a function of three main variables: pressure, flow, and power to the pump
(Rohit et,al, 2013) the various types of current configurations of direct coupled DC and
AC solar water pumping systems used worldwide are shown in Figure 2.1, 2.2.

Figure 2: 3 PV module characteristics

Figure 2: 4 PV module characteristics

12
 2.3.2.2. Principle PV Generator:

The PV generator of a solar pump consists of PV modules connected in series and paral-
lel, depending on the motor voltage requirement. A PV module consists of solar cells that
convert solar radiation into direct electricity. To extract the maximum power from a PV
module, it is connected to the DC-DC converter or DC-AC converter (inverter) controlled
by M PPT (Rohit et,al, 2013) A pump only needs a certain amount of power to generate a
certain pressure and flow rate. A higher capacity PV generator allows the pump to start
earlier and run longer during the day when solar radiation is low (Chandel S.S. et al,
2015) . However, adding more PV modules than actually required increases costs.

2.3.2.3. Motors for PV Based Pumps:

There are two main categories of motors, DC and AC. For a simple PV system (i.e.
smaller PV applications), a DC motor is the best option compared to an AC motor be-
cause the modules generate DC, and less specialized power conditioning equipment is
needed (Barlow, 1993). AC motors are generally limited to high-power applications in
PV-powered pumping systems as they require inverters and thus add cost and some en-
ergy loss within the system. They are cheaper and less efficient than DC’s motors
(Thomas, 1993).

2.3.2.4. Solar Pumps:

Solar pumps are classified into three types according to their applications: submersible,
surface, and floating water pumps. A submersible pump draws water from deep wells and
a surface pump draws water from shallow wells, springs, ponds, rivers, or tanks, and a
floating water pump draws water from adjustable-height reservoirs (EmCon Consulting
Group, 2006). In diving and swimming systems, the motor and pump are installed togeter.
The best pump type for a specific application depends on the daily water demand, the to-
tal head, and the water source (Argaw et, al, 2003)

2.3.2.5. Controller:

A controller is an electronic device that adjusts the PV power to the motor and controls
the operation of the PV pump. It is mostly installed on the surface, but some solar PV
pumps have the controller integrated into the submersible pump set (Chandel ,et al, 2015).

2.3.2.6. Water storage versus Energy storage in Battery:

Typically, PV systems rely on a battery bank for energy storage to power solar home
sytems and other devices at night and during cloudy weather when solar radiation is ab-

13
sent or erratic. (EmCon Consulting Group, 2006) reports that storing water in the reser-
voir is more economical than energy in the battery bank. This observation is consistent
with the claim (SELFs, 2008) that storing water in the reservoir and removing batteries
from the system eliminates about 1/3 of the system cost and eliminates most of the main-
tenance.

2.3.2.7. Proposed System Overview

Photovoltaic water pumping systems currently account for a significant portion of PV

sales, particularly in the developing world. For pumping applications, the array must be
sized to drive a pump that will deliver the required volume of water each day over the
number of hours of operation. The pump operates during the day when sufficient light
falls on the system modules. Most pumping systems do not contain batteries.

Awater storage tank is used when water is needed at night or when there is not enough
sunlight to power the system on an overcast day. It is easier and more efficient to store the
pumped water than to store electricity, both technically and financially. The intensity of
the radiation varies greatly throughout the day.

Morning and afternoon sunlight is less intense because it enters the Earth's atmosphere at
a high angle and passes through a larger cross-section of the atmosphere, reflecting and
absorbing some of the light. In such cases where the sunlight varies during the daytime
hours from morning to late afternoon, it is highly recommended to use an important de-
vice called the Maximum Power Point Tracker in the PV pumping system.

2.3.2.8. PV Pumping System Elements

A solar water pumping system consists of four main parts: the pump set, the pump con-
troller, the solar panels, and a storage unit. A typical PV pumping system consists of a
photovoltaic cell array, a power conditioner, and the loadar panels, and a storage unit. A
typical PV pumping system consists of a photovoltaic cell array, a power conditioner, and
the load (Figure 2.3). Other accessories that make up the PV system are energy storage,
wiring, and protection. The power conditioning stage consists of a power converter con-
nected to an appropriate control unit. A pumping system consists of a motor and a pump.

14
 2.3.2.8.1. PV Module

PV manufacturers use crystalline silicon wafers or thin-film technologies to produce

modules. In the former, wafers made of monocrystalline silicon (single-Si), polycrys-
talline silicon (poly-Si), or ribbon silicon (ribbon-Si) are processed into solar cells. Solar
cell manufacturers then either assemble the cells into modules themselves or sell them to
module manufacturers for assembly. Since the first major applications of PV involved
battery charging, most modules on the market are designed to deliver direct current (DC)
at just over 12 volts. A typical crystalline silicon module is composed of a series connec-
tion of 36 cells encapsulated in a glass and plastic housing for environmental protection.
This package is framed and fitted with an electrical junction box. Typical conversion effi-
ciencies (converting solar energy into electrical energy) for standard crystalline silicon
modules are in the range of 11 to 15%.

There are four advanced thin film technologies. Their names are derived from the active
cell materials: cadmium telluride (CdTe), copper indium diselenide (CIS), amorphous sil-
icon (a-Si), and thin-film silicon (thin-film Si). Amorphous silicon is in commercial pro-
duction, while the other three technologies are slowly entering the market.

Thin-film modules are manufactured directly on the substrate without the need for an in-
termediate solar cell manufacturing step. A solar array is the complete collection of all so-
lar photovoltaic generators for a larger pumping system in which dozens of PV modules
are connected together. They are mounted on ground installations using a simple frame
that holds the modules at a fixed angle to the sun.

Figure 2: 5PV module characteristics (J Photovoltaic cells, modules and Arrays

15
The direct conversion of solar radiation into electricity is carried out by the solar genera-
tor. It consists of assembly units, so-called "panels," which in turn consist of solar mod-
ules. Modules are made up of solar cells where the conversion occurs, as shown in Figure
2.4. When sunlight hits a solar cell, the positive charge carriers (holes) and negative
charge carriers (electrons) appear in pairs. If these pairs are able to reach the electric field
before they recombine (meaning to recombine and thus neutralize each other), they will
eventually separate, with the electrons moving to the front wall (the n-type layer) where
they collect on metallic contact fingers placed over the surface and then return via the ex-
ternal circuit to the cell's full metal-plated backplane, where they finally recombine with
the holes.

2.3.2.9. Application of PV Water Pumping Systems

The major demand for water supply falls into three fairly distinct categories: village water
supply, irrigation, and livestock (Rohit et,al, 2013). potable water supply and livestock.
Irrigation of PV water pumping systems is the most common application of solar PV
pumps, particularly in arid and semi-arid areas where solar irradiance (insolation) is often
very high all year (AFREPREN/FWD, 2012). Solar photovoltaic (PV) for pumping water,
especially in a rural setting, has many advantages. The first of these is that it is environ-
mentally sustainable on a life cycle. Solar PV is very clean; it helps mitigate some of the
most serious environmental problems, including air pollution and climate change (Ander-
son et,al, 2006). Technically, solar PV requires little maintenance and can run unattended
for long periods. The modular nature of the solar panel allows for additional power gener-
ation capacity, making it a good choice for power generation in remote applications (Pelt
et,al, 2012)

16
 Figure 2: 6 PV module characteristics
Apart from these advantages, (Khatib, 2010) also states that the PV pumping system is
easy to install, reliable, and can be adjusted according to demand. However, he states that
its disadvantages are that it has a high initial cost and that its water production is fluctuat-
ing. strong hair conditioner Several electronic devices are used to control and modify the
electrical energy generated by the photovoltaic system. These include: battery charge con-
trollers, which regulate the charging and discharging cycles of the battery; Pump Control:
An appropriate device is used to keep the systems operating at optimum performance to
match the electrical characteristics of the load and array: the inverter. This is a device that
converts the direct current coming from the PV into alternating current (AC). An inverter
can be chosen to output a variety of voltages, including 220V and 380V, single and/or
three-phase for very large loads.

2.3.2.9.1. Inverters for stand-alone systems

Due to the special operating conditions of stand-alone inverters, different design aspects
have to be taken into account. The most important requirements for inverters for photo-
voltaic off-grid systems are summarized in the following list.

? wide input voltage range (10% to 30% of the nominal voltage).

? output voltage as sinusoidal as possible.
? Small fluctuations in the output voltage and frequency
? 8% voltage stability, 2% frequency stability
? high efficiency at part load; at least 90% efficiency at 10% partial load
Lowest possible overvoltages for inductive and capacitive loads Short-circuit proof. Max-
imum Power Point Tracker (MPPT): keep the array operating voltage at a value that max-
imizes the array output. In a real-world configuration, both factors act simultaneously.

? Figure 2.6. There is a specific operating point at which the achievable performance
reaches its maximum. It varies depending on irradiation and temperature.

17
Figure 2: 7PV module characteristics
2.3.2.9.2. Pumps

Several types of pumps can be used for water pumping applications. They can be catego-
rized by their design type (rotary or positive displacement), their location (surface or sub-
mersible), or the type of motor used (AC or DC). In the case of deep wells or boreholes
and large water requirements, centrifugal pumps (e.g., centrifugal pumps) are generally
preferred. The use of displacement pumps is usually limited to small volumes. Positive
displacement pumps (e.g., diaphragm pumps, piston pumps, and progressive cavity
pumps) usually have good lifting capabilities but are less accessible than surface pumps
and more sensitive to dirt in the water. Figure 2.6 is adapted from (Barlow et, al, 1993)

It suggests possible pump choices depending on the head (the total head that the water has
to lift) and the daily water needs. Finally, the choice between a DC or an AC motor to
drive the pump depends on many factors, including price, reliability, and available techni-
cal support. DC motors are usually very efficient and are easier to combine with the pho-
tovoltaic system. AC motors, on the other hand, are cheaper and more readily available,
but they require an inverter to be connected to the array. Choosing AC Pumps or Choos-
ing DC Pumps The AC pump is a general-purpose standard product. issues to select the

18
 type and find compatible system combinations; the DC pump is a special pump that only
works with fixed controller types and thus creates standardization problems.

The AC motor pump has a higher overdrive capacity and a longer service life. The DC
motor pump cannot overdrive for too long; otherwise, the demagnetization could damage
the motor, and it needs to be replaced. The AC solar pump does not use a storage battery;
the structure is simple; the cost is low; and the reliability is high. The storage battery in a
solar pumping system has a short lifespan, requires regular maintenance and replacement,
and incurs higher costs. Lead-acid batteries are not environmentally friendly and are diffi-
cult to dispose of after scrapping. Battery charging and discharging require an additional
controller, and the conversion efficiency is low; this also reduces system reliability.

2.3.2.9.3. Pump Cable & Ground Wire

It is used to connect the pump to the solar panel. It must be properly sized to minimize
conduction losses. Ground all equipment, as water pumps will attract lightning due to the
excellent grounding they provide. Avoid placing arrays in high places. Consider erecting
lightning rods on high ground around the pump to deflect lightning away from the p.p.

2.3.2.9.4. Water Storage

Directly coupled PV pumps deliver water when the sun shines. To meet demand when the
sun isn't shining, some form of water storage may be required.

2.3.2.9.5. Water Storage vs Battery Storage

Solar energy is only available during the day and can sometimes be absent during heavy
winter days, which would require storage for some applications. Batteries are, in princi-
ple, the most widely used method of storing electricity, but they represent a major burden
due to the increased costs and high maintenance requirements. For this reason, many solar
pump applications prefer to use water storage tanks instead. Here, water is pumped when
sufficient solar power is available and stored in an elevated tank from which water can be
taken when needed. Water storage is very convenient when the system is properly sized.
On sunny days, the system will provide enough water for daily needs. As pumping is free,
this water can be stored in water tanks, which should be sized to ensure sufficient storage
volume depending on climatic conditions and water consumption patterns. This is also
known as a direct drive system design.

A. Advantages of PV system are:

? Low cost of ownership that helps offset the high initial cost.

