Photovoltaic greenhouses in the European south: balancing energy generation and agricultural productivity - an economic analysis

This study evaluates the techno-economic feasibility of photovoltaic greenhouses in representative Mediterranean regions in Spain and Italy. A techno-economic model was developed to analyze the interaction between photovoltaic technology choice including present-day crystalline silicon PV (c-Si), current-state Organic Photovoltaics (OPV) modules with 63 W m −2 , and a projected future OPV scenario with 145 W m −2 , greenhouse electricity demand profiles, PV coverage levels, battery storage integration, remuneration schemes and crop yield responses to shading. Without taking crop yields into account, results show that greenhouse electricity demand and the resulting self-consumption potential are the dominant drivers of economic performance. Under high-demand conditions several configurations become profitable, reaching net present values (NPVs) of up to 51,640€ in Bari and 22,176€ in Almería. Under the optimistic OPV145 scenario, which combines a projected module output of 145 W m −2 with future upscaling-related cost reductions, NPVs reach values comparable to the present-day c-Si PV reference in selected high-demand configurations. Profitability declines under less favorable performance assumptions, with initial performance losses exerting a stronger economic effect than higher annual degradation rates. The current-state OPV63 scenario, based on commercially oriented module cost assumptions and 63 W m −2 output, remains economically constrained across most configurations, although NPVs at low PV coverage indicate that moderate improvements in efficiency or costs could enable feasibility. When crop yield impacts are incorporated, profitability becomes strongly crop-dependent. High-value crops such as strawberries are better able to offset PV investment costs, as the shading effect can enhance crop yields. Lower-value crops remain economically challenging. Sensitivity analysis indicates that, if the PV system alone does not achieve break-even, additional crop revenues of up to 4700€ year −1 in Bari and 6400€ year −1 in Almería are required to reach economic break-even. Conversely, economically viable configurations can withstand revenue losses of up to 3600€ year −1 and 1600€ year −1 , respectively. Overall, the results demonstrate that photovoltaic greenhouse systems can become economically viable under favorable demand conditions, suitable crop selection and future OPV cost and performance improvements.