Design and Optimization of a Hybrid Energy System Integrating Solar PV and Geothermal Heat Pump: A Case Study in L’Anse-au-Loup, Labrador

The building sector accounts for nearly 30% of global energy use and 28% of CO2 emissions, with residential buildings in Canada contributing about 17% of national energy demand. In cold regions such as Labrador, approximately 82% of this consumption is associated with space heating and domestic hot water, making heating the dominant residential load, while fossil-fuel furnaces and electric baseboard heaters remain common. These conditions highlight the need for efficient and sustainable heating alternatives for cold-climate residential buildings. This study examines the design and performance of a hybrid solar photovoltaic (PV) and geothermal heat pump (GTHP) system for a typical detached home in L’Anse-au-Loup, Labrador, Newfoundland and Labrador, Canada (51.52° N, 56.84° W), with the goal of improving energy efficiency and reducing dependence on the electrical grid. Heating and cooling loads were developed using the Hourly Analysis Program (HAP 6.1), while system operation and economic performance were assessed through the Hybrid Optimization Model for Electric Renewables (HOMER Pro 3.18.3). The proposed design combines a rooftop PV array, a ground-source heat pump, and second-life lithium-ion batteries repurposed from retired electric vehicles to lower costs and support short-term energy storage. The system is modelled under grid-connected conditions to reflect realistic operation for northern households. Results show that the hybrid system can meet annual electrical and thermal needs while reducing grid consumption by more than half. Annual carbon emissions decrease by roughly 4–5 tonnes, and repurposed batteries offer a cost-effective alternative to new storage. Overall, the study demonstrates that PV–GTHP systems can provide reliable, efficient, and practical energy solutions for cold-climate homes.