19
? Less environmental impact or pollution than other forms of energy driven pumps (diesel,
petrol, etc.)
? Less human contact with water supply equipment therefore less wear and tear.
? Take advantage of a free and abundant source of energy.
? Prolonged life of water supply systems as long as the pump is well cared for and main-
tained.
B. Disadvantages of PV system are
? Excessively high initial cost
? Requires elevated storage tanks to store pumped water
? Pump powered by solar energy usually has an operating if less than that of the solar panel
and also requires more aggressive maintenance and repair
? Lower energy output thus less water observed during extended cloudy periods, which are
likely to occur during the main rainy season.
2.3.2.9.6. Diesel Generator

A diesel generator is simply an electrical generator that is powered by a diesel engine

(prime mover). An electromechanical system that converts mechanical energy into elec-
trical energy via the interaction of electromagnetic and electrostatic fields within the sys-
tem is known as an electrical generator. The phase-by-phase equivalent circuit diagram of
a synchronous generator driven by a prime mover, in this case, the diesel engine, is shown
in Figure 2.7. show where: T is the mechanical torque of the prime mover Ea is the gener-
ated internal voltage, Ia is the armature current, Ra + jXs is the synchronous impedance,
and Va is the load voltage.

jX s Ra I

Ea Va
Prime Mover

Figure 2: 1 Equivalent circuit of a synchronous generator driven by a Diesel engine

20
The service requirements of the diesel engines are standard, which means a minor service
every 250 hours and a major service every 500 to 1,000 hours. The life expectancy of the
engines depends on the quality of the device and whether the maintenance has been car-
ried out according to the requirements. Life expectancy is in the range of 8,000 to 35,000
hours naively within the life cycle of a photovoltaic system. Calculations on the possible
effect oofCO2 reduction through PV energy systems were carried out in Brazil and Ger-
many. Showed that the test results in the application of solar PV DC system provided sat-
isfactory water pumping performance, and moreover, user and environment-friendly
Along with falling PV module costs and increasing efficiency, PV is becoming more
ubiquitous than ever.

21
 CHAPTER THREE
3. REEARCH METHODS AND MATERIALS
3.1. Description of the Study Area
This study was conducted in the West Wallaga Zone, located in the Oromia Nation Re-
gional State of Ethiopia (Figure 3.1). At a distance of about 444 km from Addis Ababa,
has a latitude and longitude of 9.2 N and 35.8 E and an altitude of 1922 M above sea
level. It is the administrative center of Gimbi. West Wallaga zone, Oromia region of
Ethiopia. Bounded on the south by the Iluba Bora Zone, on the southwest by
theKelemWallaga Zone, on the west by the Beneshangul Gumuz Region, on the north by
the Benishangul-Gumuz Region, and on the east by the East Wallaga Zone.

The zone is one of the fast-growing zones in Oromia. Where various investments and
construction are being carried out rapidly. Coffee is an important source of income for
this zone. In general, in the villages of remote areas, various institutions provide social
services, including health posts, elementary schools, and other institutions. The zone re-
ceived a drinking water supply at a site utilized by a Diesel water pumping system from
the source of the borehole, spring, and shallow good source constructed by West Wallaga
water and energy office and other NGO. That Research area has 20 districts and 360 rural
kebeles with a rural population of 1,533,799 and an urban population of 692,443. The to-
tal population in the West Wallaga Zone is 2,226,242; this data took from west Wallaga
zone water and energy office.

22
Figure 3: 1 Location Map of West Wallaga Zone

23
 3.1.1. Climate, Hydrology and Vegetation Cover

The climate of the area can be assigned to the temperate climate zone of the country. An-
nual precipitation from the beginning of June to October characterizes the area. Agricul-
tural practices are common in the area, corn and coffee plantations being the adopted
ones. Shrubs, eucalyptus trees and other trees can be seen around the city. The zone lies
on a near-planar topography, but some mountain fractures are also observed in the zone.
The minimum and maximum altitude of the zone is 2200 m and 1380 m above sea level,
respectively.

3.1.2. Vegetation cover and land use-land cove

Most of the area, particularly along the weak zone, is covered by many large trees and
coffee plantations, and the area's flat land is characterized by sparse vegetation and crop
cultivation

3.1.3. Climatic Data of solar radiation

Climate data of the zone took from NASA website internet online. Solar data is not gain
from the National Metrological Agency of Ethiopia from this site. The location of the cli-
mate data in West Wallaga zone study solar radiation data took from Ethiopian NASE av-
erage 6.218 Kwh/m2/d horizontal.

3.1.5. Livelihood and Socio-Economic Characteristics

Regarding the economic situation of the zone, the livelihood of the communities living in
the zone is highly dependent on the production of cash crops, which cannot meet the
farmers' needs except to feed themselves, only to survive. Adequate drinking water sup-
ply and sanitation are the most important components of socio-economic development;
They play a crucial role in maintaining the welfare of the population. However, existing
water resources have not been developed to meet society's supply needs in a steady range.
Regarding data on water supply systems, there are few motorized systems and unpro-
tected water sources (rivers, ponds) in the zone (West Wallaga Zone Water and Energy
Office Desk File, 2018-2020). In terms of access to health services, only the public health
facilities in the study area are poorly staffed and poorly equipped. Energy supply plays a
crucial role in any development purpose. Society's energy sources are firewood, crop
residues, charcoal and kerosene, in order of their potential or use for cooking and lighting
purposes, which has negative environmental impacts (Document of Oromia Water and
Energy Bureau, 2008).

24
 3.4. Research Design
The method is to determine the feasibility of photovoltaic solar water pumping systems in
rural areas based on economic analysis carbon pollution in the case of West Wallaga
Zone. Depending on the existing solar water pump system schemes in the Nejo district.
Data for Walitate Gida,Kote Genasi,Nejo laga Tabota, and Eba Wakayo were obtained
from Ethiopia's World Vision nedjo AP,From the existing schemes initial cost of solar
water pump, from the observation on the site interview reliability of solar water pump
system, collect data Capacity of solar water pump, Total Head of the water ,Discharge of
the water, number of the panel. Diesel generator water pump system of data collect from
west Wallaga water and energy office: initial cost, maintenance cost, operation cost, re-
placing period of the generator, then compared with each other economic benefit and en-
vironmental pollution analysis. An intensive literature review relating to solar Photo-
voltaic water pumping system:

 Evaluating the economic analysis of the solar photovoltaic water pumping system us-
ing RET Screen, software and by Calculation
 Evaluating the solar photovoltaic water pumping system (SPVWPS) and diesel water
pumping system (DWPS) based on formula calculation.
 Life cycle cost method analysis LCCA = IC + OC + MC + RC…………………. (1)
 Previous study fill the gap to expands PV solar water pump system in the zone.

PW of Anninity =¿V ¿
[ ]
ann 1
1− n
(1+d )
−−−−−−−−−(2 )
d

25
 Data analysis
 IC,MO,RC,of PV
 Initial cost DS  Diesel Fuel Released CO
Discharge of source &NO in Environments
 Total Head of the
 PV Solar System Reduc-
Source
No of Solar Panel RET Screen tion Of CO,
 Solar service time Software BCR,IRR,SIR&NPC
Diesel Generator Ca- Calculate by for-
pacity mula Solar PV Viability
 Solar Panel Capacity 
Economic analysis for
pump motor DS&PV
 both
Calculated PV&DS
Diesel Engine Re-
lease CO&NO

3.5. Sampling Frequency

In the West Wallaga zone, there are 121 potable rural water schemes are existing. In rural
kebele schemes, sampling sites from the source, four sampling sites from the nejo dis-
trict's where the current solar water pump system existed. From this sample, scheme data
was collected from the solar panel, total water head, and water discharge.

For Diesel generators, data was collected from the west Wallaga zone water and energy
office: fuel consumption, generator capacity at the same capacity as existing PV in the
zone, initial cost, maintenance cost, operation cost, and replacement of the spare part.

The collecting data from the office by following appropriate procedures. Calculating fuel
consumption, calculating CO2 production depends on the CO2 emission factor to 0.932
tons of CO2 emission reduction per MWh of electricity generated (Naskar, R. and R.
Mandal, 2016). The result of a diesel water pump system being replaced by a solar water
pump system depends on compared and contrasting cost analysis benefit and reduction of
environmental carbon dioxide.

3.6. Sampling Procedures and Techniques

The method of data collection from each sampling location was according to LCC bene-
fit analysis, depending on (G.G. Maidment, A. Paurine, 2012) and guidelines for envi-
ronmental pollution . Data was taken from locations that are representative of the water
distribution system (the sources and household). Systematic observation of the site taken
the measurement and random household interview method. The selected households for

26
data collection were the ones that use water from the water supply system of the kebele
for drinking and other domestic purposes.

For the alternative energy analysis, data was collected from all the selected scheme sam-
pling sites and processed by a computer program using RETScreen Software program to
analyze and use a calculation to compare and contrast to calculate manually.

3.7. Methods of Data Analysis

First, the information recorded on the mobile phone and the notes from the informal dis-
cussion and field observation were transcribed and translated from the local language
(Afan Oromo) into English. Secondly, by reading through all the qualitative and quantita-
tive data, they were reviewed and organized to develop a general understanding of the
data set, and short memos were created that best help in organizing and categorizing the
data into concepts. Then, through the narrative description, the results of the entire quanti-
tative and qualitative data were organized, analyzed and interpreted in such a way that the
answers for the semi-structured questionnaire were processed and coded first. Then a
computer program was used to analyze tabulated data using the RET Screen software pro-
gram.

3.7.1. Methods of Life cycle cost Analysis for PV and DS water pump system

Calculating using the formula Life Cycle Cost analysis (LCCA) method was used for
quantitative data collected for economic analysis to find the most viable alternative, i.e. to
determine which pumping option alternative provides the maximum benefit at the lowest
cost. This approach allows systems to be compared on an equal basis by reducing all fu-
ture costs incurred at different intervals of the system's lifetime to a value known as a sys-
tem's LCC. Future costs include running costs (diesel fuel consumption, transport), main-
tenance costs (engine oil, filters, brushes, labor and transport) and replacement costs
(diesel engine, pump and inverter). To calculate all costs in today's US$, the future costs
were discounted to present value using a discount rate. Therefore, LCC is the sum of the
capital cost and the present value of the recurring and replacement costs (Chandel et al,
2015) .

LCCA = IC + OC + MC + RC……………………………………………………..… (1)

Where: LCCA- is the life cycle cost analysis

IC - is the acquisition cost

27
 OC- is the operating cost

MC- is maintenance cost

Calculate present worth cost to analysis by using this formula

PW of Anninity =¿V ¿
[ ]
ann 1
1− n
( 1+d )
−−−−−−−−− ( 2)
d

Where: Vann -is the initial value of the annuity,

d - is the discount rate and

n- is the years

Calculate unit water cost to analysis by using this formula

AW
UW C= −−−−−−(3)
AWP

Where, AWP-annual water production [m3]

UWC – Unit water cost
AW – Annual worth

3.8. Method of Life Cycle Cost Analysis for solar pv Water pump system
By using the computer program RETScreen software, it compares solar and diesel water
pumps, covering a range of heads (10m to 250m) and a range of daily flow rates (3,000 to
158,400 litres). The Life Cycle Cost (LCC) has been calculated over a 25 year period
considering initial cost, operating cost, maintenance cost and replacement (G.G. Maid-
ment, A. Paurine, 2012). LCC is the sum of the capital cost and the present value of the
recurring and replacement costs around different systems. To compare those of equal per-
formance of the life cycle cost approach is used, which allows systems to be compared on
an equal basis by reducing any future costs incurred at different time intervals over the
system lifetime, to a value known as a system's LCC or Project Future costs, including
running costs (diesel consumption, transport), maintenance costs (engine oil, filters,
brushes, valves, rotor, impellers, labour, transport etc.) and spare parts (diesel engine,
pump, motor, inverter, labor and transport) .

When the water pumping system supplies drinking water, the comparative LCC of solar
pumping systems from renewable energy sources must be drawn up with that of conven-
tional systems. This is necessary because the economic benefits of water supply are diffi-
cult to quantify. For example, if both a PV pump and a diesel pump can reliably deliver

28
the same amount of water, they can be expected to provide the same benefit. In this case,
the cheaper option, the life cycle cost of a solar water pumping system, is determined by
the investment costs and the present value of the maintenance and pumping costs distrib-
uted over the lifetime as follows (P.d. narale, n.s. rathore and m.m. lad, , 2014).

3.8.1. Net Present Value

The NPV method calculates the present value of all annual cash flows (i.e. cost of capital
and net savings) incurred or accrued over the life of a project and totals them. Capital cost
is represented as a negative value and savings as a positive value. The sum of all cash val-
ues is referred to as Net Present Value (NPV). The higher the cash value, the more attrac-
tive the proposed project. If the resulting NPV is greater than zero, a project is deemed
economically viable..

3.8.2. Internal Rate of Return

Specifies the discount rate at which the present value of the net benefit stream equals the
present value of the net cost stream. If the resulting IRR is greater than the discount rate
chosen, the project is considered economically viable.

