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The economic and environmental impact of building-integrated photovoltaic (BIPV) systems as a local power supply in Mediterranean neighborhoods was investigated using urban building energy simulations, material flow analysis, life cycle assessment, and life cycle cost analysis. Our findings reveal favorable economic performance with benefit–cost ratios of up to 3.35, low discounted payback times for most scenarios and reduced greenhouse gas intensity (48 to 119 g CO 2 eq./kWh) compared to consuming fossil energy. The estimated levelized cost of electricity ranges from 3.2 to 13.9 USD cents/kWh and is lower than that of electricity generated from fossil fuels. The study highlights the importance of comprehensive economic assessments that explore the profitability and potential revenue generation from energy production and material savings, when considering adoption of BIPV. The analysis of life-cycle stages underscores the significance of system pricing and BIPV recycling efficiency in determining the overall economic performance of BIPV systems. This research extends previous studies of single-building BIPV economic assessment to neighborhood-scale integration, while also comparing multiple PV materials and includes end-of-life costs and revenues. Most importantly, the replacement of failed panels is integrated into the analysis, offering new insights into the potential of BIPV systems to support planning net-zero energy neighborhoods.
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Jandl et al. (2025) studied this question.
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