3.8.3. Benefit-Cost Ratio

Compare total discounted benefits to total discounted costs as a ratio and gives an indica-
tion of the magnitude of the return on the investment. To do this, the ratio of the present
value of the benefit to the present value of the costs is examined. If the benefit-to-cost ra-
tio is greater than one, the project can be considered desirable from an economic point of
view.

3.8.4. Payback Period

The payback period, also known as the project investment cost payback period, is defined
as the time it takes for the fuel cost savings to equal the total initial investment of a
project. The payback period of an investment considering the time value of money is
given by the expression (Alamillo, 2020). This is the simplest technique that can be used
to evaluate a project. The simple payback period can be defined as the length of time re-
quired for the running total of the net savings before depreciation to equal the capital cost
of the project. In theory, at the end of the payback period, all project capital costs have
been amortized and any additional cost savings achieved can be regarded as a clear profit.
Of course, the shorter the payback period, the more attractive the project becomes. The

29
length of the maximum allowable payback period generally varies with each business cul-
ture.

In economic (financial) analysis, sensitivity analysis can be used to assess the impact of
uncertainties when input parameters such as interest rate, discount rate, inflation rate, en-
ergy escalation rate, useful life, capital and operating costs, and income are by a specified
amount (percent) from the expected value differ. The economic consequences of a possi-
ble but unforeseeable development of important parameters are quantified by means of a
sensitivity analysis. The sensitivity analysis covers a range of possible application loads.

It is used to determine how the NPV and LCC differ from the base case as key parame -
ters such as equipment costs, conventional fuel costs (diesel) discount and interest rates,
expected lifespan for conventional equipment (engine) and renewable energy sources (so-
lar radiation) change.

3.8.5. Financial Risk Analysis

The value of solar energy is only an estimate and not a fact and, therefore, there remains a
risk that this value will be overestimated. Not only is the price estimated, but all costs re-
lated to the accounting of the systems and the operation and maintenance of PV systems
are estimated numbers that must be considered throughout the project planning. Thor-
ough, quality planning is essential to reduce the risk of overestimating potential prof-
itability.

3.9. Environmental Impact Comparison analysis

The environmental benefits associated with replacing the diesel powered system with a
solar powered system can be readily assessed by determining the reduction in air pollu-
tant production associated with this replacement. Conducted greenhouse gas (GHG) emis-
sion reduction analysis using district data replacing diesel system capacity with PV
pumps, PV peak power and number of PV used, fuel consumption per liter and solar radi-
ation data from NASA of Ethiopia.

Based on Denis Lenordic's data on CO2 emission reductions by the 200 largest SPV
plants, the amount of GHG emissions avoided by a SPV plant is measured and calculated
in tones (Naskar, R. and R. Mandal, 2016). Appreciate the special average annual CO2
reduction per MWh of electricity generated, for the top 100 SPV apply the CO2 emission

30
factor to 0.932 tons of CO2 emission reduction per MWh of electricity generated. It was
found that the emission of carbon footprints increased fivefold when the emission factor
was increased from 1 kg to 5 kg CO2/litre.

3.10. Validity of the Data and Quality Assurance

The quality analysis and the recorded data were assured by the close follow-up computer
program RETScreen software of the researcher. All the necessary data was made ready
before the fieldwork. The scheme samples were carefully collected and analyzed in a
computer program according to the standard methods. The analysis results were carefully
recorded as standard. The results were then compared to each other's economic benefits
and, environmentally friendly, draw conclusions and give recommendations.

31
 CHAPTER FOUR
4. RESULTS AND DISCUSSIONS

4.1. To compare the economic benefit of a solar water pumping system versus
a diesel water pumping system
The economic and technical feasibility of a photovoltaic water pumping system versus a
diesel pumping system, to evaluate the energy to economic benefit and its GHG emis-
sion reduction potential in rural Kebeles of West Wallaga Zone of Oromia regional
State ,Took from 4 ( four) existing rural water supply schemes sample (Walitate
Gida,Kote Genasi,Laga Tabota and Eba wakayo schemes)

Table 4: 1 result Summary of economic benefit and gas emission Comparison between
DS and PV

Economic Analysis factor ( average for Diesel Generator Water PV Solar water
four existing schemes site ) Pump System USD pump system USD

Life cycle cost 742,864.39 146,808

Present worth 7,254,522 189,033

Annual worth 797,997 20,794

Unit water cost sell of water ( USD/m3) 32.2 0.8125

Pay back in (year) No pay back 13

Cost profit (average for scheme) -14,382 10,943

Benefit cost ratio 0 2.6

Annual Life Cycle Save 0 10,064.5

Annual Save &Income 0 4244

GHG emission reduction -255 +255

Source:- own manual calculation from existing schemes above mentioned site

The result in table 4.1 PV Solar water pump system is alternative energy through eco-
nomically and GHG emission reduction depend on the above factor.

32
 This table show compare and contrast cost of the listing factor beteween DS Vs PV of the
named site depend up on collecting data from different concerning body

Table 4: 2Final PV and Diesel System LCC Value of each Water Scheme
Costs Site name
(US$)
factor
Walitate Gida Eba Wakayo US$)/ Kote genasi US$)/25 Najo Laga Tabota
US$) /25 25 US$) /25
PV DS PV DS PV DG PV DS
IC 131,958 40,259 128,120 47,384 109,708 43,504 167,428 93,481
OC 1,319.58 54,688 1,281.14 45,399 1,097.03 56,749 1,675 108,950
MC 158.35 590,947 153.74 590,947 131.64 590,947 200.97 590,947
RC 12,000 10,518.50 11,000 12,767.10 10,000 11,008.50 11,000 82,962.19
LCC 145,436 696,412 140,555 696,497 120,937 702,208 180,304 876,340
Total 290,872 1,392,825 281,110 1,392,994 241,874 1,404,41 360,608 1,752,680
7
Average 58,174 278,565 56,222 278,599 48,375 280,883 72,122 350,536
Source:-collecting data from world vision Ethiopia Nadjo AP and West wollega Water
and energy office

PV= photovoltaic, DS=diesel system, IC=Initial Cost, OC= Operations Cost, MC=
Maintenance Cost, RC=Replacement Cost Note: - So pv solar water pump system was
low cost analysis so it will be choosing.

From table 4.2 result when we show by figer accourding to blow figer

LCC Value of PV vs DS sample site

IC OC MC RC LCC
1,000,000
800,000
600,000
400,000
200,000
0
PV DS PV DS PV DS PV DS
Walitate ggida Eba Wakayo Kote genasi Najo Laga Tabota
Site name

Figure 4. 1 LCC Summary for Power Alternative

33
 Table 4: 3Final Average LCC Summary
Costs
(US$) Site name
factor
Walitate Gida Eba Wakayo Kote genasi US$)/ Najo Laga Tabota
US$) /25 US$)/25 25 US$) /25
PV DS PV DS PV DG PV DS
Aver-
58,174 278,565 56,222 278,599 48,375 280,883 72,122 350,536
age
Source:-Own manual calculation from table 4.2

This figer show as average LCC of above diffirent schemes site

400000
350,536
350000
300000 278,565 278,599 280,883
250000
200000
150000
100000 72,122
58,174 56,222 48,375
50000
1
0
PV DS PV DS PV DG PV DS
US$) /25
Walitate Gida Eba Wakayo US$)/25 Kote genasi US$)/25 Najo Laga Tabota
US$) /25

Average

Figure 4. 2 Final Average LCC Summary

4.1.1. Initial Costs System

4.1.1.1. Diesel Fuel Water Pumping System Component of Initial Cost

The main components of the investment cost of a PV system for water pumping are listed
in Table 4.5 below. The capital costs for the site, which include type and performance,
quantities, unit price and total costs are all listed in Table 4.5. under similarly, for the rest
of the water system, the initial cost of the PV system components is:-

Generator, Pump, Buttery, Rising Pipe and Transportation of the equipment (where
US$1 = Ethiopian Birr 52.92 on June 7, 2022). As of January 2022, the average

34
 Table 4: 4 Initial cost of Diesel Motor
Description Walitate Eba Kote Genasi Najo Lega
Gida Wakay Tabota
o
Total Price Total Total Price Total Price
(US$) Price (US$) (US$)
(US$)
1 diesel generator Difference Size 3951 5000 3951 28355
2 submersible pump with switch board 80 100 70 11342
3 Water pipes , fitting, Conductors and ac- 35000 41000 38000 52000
cessories
4 Batteries 284 284 284 284
5 Transportation and installation of 945 1000 1200 1500
Equipment cost
Total cost of system 40259 47384 43504 93481
Source: data from West wallagga zone water and energy office

4.1.1.2. PV Water Pumping System Initial Cost

The main capital costs for the PV water pump system are shown in Table 4.6. Below are
all the accessories and the cost of transport and installation of the equipment. Similarly,
the initial cost of the diesel system applies to the rest of the water supply system.

35
 Table 4: 5 Initial Cost of PV Water Pump System

Initial cost of PV water pump system [$]

No Description Walitate Eba Kote Najo Lega

Gida Wakayo Genasi Tabota

Solar panels( poly-crystalline

1 modules 250 wp)cost price depend 75,000 66,202 54,750 102,000
on number of panel
3 Charge Controller (100Ah) 408 408 408 408
4 Inverter 12,000 11,000 10,000 11,000
PV water pump system depend on
5 350 370 350 420
capacity
Riser pipes ,fitting ,Conductors
6 and accessories ( depend up on 21,500 25,000 21,500 25,000
pump position
7 Array support Structure 8,500 9,540 8,500 12,100
Transportation and installation of
8 14,200 15,600 14,200 16,500
Equipment cost
Total cost of system 131,958 128,120 109,708 167,428
Source : Data from world vision Ethiopia Nadjo AP
According to data collect from the site initial cost of electro mechanical power for the
schemes are show in the table :- 4.7.
Table 4: 7
Table 4: 6 Summery of Capital investment cost DS and PV water pump system.

Site name Diesel Water Pump Solar PV water Pump System

system(USS $) (USS $ )

Wali Tate Gida 40,259 131,958

Eba Wakayo 47,384 128,120

Kote Genasi 43,504 109,708

Najo Lega Tabota 93,481 167,428

36
Source: Data collect from the owenner of the schemes that’s are West wallaga water and
energy office and World Vision Ethiopia's Najo program

This figer show that above table :4.7 part of power supply initial cost only in different ex-
ist schemes

Capital investment of PV vs DS
180,000 Diesel Water Pump system($) ($ ) Solar PV water Pump System ($ )
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
$ $ $ $
Wali Tate gida Eba Wakayo Kote Genasi Najo Lega Tabota

Figure 4: 1 Initial cost of PV and DS

Table 4:4 shows that the initial system costs are incurred once at the start of the project. It
consists of the device and accessories, as well as the costs for installation and transport.
The storage of water, drilling, and distribution systems are neglected in this analysis
(since they are identical for both systems). Table 4.4 and Figure 4.3 show that the initial
cost of the systems using the PV pumping system is significantly higher compared to the
diesel pumping systems, possibly due to the higher capital cost of the PV pumping system
components. The capital cost of the solar PV water pumping system can be considered
the main obstacle to applying the system in a developing country like Ethiopia. Econom-
ics Analysis of Diesel and Solar Water Pumping System Parameters: Operation Cost,
Maintenance Cost, and Replacement Cost (E.T. El Shenawy, 2016)

4.1.1.3. PV System Operation Costs

The operating costs of the PV system include on-site guards and workers for cleaning the
modules and regular component checks. The life-cycle operating cost of a PV system
with round-mounted panels for the available labor and required skills has to be considered
based on the system distribution and local labor costs in the study area. Considering the
total size of 250 Wp of PV modules used in each water supply system, the total cost of

37
ownership for the PV system over its 25-year service life is shown in Table 4.5. The study
of PV operational costs (1%) of their capital costs This may be due to the variation in la-
bor costs from location to location and the capacity or size of the distribution system at
the location. Wali Tate Gida acquisition cost example: OC PV = 131,958X 0.01 =
1,319.58

Table 4: 7 Operational Costs for the PV

Site name operational cost for the PV( US$/25year)

Wali Tate Gida 1,319.58

Eba Wakayo 1,281.14

Kote Genasi 1,097.03

Najo Lega Tabota 1,674.76

Averae 1,343.13

Source: Own calculation based on data from District Office for Water and Energy and
World Vision Ethiopia Nejo AP
4.1.1.4. Diesel Pumping System Operation Costs
The main source of cost for the diesel system's operation is diesel fuel. The life cycle fuel
consumption was calculated by summing the consumption of all years of the study period
(25 years). The pricing of fuel costs should be based on present worth using the discount
rate d = 10 percent in the time value of money. Then, to calculate the present worth (PW),
each fuel consumption period should be considered separately, and its fuel costs are to be
reduced to the present worth by using equation 2. For example, the calculations for Wali
Tate Gida, the annual cost of fuel at the current diesel cost of US$0.87/liter, are given by:

ACF= Cf*HO*Fd*365

ACF denotes the annual cost of diesel fuel.

The main cost source for diesel system operation is diesel fuel. The life cycle fuel con-
sumption was calculated by adding up the consumption of all years of the investigation
period (25 years). Fuel costs should be priced on a present value basis, with the discount
rate d = 10% of the current value. Then, to calculate the present value (PW), each fuel
consumption period should be considered separately and its fuel cost reduced to the

38
present value using equation 2. The calculations for Wali Tate Gida's annual fuel cost at
the current diesel cost of $0.87/liter are given by: ACF = Cf*HO*Fd*365

where ACF is the annual cost of diesel fuel,

What are the operating hours of the diesel generator?

Consider the diesel cost per liter that the site provides.

The estimated average consumption of diesel is Fd- (l/h).

=1.37US$/l*6h*3l/h*365=6023US$

To calculate the present value of the total fuel cost over the life of the system using equa-
tion 2,

[ ]
1
1−
( 1+d )n
PW =Vann
d

PW= = Vann (9.0789)

=6023US$(9.0789)

=54,687.5$ for 1 year of operation at Wali Tate Gida scheme

For Najo Laga Tabota shcemes fuel consumption

1.37US$/l*8h*3l/h*365=US$ 12,001.2

PW =12001.2*(9.0789)

PW =108,957.7$ for 25year of operation at Najo Laga Tabota scheme

Similarly, for the rest of water schemes, costs of diesel for the whole 1year operation pe-
riod are shown in Table 4.6. The result was in line with the study by (Chandel et al, 2015)

Table 4: 8 Operational Costs for the Diesel System

No Site name operational cost for the diesel sys-

tem( US$/25Year )
1 Wali Tate Gida 54,687.50
2 Eba Wakayo 45,399.04
3 Kote Genasi 56,748.80
4 Najo Laga Tabota 108,957.70
Average 66,448.26
Source : Own calculation based on data from the District Office for Water and Energy.

39
This table show above on table:- 4.8,and 4.9 Opration cost of both DS vs PV water pump
system from the area study of schemes

Table 4: 9 summery of Operation cost for DS &PV water pump system

OC DS (US$/ OC PV(US$/
No Site name
25year) 25year)
1 Wali Tate Gida 54,687.50 1,319.58
2 Eba Wakayo 45,399.04 1,281.14
3 Kote Genasi 56,748.80 1,097.03
4 Najo Laga Tabota 108,957.70 1,674.76
Average 66,448.26 1,343.13

This blow figer show that above table 4.10 operation cost of the power supply

120,000.00

100,000.00

80,000.00

60,000.00
OC DS (US$/25 year)
OC PV(US$/25year)
40,000.00

20,000.00

0.00
Wali Eba Kote Najo Average
Tate Wakayo Genasi Laga
Gida Tabota

Table 4: 10 Summery of operation cost for DS and PV water pump system

The operation cost of Diesel water pump system is greater than of operation cost of PV
water pump system.

4.1.2. Maintenance and Repair Costs

For the sake of simplicity, maintenance costs and repair costs have been combined in the
LCCA; however, it should be clear that there is a difference between these two costs.
Maintenance costs are planned costs associated with maintaining the equipment while re-

40
pair costs are unforeseen expenses required to extend the life of the equipment system
without replacing it. PV.

4.1.2.1. PV System Component Maintenance and Repair Costs:

For this study, the maintenance and repair costs for a PV system were projected at 12% of
the total life cycle operating costs, based on the available distribution system at the site,
which was calculated per year and shown in Table 4.5 for every water system. Similarly,
as reported by (Hammad and Munzer S Y Ebaid, 2015)..

Table 4: 11. PV water pump System Maintenance and Repair Cost

Maintenance and repair

Site name costs(US$/year )

Wali Tate Gida 158.35

Eba Wakayo 153.74

Kote genasi 131.64

Najo Laga Tabota 200.97

Source : (Hammad and Munzer S Y Ebaid, 2015) depend on the stunderd and calculate
from the LCC of the project cost

4.1.2.2.Maintenance cost of Diesel water pump system

Based on data from senior district experts, the quantity and cost of preventive mainte-
nance materials are listed in Table 4.5. The estimated maintenance cost of the diesel sys-
tem was multiplied by 30% to compensate for the parts that would be required for repairs
and overhauls along with the labor required for maintenance. This result is similar to the
report presented by Hammad and Munzer S. Y. Ebaid maintenance materials are listed in
Table 4.5. The estimated maintenance cost of the diesel system was multiplied by 30% to
compensate for the parts that would be required for repairs and overhauls along with the
labor required for maintenance. This result is similar to the report presented by Hammad
and Munzer S. Y. Ebaid (2015). Using the location of the diesel water pumping system as
a sample to calculate the maintenance and repair costs, including the 10% discount rate,
the results are shown in Table 4.11

41
 Table 4: 11. Maintenance and replacement interval for diesel engine

Maintenance & re- good quality engine Low quality engine

placement

Minor service (11days) 250 Hr

Major service ( 42days) 1000Hr
Overhaul ( new) (14month) 5,000 Hr
Replacement (4 year)) 10,000 Hr
Source: Munzer S. Y. Ebaid (2015).
Spare part of Diesel generator from blow table 4.12 the same for every different size of
diesel from the existing schemes
Table 4: 12 Maintenance Costs for diesel water pump system parameter

Diesel Spare No of Unit Price Total Cost Total Cost

Qty /Charge
Part description charges/year (USS) (us)/year (us)/25year
Engine oil 43 35L/Charge 7 10,535.00 263,375.00
Oil and Fuel 122,550.00
43 1set/Charge 114 4,902.00
filter
Coolant 8 80l/charge 3 1,920.00 48,000.00
Air filter 8 1piese/charge 71 568 14,200.00
2piece / 6,450.00
Batteries 1 129 258
charge
Source: depend to data collect from the study area then calculate cost analysise

Table 4: 13 Maintenance cost for Diesel Generator spare part (USS/25year`

)

Description Najo Laga Tabota Walitate Gida Eba Wakayo Kote genasi

Engine oil 263,375.00 263,375.00 263,375.00 263,375.00

Oil and Fuel filter 122,550.00 122,550.00 122,550.00 122,550.00
Coolant 48,000.00 48,000.00 48,000.00 48,000.00
Air filter 14,200.00 14,200.00 14,200.00 14,200.00
Batteries 6,450.00 6,450.00 6,450.00 6,450.00
Total 454,575.00 454,575.00 454,575.00 454,575.00

42
Source : calculate from above table 4.14

Total cost of a diesel water pump system (in US dollars) = maintenance cost + spare parts
cost (236,375 x 30%) = $590,947.50 Price source: Oral data collected from several sup-
pliers of CAT maintenance material (Mahmoud et al, 2015) The PV water pumping sys-
tem has no moving parts; instead of a battery, the water reservoir is used to store water,
which eliminates most maintenance costs by removing the battery from the system, mak-
ing the PV pumping system very reliable and low maintenance. In contrast, the diesel
pumping system requires regular maintenance services, which are listed in Table 4.7. This
result was consistent with those of (Ahmadi et al, 2019) The diesel system has several
components that need regular repair, such as fuel, lubricant, and water separator filters.
Lubricating and cooling liquids should be replaced on a regular basis. Likewise (Asefa
Kabade et al, 2013). Change the engine oil approximately one month or 20 hours after the
initial start and every 3 months or 100 hours thereafter while the engine is still warm.

Where O=oil, f= filters and Q= Quantity

That PV maintenance cost for pumping system is more economical than the diesel pump-
ing system.

4.1.3. Replacement Costs

4.1.3.1. PV Component Replacement Costs
The system converter and pump would be replaced once every 15 years. The photovoltaic
modules would not need to be replaced during the system's lifetime, as their expected life-
time is 25 years. Among the most important PV system components that could be consid-
ered for replacement cost are inverters, so the lifetime of inverters is typically assumed to
be 10 to 15 years (Hansen,et al , 2005). Table 4.7 shows the result of all current schemes,
which should consider a 10% discount rate for both the solar pump and the inverter using
Equation 3. (Hammad and Munzer S. Y. Ebaid, 2015) Economical standby state with au-
tomatic load detection; high electromagnetic compatibility; protection against short-cir-
cuit damage on the output side; low harmonic content; safe voltage protection; Based on
the requirement criteria and technical specifications listed above, the size of the inverter
that converts from DC to AC is calculated from the size of the motor, taking into account
the inverter efficiency, as follows: Pump control size = 25%-30% greater than total pump
power of the motor (feasibility study on diesel water replacement, 2006).
Pinverter=¿ P load x 1.25−−−−−−−−−−−−−4.1 ¿

43
Example Wali Tate Gida :- 20*1.25 =25KW

Table 4: 14 PV Component Replacement Cost

Replaced compo- Walitate Eba Wakayo Kote Genasi Najo Lega Tabota
nent Gida
costs(US$) costs(US$) costs(US$) costs(US$)
Solar Water Pump 350 370 350 420
Inverters 12,000 11,000.00 10,000.00 11,000.00
Total 12,350 11,370 10,350 11,420
Source: own computation based on data from World vision Ethiopia Najo AP

4.1.3.2. Diesel Pumping System Replacement Costs

Based on the weather conditions in West Wolega zone Najo district and expert experi-
ence, a new diesel generator and pump would most likely need to be installed every 10
years (Table 4.9).It is strongly recommended that the generator and pump be replaced af-
ter 10 years of continuous duty.

Q = quantity; P = pump based on weather conditions to ensure the reliability of the diesel

System parts, (Arif, M. el at, 2012)

Table 4: 15 Diesel System Component Replacement cost in 25years twice

Replaced component Walitate Eba Kote Genasi Najo Laga
Gida Wakayo Tabota

(unit ( unit prices (unit prices (unite prices

prices in in USD) in USD) in USD)
USD)

Diesel Pump 80 100 70 11,342

Diesel Generator 3,951 5,000 3,951 28,355

Battery 283.55 283.55 283.55 283.55

Transportation and installation 945 1,000 1,200 1,500

of Equipment cost

Total Twice of replacement 10,518.50 12,767.10 11,008.50 82,962.19

costs in average (US$)/25 Years

Source: own computation based on data from west Wallaga water and energy office

44
Total replacement costs are, on average, 29,314.07 (US$) per year, and 11,372.50 (US$)
per year, respectively. Replacement costs are anticipated expenditures for major system
components that are required to maintain the operation of a facility. As illustrated in Ta-
bles 4.8 and 4.9,The replacement costs of diesel water pumping systems are higher than
those of PV solar water pumping systems since the inverter and pump are replaced once
throughout the life cycle of a solar PV system and twice for a diesel water pumping sys-
tem. This result is in agreement with the study by (Narale et al, 2013), which reported that
the replacement cost of a solar water pumping system was really high compared with
diesel water pumping system costs. This is perhaps due to the short life span of diesel
pumping system components

4.1.3.3. Water production and in coming cost from water sold for study area (US$)
According to data gathered from the site oral interview population of the area studied,
both diesel water pump systems and PV solar water pump systems have the same demand
and the same tariff for water sell (20,20,30)/3 = 23 EB convert to USD 52$ = 0.44$, so
when calculating the economic cost analysis to compile PV system has a cost benefit, as

PV cost save=Water soled cost- IC = +

DS Cost Save =Water soled-IC+MC+OC and RC = -

4.1.4. Cash Flow Cost Breakdown

Under normal operating conditions the life of the Diesel generator is to be 20,000 hours
and to satisfy the daily water requirement it has to operate for 8.15 hours every day.
Based on this the generator must be replaced after 10 years of operation salvage value is
15% of initial Cost. Blow tables for all site cost breack dawons are for pawore supplyers

Table 4: 17 Diesel generator cost breakdown for walitate Gida

S/n Cost description Cost [$]/Year

1 Initial cost 40,259.00

2 Annual O&M 25,825.40
3 Replacement cost 420.74
4 Salvage value 6,038.85
Water Produced 9,250.56
5
Soled( incoming cost)

45
Source : took from Data collection from west wallaggaa water and energy office and
some of factor calculate from data collected

Table 4: 18 Diesel generator cost breakdown for Kote Genasi

S/n Cost description Cost [$]
1 Initial cost 43,504.00
2 Annual O&M 25,907.84
3 Replacement cost 440.00
4 salvage value 6,525.60
5 Water Produced Soled 9,250.56

Table 4: 19 Diesel generator cost breakdown for Najo Lega Tabota

S/n Cost description Cost [$]/year

1 Initial cost 93,481.00
2 Annual O&M 27,995.88
3 Replacement cost 3318.5
4 salvage value 14,022.15
5 Water Produced Soled 25,439.04

Table 4: 20 Diesel generator cost breakdown for Eba Wakayo

Eba wakayo
S/n Cost description Cost [$]/year
1 Initial cost 43,504.00
2 Annual O&M 25,907.84
3 Replacement cost 440.00
4 Salvage value 6,525.60
5 Water Produced 25,439.04
Soled( incoming cost)

46
 Table 4: 21 summery DG of incoming cost water sell

Component of Diesel Water Pump System Cost US /Year

1 2 3 4 5
Site Name IC AO&M IRC Incom- Save cost Investment Cost
ing cost Annual(4- Payback(Iteam1/
(2+3)) 5)
Walitate Gida 40,259.0 25,825 421 9,250.56 -16,995.58 No pay back
0
Eba Wakayo 43,504.0 25,908 440 8,788.03 -17,559.81 No pay back
0
Kote Genasi 43,504.0 25,908 440 9,250.56 -17,097.28 No pay back
0
Najo Laga 93,481.0 27,996 3,319 25,439.0 -5,875.34 No pay back
Tabota 0 4
Average 55,187.0 26,409.2 1,154.8 13,182.0 -14,382.00 No pay back
0 4 1 5

The fuel consumption and maintenance costs of a diesel water pump system are very
high, while the initial costs of the system were very low when compared to a PV water
pump system; however, the incoming costs of both systems are the same because the de-
mand, amount of water produced, and water tariffs are the same. Because the operation
and maintenance costs of DS were higher than in the following coat, there was no profit
in the scheme, a sample diesel water pump system, and although there was no cost reim-
bursement for the initial cost of the project,

Table 4: 22 PV cost distribution over its life for Walitate Gida Sprin Source
s/n Cost description Cost [$]/year
1 Initial cost 131,958
2 Annual O&M 1,880
3 Inverter replacement cost 480
4 Water Produced Soled 9,250.56
Initial cost = (module + inverter) cost

Table 4: 23 PV cost distribution over its life for Eba Wakayo

s/n Cost description Cost [$]/year

47
 1 Initial cost 66,202.00
2 Annual O&M 1,515
3 Inverter replacement cost 440
4 Water Produced Soled 8,788.03
Table 4: 24 PV cost distribution over its life for Kote Genasi
s/n Cost description Cost [$]/year
1 Initial cost 54,750.00
2 Annual O&M 1,459
3 Inverter replacement cost 400

4 Water Produced Soled 9,250.56

Table 4: 25 PV cost distribution over its life for Najo Laga Tabota
s/n Cost description Cost [$]/year

1 Initial cost 102,000.

2 Annual O&M 2,342

3 Inverter replacement cost 440

4 Water Produced Soled 25,439.04

Table 4: 26 summery of PV in coming cost from water sell

Component of PV Cost US /Year

1 2 3 4 5 Profit
Save
Mony Investiment
Anualy(4- Cost Pay
Site Name IC AO&M IRC WPS (2+3)) back(Iteam1/5)
Walitate Gida 131,958.00 1,880 480 9,250.56 6,890.56 19
Eba Wakayo 128,120.00 1,515 440 8,788.03 6,833.03 19
Kote Genasi 109,708.00 1,459 400 9,250.56 7,391.56 15
Najo Laga Tab- 25,439.0
ota 167,428.00 2,342 440 4 22,657.04 7
Average 134,303.50 1,799.00 440.00 13,182.05 10,943.05 15

Note: PV solar water pump system running cost from the water produced annually aver-
agely USD cost /Year 13,182.The sum of Annual operation, Maintenance and Inverter re-

48
 placing costs are average 2,239 USD. Cash profits from the scheme samples are incoming
costs-out coming cost,= average 10,943.05USD cost /year. The project initial cost pay
back in 25 year life span can be calculate IC/profit cost annually were averagely 15years

Table 4: 27 summery of cost flow break down

Summary of Diesel and Solar PV Water Pump System Cost US /Year

1 2 3 4 5
Site Name

PV PB
PV OM

DS INC

PV INC
DS OM

DS RC

PV RC

PV CP

DS PB
DS IC

PV IC

DSCP
Walitate No pay
40,259 131,958 25,825 1,880 421 480 9,251 9,251 -16,995 6,950 19
Gida Back
Eba No pay
43,504 128,120 25,908 1,515 440 440 8,788 8,788 -17,560 6,833 19
Wakayo Back
Kote No pay
43,504 109,708 25,908 1,459 440 400 9,251 9,251 -17,097 7,352 15
Genasi Back
Najo Laga 3,31 No pay
93,481 167,428 27,996 2,342 440 25,439 25,439 -5,876 19,778 8
Tabota 9 Back
1,15 No pay
Average 55,187 134,304 26,409 1,799 440 13,182 13,182 -14,382 10,228 15
5 Back

49
 120,000 Walitate Gida
Eba Wakayo
Kote Genasi
100,000 Najo Laga Tabota
Average

80,000

60,000

40,000

20,000

0
IC IC C C NC NC P P B B
OM OM S R V R I I SC V C S P V P
DS PV DS S PV D P D P
PV D P D
-20,000

-40,000

Figure 4: 3 cost flow break down chart PV and DS

4.2. To analysis of the LCC of diesel water pump systems and solar PV
water pump systems

4.2.1. LCC Analysis Present Worth Approach

The present value is the value on a given date of a future cost (or series of costs), given an
interest rate or a discount rate to reflect the changing value of money over time. A cost to
be paid with annual amortizations can be considered as a sum of costs, one for each year,
where the present value of the cost equals the sum of the present values of all cost pay-
ments, as shown in Equation 4.3 below.

50
To find the present (P) given the annual cost (A). The terms P and A (i, n) represent the
present value of the uniform-series present worth factor, which starts at the end of year 1
and lasts n years at interest rate i.
n
A A −− A A
PW = + 2
± n
=A ∑ ¿ 1 … … … … ..4 . 3
1+i (1+i) ( 1+i ) j ( 1+i ) j

[ ]
n
(1+ i) −1
PW = A , i≠ 0 This can also be shown with a geometric series shown in Equa-
i( 1+i)n
tion .4.3. where, PW - Present Value (worth)

A - Equal Annual cost

i -Discount Rate

n- Economic Life of Project (years)

To find Present (P) given future value (F) (P/F, i, n)

P=F [ 1+i ]
−n
-------------------------------------4.4
The term (P / F, i, n) represent the factor that can determines the present worth P of a
given future amount F after n years at interest rate i.e According to Figure 4.1. (i. e cash
flow diagram o) the present worth is given by equation 4.2

4.2.2. Present worth the cost DG & PV

PW ( DG ) Ic+ A ( PA ,i , n)+ Rc ( FP ,i ,7)−Sv ( PF , i, 7)+ Rc ( PF , i ,14)−Sv ¿

-----------------------------------------------------4.5

where, PW (DS) - Present worth of DS

Ic - Initial cost

A - Annual M&O cost

SV - salvage value

n - Economic Life of Project (years)

i - Discount rate and

Rc- Replacement cost

51
The factors:

[ ]
n
P ( 1+ i¿ ) −1
? , i ,n ¿ is ¿ n- is economic life of the project
A i1+i ¿
n

P
,i , n ¿is [ ( 1+i ) ] n is the year at which the future value is considered
n
?
F

4.2.2.1. Present worth of Diesel (DS)

= P/F, 10.5,7) =2.011

P/A, 10.5,25) = 12.14

P/F, 10.5,14) =4.046

PW (DS) = Ic+ A (P/A, 10.5, 25) + Rc(P/F, 10.5, 7) - SV(P/F, 10.5, 7) + Rc(P/F, 10.5, 14) -
SV(P/F, 10.5, 14) - SV(P/F, 10.5, 25)

=40259+590947*(12.14)+10518.5*(2.011)-6038.92*(2.011)+10518.5*(4.046)-
6038.92*(4.046)-6038.5*(12.14)

Wali Tate Gida =7,168,181 USD

Table 4: 28 present worth of Diesel Generators

No Schemes Name Present worth of DS ($)
1 Walitate Gida 7,168,181.01
2 Eba Wakayo 7,169,466.02
3 Kote genasi 7,165,522.41
4 Najo Lega Ta 7,514,920.08
Average 7,254,522.38

4.2.2.2. Presence worth of PV

According to Figure 4.6 (i. e cash flow diagram of PV system) the present worth is given
by equation

PW ( PV )=Ic+ A ( PA ,i , n)+ Rci ( FP ,i ,11) --------------------------------------4.6

where, PW (PV)- Present worth of PV system

Ic- Initial cost

52
 A- Annual O&M cost

i- Discount rate

n- Economic Life of Project (years)

Rci- Inverter replacement cost

The present worth for a PV system is computed according to equation 4.6

PW (PV) = Ic + Rci(P/F 10.5, 11) + A(P/A10.5, 25) )

PW (PV) = Ic + Rci (P/F 10.5, 11) + A(P/A10.5, 25)

=(P/F,10.5,11)= 2.99

= ( P/A10.5,25 ) = 12.14

131,958+12,000(2.99)+1880(12.14) =190,661 wali tate giada

Table 4: 29Presence worth of PV solar

No Schemes Name Present worth of PV ($)

1 Walitate Gida 190,661
2 Eba Wakayo 179,402
3 Kote genasi 157,320
4 Najo Laga Ta 228,750
Average 189,033.25
4.2.3. A
nnual worth of the diesel

Then the equivalent annual worth is given by equation 4.6.

P
AW=PW ( , i, n) -------------------------------------------------------------------4.6
A

Where n=25

Therefore, the annual worth of DG and PV systems are calculated as shown below.

[ ]
n
i ( 1+i )
AW ( DG ) =PW ( DG)∗ =0.11
( 1+i )n−1

=7,168,181X (.11)= 788,500

53
Table 4: 30Annual worth of the Diesel generator
No Schemes Name Present worth of DG ($) Annual Worth of
DG($)
1 Walitate gGida 7,168,181.01 788,500
2 Eba Wakayo 7,169,466.02 788,641
3 Kote genasi 7,165,522.41 788,207
4 Najo Laga Ta 7,514,920.08 826,641

4.2.3.1. Annual worth of the PV Solar

[ ]
n
i ( 1+ i )
AW ( PV )=PW ( PV )∗
( 1+i )n−1
=190,661 (0.11 ) = 20,973

Table 4: 31 summery of Presence worth and Annual worth of PV

No Schemes Name Present worth of PV ($) Annual Worth of
PV($)
1 Walitate gGida 190,661 20,973
2 Eba Wakayo 179,402 19,734
3 Kote genasi 157,320 17,305
4 Najo Laga Ta 228,750 25,163
Note: - The decision rule for LCC analysis is to choose the alternative with the lowest
LCC. Since PV has the lowest LCC it should be choose

Table 4: 32 summary of Presence worth and Annual PV AND DG

DS PV
No
Schemes Name PW ($) AW($) PW ($) AW($)
1 Walitate Gida 7,168,181.01 788,500 190,661 20,973
2 Eba Wakayo 7,169,466.02 788,641 179,402 19,734
3 Kote genasi 7,165,522.41 788,207 157,320 17,305
4 Najo Laga Tabota 7,514,920.08 826,641 228,750 25,163

54
Figure 4. 2 summery of Presence worth and Annual

7,000,000.00

6,000,000.00

5,000,000.00

4,000,000.00
DS PW ($)
DS AW($)
PV PW ($)
3,000,000.00 PV AW($)

2,000,000.00

1,000,000.00

0.00
Walitate Gida Eba Wakayo Kote genasi Najo Laga Tabota

Figure 4: 4 presence worth and annual worth of PV and DS chart

4.2.4. Unit Water Cost

The unit water cost (UWC) reflects the cost of water. Therefore, it provides a measure for
the cost at which water from a particular installation needs to be sold in order to recover
the all-inclusive costs of providing the water supply service. To determine the unit water
cost, the LCC should be converted into the annual equivalent life cycle cost. In other
words, the LCC will be distributed equally over the system’s economic life. Then the
ALCC (AW) is divided by the annual water production requirement to determine the unit
water cost, as shown in equation 4.7.

55
 4.2.4.1. Unit water of DG
AW
UWC= ------------------------------------------------------ 4.7
AWP

where, AWP-annual water production [m3]

(D) = 788500 = 37.5

UWC Wali Tate gGida
21024

Table 4: 33Unit water of DS

No
worth of

Water of
Scheme

Present

DG USD
Worth of

Produc-
s Name

Annual

Annual
DS ($)

Water

Unit
tion

DS
1 Walitate gGida 7,168,181.01 788,500 21,024.00 37.5
2 Eba Wakayo 7,169,466.02 788,641 19,972.80 39.5
3 Kote genasi 7,165,522.41 788,207 21,024.00 37.5
4 Najo Laga Ta 7,514,920.08 826,641 57,816.00 14.3

4.2.4.2. Unit water of PV

PV 20973 =
UWC = 1$/m3
21024

Table 4: 34Unit Water of PV

No
Worth of
Schemes

worth of

Produc-
Present

Annual

Annual
PV ($)

Water

Water
Name

Unit
tion
PV

PV

1 Walitate gGida 190,661 20,973 21,024.00 1.00

2 Eba Wakayo 179,402 19,734 19,972.80 0.99
3 Kote genasi 157,320 17,305 21,024.00 0.82
4 Najo Laga Ta 228,750 25,163 57,816.00 0.44
Table 4: 35Summary of LCC Analysis Present Worth Approach PV and DS

Scheme AW(DS AW(PV AWP(PV&DS UWC UWC(PV

PW(DS) PW(PV)
Name ) ) ) (DS) )
7,168,18
1 Walitate Gida 190,661 788,500 20,973 21,024 37.50 1.00
1
7,169,46
2 Eba Wakayo 179,402 788,641 19,734 19,973 39.50 0.99
6
7,165,52
3 Kote Genasi 157,320 788,207 17,305 21,024 37.50 0.82
2

56
 Najo Laga 7,514,92
4 228,750 826,641 25,163 57,816 14.30 0.44
Taabot 0

Summery of LCC Presennt worth aproch

8,000,000
7,000,000
6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
0
PW(DS) PW(PV) AW(DS) AW(PV) AW(PV&DS) UWC (DS) UWC(PV)

Walitate Gida Eba Wakayo Kote Genasi Najo Laga Taabot

Figure 4: 3 Summary of Unit wate

4.3. To estimate of the potential contribution of solar water pumps to re-

ducing GHG emissions

4.3.1. Financial Viability Analysis

The results produced in the economic analysis show that the PV system in all three cases
is highly economically feasible and these are:

4.3.2. Payback Period

The simple payback is the number of years it takes for the cash flow (excluding debt pay-
ments) to equal the total investment (which is equal to the sum of the debt and equity).
The year-to-positive cash flow (equity pay-back) is the first year that the cumulative cash
flows for the project are positive.

In RETSceern software, the payback period (PBP) can be defined as follows:

57
 4.3.2.1. Wali Tate Gida

The project’s initial investment will be fully recovered within years 10.1 Equity pay-back
period is 7.2 years.

4.3.2.2. Kote Genasi

The project’s initial investment will be fully recovered within 9.2 years. Equity pay-back
period is 7.2 years

4.3.2.3. Najo Lega Tabota

The project’s initial investment will be fully recovered within 6.5 years. Equity pay-back
period is 3.4 years

4.3.2.4. Eba Wakayo

The project’s initial investment will be fully recovered within 10 years. Equity pay-back
period is 6.4 years

4.3.3. Internal Rate of Return

The model calculates the pre-tax internal rate of return on equity and asset, which repre-
sents the true interest yield provided by the project equity and assets over its life before
income tax. It is calculated using the pre-tax yearly cash flows and the project life. It is
calculated by finding the discount rate that causes the net present value of the equity and
assets to be equal to zero.

4.3.3.1. Wali tate Gida

The calculated IRR on equity of the project is16.6 % and IRR on asset is 5.2%.

4.3.3.2. Kote Genasi

The calculated IRR on equity of the project is 17.3 % and IRR on asset is 5.7%.

4.3.3.3. Najo Lega Tabota

The calculated IRR on equity of the project is 36.4 % and IRR on asset is 11.6%.

4.3.3.4. Eba Wakayo

The calculated IRR on equity of the project is 37.3 % and IRR on asset is 11.8%.

4.3.4. Net Present Value

The net present value of a project is the value of all future cash flows, discounted at the
discount rate, in today’s currency. Under the NPV method, the present value of all cash
inflows is compared against the present value of all cash outflows associated with an in-

58
vestment project. The difference between the present values of these cash flows, called
the NPV, determines whether or not the project is generally a financially acceptable in-
vestment. Positive NPV values are an indicator of a potentially feasible project.

4.3.4.1. Wali Tate Gida

The net present value at 10% discount rate is Birr 27,944 $.

4.3.4.2. Kote Genasi

The net present value at 10% discount rate is Birr 14,205 $.

4.3.4.3. Najo Lega Tabot

The net present value at 10% discount rate is Birr 101,223 $.

4.3.4.4. Eba Wakayo

The net present value at 10% discount rate is Birr 21,618 $.

4.3.5. Annual Life Cycle Saving

The model calculates the annual life cycle saving which is the nominal yearly saving hav-
ing exactly the same life and net present value as the project. The annual life cycle saving
are calculated using the net present value, the discount rate and the project life.

4.3.5.1. Wali Tatate Gida

Based on the cash flow statement, ALCS is 9,605 $/year.

4.3.5.2. Kote Genasi

Based on the cash flow statement, ALCS is 6,753 $/year.

4.3.5.3. Najo Lega Tabota

Based on the cash flow statement, ALCS is 16,556 $/year.

4.3.5.4. Eba Wakayo

Based on the cash flow statement, ALCS is 7,344 $/year

4.3.6. Benefit Cost Ratio

The benefit-cost ratio is an expression of the relative profitability of the project. The
model calculates the net Benefit-Cost ratio, which is the ratio of the net benefits to costs
of the project.

Ratios greater than 1 are indicative of profitable projects.

4.7.4.1. Wali Tate Gida

The benefit cost ratio is 2.1.

59
 4.7.4.2. Kote Genasi
The benefit cost ratio is 1.9.

4.7.4.3. Najo Lega Tabota

The benefit cost ratio is 4.3.

4.7.4.4. Eba Wakayo

The benefit cost ratio is 2.1

4.3.7. Total Annual Saving and Income

The total annual saving and income represents the annual saving and/or income realized
due to the implementation of the proposed case system.

4.3.7.1. Wali Tate Gida

Based on the cash flow statement, AS is 2,845 $.

4.3.7.2. Kote Genasi

Based on the cash flow statement, AS is 1625 $.

4.3.7.3. Najo Lega Tabota

Based on the cash flow statement, AS is 10,305 $.

4.3.7.4. Eba Wakayo

Based on the cash flow statement, AS is 2,201 $.

4.3.8. GHG Reduction Cost

The GHG Emission reduction cost (RC) represents the nominal cost to be incurred for
each tone of GHG avoided.

4.3.8.1. Wali Tate Gida

Based on the cash flow statement, the H reduction cost is 184 $/tco2.

4.3.8.2. Kote Genadi

Based on the cash flow statement, the H reduction cost is 136 $/tco2.

4.3.8.3. Najo Lega Tabota

Based on the cash flow statement, the H reduction cost is 525 $/tco2.

4.3.8.4. Eba Wakayo

Based on the cash flow statement, the H reduction cost is 179 $/tco2.

Table 4: 36 Summary of fanatical analysis

S/ Site RC[$/ PBP [year] IRR [%] UWC
N tco2] [$/m3]

60
 AS&In
ALCS caming
Simple Equity Asset Equity DS PV
[$/ [$/
B-C year} year}
Wali Tate
1
Gida
9,605 184
10.00
7.2 5.2 16.5 37.5
2.10 2,845 1.00

2 Kote Genasi 6,753 1,625 136

9.00
7.2 5.7 17.3 39.5
1.90 0.99
Najo Lega
3
Tabota
16,556 525
7.00
3.4 11.6 36.4 37.5
4.30 10,305 0.82

4 Eba Wakayo 7344 2201 179

10.00
6.4 11.8 37.3 14.3
2.10 0.44
Source : fanincial analysis from RETScreen soft ware

4.4. Financial Risk Analysis

The risk analysis is performed using a Monte Carlo simulation by RET Screen software
that includes 500 possible combinations of input variables, resulting in 500 values of af-
ter-tax IRR on equity, after-tax IRR on assets, equity payback, or net present value. The
risk analysis allows one to assess if the variability of the financial indicator is acceptable
or not by looking at the distribution of the possible outcomes. An unacceptable level of
variability will be an indication of the need to put more effort into reducing the uncer-
tainty associated with the input parameters that were identified as having the greatest im-
pact on the financial indicator. The simulation consists of two steps:

? For each input parameters, 500 random values are generated using a normal (as-
sign) distribution with a mean of 0 and a standard deviation of 0.33 using the ran-
dom number generation function in Microsoft Excels Data Analysis Tool Pack.
Once generated, these random numbers are fixed.
? Each random values is then multiplied by the related percentage of variability
(range) specified in the Risk analysis worksheet. The result is 500 x 9 matrix con-
taining percentage of variation that will be applied to input parameters‟ initial
value in order to obtain 500 results for the output financial indicators.

Table 4: 37Input Parameters and Output Indicators associated with the Monte Carlo simu-
lation performed in the RETScreen Risk Analysis Model.
Technical and Financial Pa- Financial Indicators
rameters (Output indicators)
(Input parameters)

Initial cost after-tax IRR-equity

61
 O&M after-tax IRR – assets

Fuel cost- base case equity payback (year to positive

cash flow)

Debt ratio Net Present Value

Debt interest rate

Debt term

4.4.1. Impact graph

The impact graph shows the relative contribution of the uncertainty in each key parameter
to the variability of the financial indicator. The X axis at the bottom of the graph does not
have any units but rather presents a relative indication of the strength of the contribution
of each parameter. The lower the horizontal bar is for a given input parameter, the greater
is the impact of the input parameter on the variability of the financial indicator. The input
parameters are automatically sorted by their impact on the financial indicator. The input
parameter at the top (Y axis) contributes the most to the variability of the financial indica-
tor, while the input parameter at the bottom contributes the least. This "tornado graph"
will help us determine which input parameters should be considered for a more detailed
analysis, if that is required. The direction of the horizontal bar (positive or negative) pro-
vides an indication of the relationship between the input parameter and the financial indi-
cator. There is a positive relationship between an input parameter and the financial indica-
tor when there is an increase in the value of that parameter.

results in an increase in the value of the financial indicator. For example, there is usu-
ally a negative relationship between initial costs and the Net Present Value, since de-
creasing the initial costs will increase the NPV.

4.4.2. Impact of Input Parameters on After-tax IRR-equity

Impact of input parameters on IRR-equity is shown in Figures 4.7. for each source.
The Figures shows that the input parameters like initial cost, debt interest rate and
O&M lay on the negative side of the horizontal bar but the parameters like base-case
fuel cost and debt ratio lay on the positive side. This implies increasing in initial cost

62
strongly reduces IRR on equity whereas increasing base-case fuel cost and debt ratio
will improve it.

4.4.2.1. Wali Tate Gida

Figure 4: 5Impact on Net Present Value for Wali Tate Gida

Source : relative impact parameter RET Screen soft ware figer

63
4.4.2.2. Kote Genasi

Figure 4: 6 Impact on Net Present Value for Kote Genasi

Sourec : RET Screen Soft ware

64
4.4.2.3. Najo Lega Tabota

Figure 4. 4 Impact on Net Present Value fo Nejo Lega Tabota

Source : RET Screen soft ware figer

65
4.4.2.4. Eba Wakayo

Figure 4: 7 Impact on After-tax IRR-equity for Eba Wakayo

Source : RET Screen soft ware
4.4.3. Distribution graph

This histogram provides a distribution of the possible values for the financial indicator
resulting from the Monte Carlo simulation. The height of each bar represents the fre-
quency (%) of values that fall in the range defined by the width of each bar. The value
corresponding to the middle of each range is plotted on the X axis.

Looking at the distribution of financial indicator, we are able to rapidly assess its' vari-
ability.

66
4.4.3.1. Disterbution pre-tax-IRR equity Wali Tate Gida

Figure 4: 8 Distribution graph of Pre-tax equality for Wali Tate Gida

4.4.3.2. Kote Genasi
Source : RET Screen soft ware

Source : RET Screen soft ware

Figure 4: 9 Distribution graph of EPC for Kote Genasi

67
4.4.3.3. Distribution energy production Nedjo lega Tabot

Source : RET Screen soft ware

Figure 4: 10 Distribution graph of EPC for Nedjo La Tabota

4.4.3.4. Distribution energy production Eba Wakayo

Source : RET Screen soft ware

Figure 4: 11 Distribution graph of EPC for Eba Wakayo

68
 4.5. Sensitivity Analysis
This section presents the results of the sensitivity analysis. Each table shows what hap-
pens to the selected financial indicator (et After-tax IRR - equity) when two key parame-
ters (i.e Initial costs and O&M) are varied by the indicated percentages. In the sensitivity
analysis the projects economical calculations are presented in tables where different
components of the calculations are highlighted and their effect on the final outcome is
discussed. The threshold is the value under which (for the "After-tax IRR - equity," "Af-
ter-tax IRR - assets" and "Net Present Value (NPV)") or over which (for "Equity pay-
back") the project designer considers that the proposed project is not financially viable.
Results which indicate an unviable project, as defined by the threshold, will appear as or-
ange cells in the sensitivity analysis results tables. Show what happens to After-tax IRR -
asset when Initial costs and fuel cost-base case are varied by the indicated percentages.

4.5.1. Nedjo Laga Tabota Example

Figure 4: 12 sensitive analysis on Nedjo lega Tabota scheme

Source : RET Screen soft ware

69
 4.5.2. Sensitive analysis of walitate Gida

Source : RET Screen soft ware

Figure 4: 13 sensitive analysis of walitate Gida

70
 4.6. Reliability of Solar PV Water Pumping System
The respondents in the west Wallaga zone in four kebele reported very positive results on
the water facilities used within the zone of the existing Solara water pump system and its
performance, and they used home connections at minimal cost. However, this system was
not distributed in the zone. In the study area where PV solar water pump systems existed,
community users said installing a solar pump made their lives easier because the electric-
ity supply was daily, there was a constant flow of water, and they didn't have to use un-
clean water. But those who use diesel fuel stay without water for a few days while they
wait for fuel to be purchased or wait for a mechanic to fix the diesel system. This result is
consistent with my interview community, where solar water pumps existed. When the re-
liability of solar pumping systems is evaluated in the field and it is confirmed that they
have high survivability even with little or no maintenance, they will likely run unattended
for months or years. The responses of all respondents indicated that people pay very little
tariff for the water they get from their solar pump system.

Respondents believed that the tariff earned from the sale of water is used for facility re-
pair and maintenance, community development, and other tariff collections are carried
out to plan for longer-term maintenance issues and extend constant water supply to main-
tain system reliability.100% of respondents said they pay US$/m 30.001, while the tariff
for diesel water pump systems is US$/m 30.04 for the same amount of water facility price,
showing that the rural water committees and the district facilities' experts carry out the
maintenance and repair of the water facilities in the communities

However, if the result of the PV solar water pump system is to be managed efficiently and
sustainably, it is important to encourage the participation of the beneficiaries in the sense
that the key stakeholders should be actively involved in the water management scheme
using the existing solar pump system at 9.2 N and 35.8 E and 1846 m in West Wallaga
Zone, Nedjo District, Wali Tate Gida.

As part of the assessment of the reliability of an adequate and constant supply of water,
an interview was conducted. The results generate the following key points: From the in-
terview, the study revealed that the respondent should facilitate the provision of clean
drinking water, maintain a constant water supply, and generate income from the sale of
water for repairs of the facility in the event of a breakdown. It has shown that, in terms of
financial sustainability, as stated in the interviews, it is generally accepted that the

71
charges for using the facilities are set by a payment based on the volume of water with-
drawn, which has been identified as the best method of generating revenue for maintain-
ing the systems.

The whole point of using a reasonable tariff structure is to create a sense of ownership in
the community and ensure a continuous supply of water every time. According to inter-
views in the sample Kebeles, they experienced multiple types of water scheme types,
such as hand-dug wells, spring development, and deep-well motorized schemes. They
mentioned water inaccessibility and disruption as major challenges, mainly due to their
district's geographical location and other issues. During the dry season, the district re-
ceives high levels of solar radiation due to the geography of the area as well as high water
demand at this time, which is why solar pumps are favored by the local community.

The result was supported by interview, the study revealed that the respondent should fa-
cilitate the provision of clean drinking water, maintain a constant water supply, and gen-
erate income from the sale of water for repairs of the facility in the event of a breakdown.
It has been shown that, in terms of financial sustainability, as stated in the interviews, it is
generally accepted that the charges for using the facilities are set by payment based on the
volume of water withdrawn, which has been identified as the best method of generating
revenue for maintaining the systems. They mentioned water inaccessibility and disruption
as a major challenge, mainly due to their district's geographical location and other issues.
During the dry season, the district receives high levels of solar radiation due to the geog-
raphy of the area as well as high water demand at this time, which is why solar pumps are
favored by the local community.

When the respondents were asked what they thought the strength of the PV system was,
the answer was: "They state that the solar PV system is durable because from the day the
system was installed and they started using it, no problems occurred as such, unless it's
small maintenance like adjusting to get another miner." They also do not charge for pur-
chased diesel fuel like diesel generators in their water supply as sunshine is available and
free, so water supply is regular, the distances have stopped, and the women who normally
fetch and walk around in search of water are also relieved.

They now went to school regularly and on time, stating that the service they receive from
the continuous flow of water from the solar water pumping system increases user satisfac-
tion and changes their perception of the system's reliability. They use more water at a rel-
atively lower cost stating that the service they receive from the continuous flow of water

72
from the solar water pumping system increases user satisfaction and changes their percep-
tion of the system's reliability. They use more water at a relatively lower cost. Some local
people also come to buy water from them. Finally, the respondent was asked if he had any
further comments, and he replied that solar PV for pumping water would be good for him.
We never use diesel; the collected income was never enough to cover our entire monthly
needs: fuel purchase, salaries, diesel system maintenance, and the cost of transporting fuel
out of town. Since installing the solar pump, we have been able to save money and sup-
port community development (construction of the road and additional classrooms for stu-
dents).

They have also recommended the SPV pump to other communities that do not have ac-
cess to clean water and asked them for help if they have it or for advice on how to help
these communities, as the government and NGOs rely on solutions to this problem. In
general, solar water pumps contribute to social development in various ways; the use of
solar water pumps therefore offers a reliable, safe, and adequate water supply that im-
proves community health and living conditions, so the SPV pumping system has been re-
garded as a reliable energy source for rural water supply in the Najo district of WestWal -
laga Zone in Four Kebele.

According to data collected from field observations and the WVI organization, the first
existing PV solar water pump system is the Laga Tabota Water Supply Scheme.Yield dis-
charge: 10 l/s, hydraulic head: 250 m, solar panel: 120 x 250 w, pump capacity: 18.5 kw

According to this data, water delivered to the population was 5.5l/s. Those solar pumps
can operate for 8 hours per day, from 7:00 a.m. to 5:00 p.m., during our zone's sun shin-
ing season.

The pumps in question can then be pumped at 5.5 l/s x 360 x 8 x 5.5 = 158,400 l/s.

Pump heads with a head of more than 250 m can be pumped.

Note: It can fill the gap between previous study results.

4.7. Greenhouse Gas Emission Reduction Potential of Solar PV

CO2 Reduction: The average annual carbon emission reduction per MWh of electricity
produced can be calculated as follows: Carbon Dioxide Reduction by Solar Photovoltaic
Power Plants Installed All Over the World has been compiled by Denis Lenordic. The
website contains data on the reduction of carbon dioxide emissions by the top 200 solar
photovoltaic power plants.The data available includes power produced per year in MWh

73
 and annual carbon emission reduction. The average annual carbon emission reduction per
MWh of electricity produced and annual emission reduction for which data is available is
0.932 tons of carbon dioxide emission reduction per MWh of electricity produced
(Naskar, R., and R. Mandal., 2016).Similarly, substituting a diesel generator with a PV
system could avoid 0.85–1 kg CO2/kWh being emitted (Krauter, S., and R. Rüther,
2004). The current DPS scheme in the west Woleaga zone was depleted.

Where Eh is the hydraulic power requirement (KWh/day), w is the water density, and
1000 k/m3 =

acceleration due to gravity = 9.81 m/s2

V= daily required volume of water in m3/day

TDH = Total dynamic head

3.6×106=conversion factor

Discharge in liters/sec (consider normal pump operating time which is 8 hours/day)

Then, the required power for the motor is calculated from the hydraulic power require-
ment and the motor efficiency as follows. Averagely in our zone 20.44KWh/Day

Motor power

20.44/0.65 =31.44KW Fuel consumed per hour 9 Lit

Fuel Consumed in One Day Discharge in liters/sec (consider normal pump operating time
which is 8 hours/day)

FC/day = 9X8= 72Littir

FC/Year =72lx365 =26,280Littr

Fuel Consumed Per Year in West Wallaga Zone only using Diesel Fuel in Remote Vil-
lage For Rural Water Supply pump system was 26,280litx121scheme = 3,179,880lit .
Replacing solar water pumps with diesel generated pump have convinced climate related
benefits. Over 3,179,880 liters of diesel fuel have been saved throughout life cycle opera-
tion of the system. That Fuel Produce CO2by diesel engine to pump water the content of
CO2 in one liter of diesel is equivalent to 2.67k( 0.00267ton) (Global petrolprice.com )so
that in our zone CO2 can be produced in one year 0.00267x3,179,880= 8490.3Ton The
existing DPS consumed 3,179,880 liter/year which is equivalent to 8,490.3 tons of CO 2
per year released to environment.

74
 CHAPTER FIVE
5. SUMMERY CONCLUSION & RECOMMENDATIONS
5.1. Summary

Diesel generator energy is very expensive via LCC, but solar energy is very cheap.
(742,864 USD on average > 146,808 USD). As a result, PV Solara Energy is safe.
Through economic planning

? Because the project Present Worth (PW) of DS is very high and the PV PW is
low, choose PV.(average: 7,254,522 > 189,033)
? Although the annual value of the DS investment is high, the PV AW is low.(aver-
age: 797,997 > 20,794)
? The unit water cost of diesel energy is very high because the project's maintenance
and fuel consumption are very high, so if the UWC of the schemes is low, the ser-
vice cannot be provided.(median: 32 > 0.8 USD/M3)
? The schemes that are powered by diesel generators do not pay off in the long run
because the LCC of the projects is very high.( aver: DG No payback, 13 years)
? DG Energy used a lot of fuel, but the incoming cost from water sold is the same as
with PV Energy, which has a low operation and maintenance cost, so there is a
gate profit from PV Energy projects.(average PV solar gate profit)
? The result of the RETScreen Software on the PV solar water pump system shows
us BCR, ALCS, and AS& Income. Only PV can save money.
? The environmental impact of PV and DG water pump systems was evaluated: PV
water pump system reduced GHG emissions (average: 255 USD per ton), but DG
water pump system polluted the environment.
? If the diesel water pump system was replaced by a PV water pump system, the
zone would save 3,179,880 liters per year, and the fuel produced CO2 would be
reduced by 8490.3 tons per year.

75
CONCLUSION
? The study focuses on the analysis of the economic and technical viability of the
photovoltaic water pumping system over the diesel pumping system and its emis-
sion reduction potential in rural areas of the West Wallaga Zone of Oromia. The
reliability of solar water pumping systems for domestic water supply in rural
Based on the results obtained from this study, the following conclusions are
drawn:
? The major disadvantage of the DG over the PV system is the higher O&M cost
and environmental impact.
? The initial cost of the PV system is considered the only disadvantage over the
diesel system; however, particularly in remote areas, the higher initial cost of the
PV system could still be justified by the savings in the lower O&M cost as well as
the increased reliability throughout the useful life of the PV system.
? The life cycle cost method was used for the economic evaluation of the solar wa-
ter pumping system compared with the diesel pumping system and shows that
there are very distinct differences between the two power sources in terms of cost.
? The average initial cost of four sample sites (134,312.75 US$) of a solar water
pumping system was found to be higher than that of a diesel water pumping sys-
tem (56,157 US$), but its recurrent cost proved to decline over time.
? The operation, replacement, repair, and maintenance costs are higher for the diesel
pumping system in contrast to the solar pumping system, and it was considered
that the result from sensitivity analysis shows that the key parameters such as dis-
count rates and fuel price inflation rate have a significant impact on the LCC of
the diesel pumping system than the solar pumping system. This is as a result of the
fact that most of the costs of a diesel pumping system are future costs.

Therefore, PV water pumping systems were found to be an economically viable and at-
tractive technology that was chosen over diesel water pumping systems in all sampled ke-
beles of the West Wallaga Zone. Further, the potential contribution of solar water pumps
towards emission reduction was determined.

As a result, 3,179,880 liters of diesel fuel were saved in the West Wallaga Zone, for a to -
tal of 8,490.Throughout the system's life cycle operation, 3 tons of CO2 emissions were
avoided.CO2 emissions can be greatly reduced through the use of a solar water pumping
system, which is already cost-effective with fossil fuels in many situations.Thus, PV wa-

76
ter pumping systems are an environmentally friendly alternative source of energy. Gener-
ally, solar water pumping systems are strictly reliable for domestic water supply applica-
tions, economically viable compared to diesel water pumping systems, and consequently
beneficial for the environment in the rural areas of the West Wallaga Zone.

The life cycle cost analysis done that covered both systems proves that the PV water
pumping system is the more economical choice over the Diesel water pumping system
because of several reasons, such as no fuel needed to run the PV system and low mainte -
nance and operation costs compared with the Diesel pumping system. Most of the previ-
ous studies are focused on small water discharge and head applications, but from this
study, it can be concluded that PV power for water pumping is cost-competitive with tra-
ditional diesel energy sources for average water discharge and head of remote applica-
tions if the total system design and time of utilization are carefully considered and orga-
nized to use the solar energy as efficiently as possible.

In the future, if the prices of fossil fuels rise more and the economic advantages of mass
production reduce the peak watt cost of the photovoltaic cell, the PV pump will be more
competitive with conventional supply. According to the results of the cumulative LCC
analysis, the years to break even between PV and DG systems are less than five years.
The research found that the unit water cost of a PV system is less than the unit water cost
of a diesel system. According to the sensitivity analysis, a variation of 10% in the techni-
cal and financial parameters does not significantly affect the financial indicators. When
the varia

Although the range of technical and financial parameters is extended to 20%, the values
of financial indicators are lower than the threshold.The financial risk analysis done using
RETScreen software indicates the impact of the input parameters (initial cost and fuel
cost base case) is higher than the variability of financial indicators (IRR, PBP, and NPV).

This implies that the two parameters have to be carefully analyzed to minimize the degree
of risk in the project. Unless there is significant subsidization and encouragement from
the government, PV systems' cost is still considered too high to be used widely, especially
in remote areas; therefore, one has to properly size and optimize the system's operation.
Nowadays, the environmental issue is one of the main concerns of the world's nations. At
the stage of power generation, the photovoltaic system generally produces no air pollu-
tion, hazardous waste, or noise. Thus, photovoltaic systems appear to be promising given

77
their environmentally clean nature and the advantage of direct conversion to electrical en-
ergy.

5.2. Recommendations
The following recommendations are drawn based on the findings of the current research:

The research has examined the economic and technical viability of photovoltaic solar wa-
ter pumping systems and their emission reduction potential in rural areas. Assessment of
PV generators to replace diesel generators in West Wallaga Zone indicates that the area
has a huge potential for solar energy for water pumping. There are, however, some chal-
lenges, like the low purchasing power of the community and the lower energy conversion
of PV cells, towards the development and adaptation of PV water pumping technologies.

However, because of the high initial cost of the system and the fact that people in such ru-
ral locations are usually low-income earners, they should not be expected to pay for their
off-grid electricity supply systems. It is thus recommended that the provision of capital
subsidies is imperative, and hence enough grant funds must be mobilized by the govern-
ment, NGOs, and development partners to create the PV infrastructure while the benefi-
ciary communities must also be willing to pay realistic water tariffs to enable operational
cost recovery in order to prolong the reliability of the system. The government, non-
governmental organizations, and the public should make concerted efforts to overcome
these challenges by using more flexible approaches to improve the current state of the PV
water pumping system in Ethiopia.

It is also recommended that solar pumping systems be implemented in all off-grid areas if
possible. It would be better for the spare parts supply, as solar pumping equipment cannot
be purchased everywhere in the country yet. Maintenance and repair of the pumps would
then also have lower costs as there would be less need to travel between the schemes.

to recommend that the National Meteorological Agency of Ethiopia (NMAE) make avail-
able the solar data in the form required for researchers in the country and install direct so-
lar energy measuring instruments at least in some areas of the country that are supposed
to have higher potential for solar energy. Finally, I recommend that, to know the exact so-
lar resource potential of Ethiopia to replace the conventional diesel energy and to solve
the problems of utilizing PV for water pumping in the country, more studies be conducted
in the future.

78
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APPENDEX A
Appendix A: 1 Results of cost saving of Walitate Gida Scheme PV

83
Appendix A: 2 Results of financial viability of Walitate Gida PV

Appendix A: 3 Results of Cost saving and financial viability for Kote genasi PV

84
Appendix A: 4 Results of cost saving for Najo Laga Tabota PV

85
Appendix A: 5 Results of financial viability for Najo Laga Tabota PV

86
Appendix A: 6 Results of cost saving for Eba wakayo PV

Appendix A: 7 Results of financial viability for Eba Wakayo PV

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Appendix B: 1 Data collected from sample schemes
Water Pump Head Water Po Solar pump

Source Dis- from reser- pupa- Panel

Site Name

charge the voir tion

served

Walitate Gida Spring 2l/s 100 50m3 363 54 DC

Najo Laga Tab- Bore Hole 5l/s 250 50m3 2000 120 DC
ota

Kote Genasi Shallow 2l/s 115m 50m3 2120 40 DC

Well

Eba Wakayo Shallow 1.9l/s 100m 25m3 1171 40 DC

Well

Appendix C: 1 source of potable drink water in west Wallaga zone scheme data collected

Spring Deep River or

Shallow Gravity with Spring with PV Solar water
On spot well Surface
well distribution distribution pump system
% % source

94 0 2.74 0.0 0. 0.0 0.05

.90 % .92 % % 6% 53 % 3% %

Appendix D: 1 Najo Laga Tabota SPV water pump system photo

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Appendix D: 2 Walitate Gida SPV water photo

Diesel water pump system when open photo Source: In west Wallaga zone by
Appendix D: 3
site observation

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Appendix E: 1 Water Coverage in west Wallaga data from office

WEST WOLLEA ZONE POTABLE WATER COVARAE

FUNCTION AND NON FUNCTION Waliiala
PV

%NFR
Sprin With

%FR
NFR

Total
Sprin on Deep Shallow ravity (River Solar

FR
Disterbutio
No Woreda Spot well well Sprin treatment) pump
n
syste
NF
FR NFR FR NFR FR NFR FR NFR FR NFR FR FR NFR
R
1 Ayira 330 20 - 2- - - - 4- - - 334 22 356 94 6
2 Babo ambel 229 40 2 1 7 24 - - - 2- - 238 67 305 78 22
3 Bei 355 11 1 1 1- - - - - - - 357 12 369 97 3
4 Bodji Chokorsa 322 17 3 - 1- - - - - - - 326 17 343 95 5
5 Bodji Dirmaji 385 63 3 - - - 25 3 3- - - 416 66 482 86 14
6 enji 284 4 2 - 1- - - - 4- - 287 8 295 97 3
7 imbi 432 39 2 1 2 2- - 2 1- - 438 43 481 91 9
8 uliso 421 78 3 1 2 1- - - - - - 426 80 506 84 16
9 Haru 466 3 3 2 1 4 30 1 1 1- - 501 11 512 98 2
10 Homa 187 13 3 2 - - 1- 1 1- - 192 16 208 92 8
11 Jarso 247 15 2 - 68 20 - - - - - - 317 35 352 90 10
12 Lalo Assabi 510 6 4 2 3 2 2- 1 - - - 520 10 530 98 2
13 Mena Sibu 403 24 3 1 - - - 1 2 2- - 408 28 436 94 6
14 Nadjo 429 11 1 - 27 - 3- 2 1- - 3 465 12 477 97 3
15 Leta Sibu 217 9 3 - - - - - 2 - - - 222 9 231 96 4
16 Nole Kaba 486 1 3 - 10 - - - 2 - - - 501 1 502 100 0
17 Kiltu Karra 268 45 3 - - - - - 2 - - - 273 45 318 86 14
18 Kondala 270 18 1 1 34 3- - - - - - 305 22 327 93 7
19 Seyo Nole 468 73 3 1 - 2- - 1 - - - 472 76 548 86 14
20 Yubdo 298 35 - 2 1 2- - 1 4- - 300 43 343 87 13
21 Mendi Town 4 - 3 2 - - - - - - - - 7 2 9 78 22
22 Nedjo Town 3 - 4 2 - - - - - - - - 1 8 2 10 80 20
23 imbi Town - - - - - - - - 2 - 2- 4- 4 100 -
Sum 7,014 525 52 21 158 60 61 5 26 16 2 - 4 - 7,317 627 7,944 91 9

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Appendix E: 2 Population in west Wallaga drink potable water

Urban Rural Urban

Total Total
population population Urban and wat
Urban Rural
supplied supplied and Rural Rural Total er
population population
with with populati populat populatio sup
of the of the
No Woreda potable potable on ain ion No n in west ply RF NRF
Woreda Woreda
water at water at potable ain wollea sch
at the end at the end
the end of the end of water potable zon ee
of 2012 of 2012
2012 2012 supply water m
budet budet
budet budet supply
year year
year year

1 Ayira 19,633 11,199 59,592 38,362 49,561 29,664 79,225 6 4 2

2 Babo ambel 12,539 5,016 75,600 45,360 50,376 37,763 88,139 5 2 3
3 Bei 14,216 9,240 140,899 102,857 112,097 43,018 155,115 2 1 1
4 38,146
Bodji Chokorsa 24,102 88,433 75,351 99,453 27,126 126,579 3 3 0
5 30,591
Bodji Dirmaji 12,760 38,872 28,141 40,901 28,562 69,463 6 6 0
6 enji 22,808 18,892 59,458 42,527 61,419 20,847 82,266 6 2 4
7 imbi 4,468 1,585 98,079 69,375 70,960 31,587 102,547 6 4 2
8 uliso 21,942 6,629 84,635 63,970 70,599 35,978 106,577 4 3 1
9 Haru 20,020 10,690 104,195 92,994 103,684 20,531 124,215 7 4 3
10 Homa 15,794 12,511 36,767 29,925 42,436 10,125 52,561 7 4 3
11 Jarso 13,444 8,744 68,024 40,815 49,559 31,909 81,468 2 2 0
12 Lalo Assabi16,002 10,081 91,706 66,592 76,673 31,035 107,708 7 5 2
13 Mene Sibu 8,719 6,355 152,972 102,694 109,049 52,642 161,691 8 5 3
14 Najo 47,391 25,124 111,344 59,346 84,470 74,265 158,735 4 6 1
15 Leta Sibu 9,041 6,871 47,137 32,965 39,836 16,342 56,178 5 5 0
16 Nole Kaba 8,716 6,009 81,202 63,148 69,157 20,761 89,918 5 5 0
17 Kiltu Karra9,559 6,120 62,102 41,620 47,740 23,921 71,661 5 5 0
18 Kondala 12,700 3,500 143,709 99,275 102,775 53,634 156,409 2 1 1
19 Seyo Nole 13,401 9,676 88,497 74,145 83,821 18,077 101,898 5 4 1
20 Yubdo 15,210 11,156 54,060 52,699 63,855 5,415 69,270 7 1 6
21 Mendi Town 46,824 30,062 30,062 16,762 46,824 5 3 2
22 Nedjo Town 63,953 37,810 0 0 37,810 26,143 63,953 6 5 2
23 imbi Town 121,233 62,630 0 0 62,630 58,603 121,233 4 4 0
sum 586,350 336,762 1,687,283 1,222,161 1,558,923 714,710 2,273,633 117 84 37
Total population of west wolea Zone 2,273,633
Total population poptable water supply ain
1,558,923
No ain potable water supply 714,710
Total Schem in west wollea Zone 117
Function scheme 84
Non Function scheme

91
Appendix E: 3 Fuel consumption form web site

92
Appendix E: 4 Solar radiation of data take from website

93
Appendix F:1 Water supply scheme Tariff

94
95