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additionally very welcomed in areas were grid-connections<br />

are discouraged due to nature-preservation policies or due to<br />

some specific environmental or some other reasons.<br />

Economic aspects: According to the local utility<br />

representatives, in the remote mountainous areas an average<br />

electricity distribution is 1.2 consumers per square<br />

kilometer, and there are hundreds of places similar to our<br />

selected case study. Hence, the conventional grid-connected<br />

energy source cannot be expected in the foreseeable future.<br />

On the other hand, the introduction of the RES in the these<br />

remote communities would result in the people returning to<br />

the region, re-starting agriculture, possibly eco-, and cattle<br />

breeding, and contribute to the increase in the overall living<br />

and economic conditions. In addition, the development of a<br />

successful sector of renewable energy sources could in the<br />

long run contribute to diversification of energy production,<br />

decreased import of energy and significant reduction of the<br />

pollution from the energy sector. Furthermore, employment<br />

and all associated issues are today one of imperatives of the<br />

Croatian economic and social policy. Using RES provides<br />

new jobs openings, investment in rural areas, and retention<br />

of the income within local communities.<br />

Social aspects: Migration to the neighboring cities or<br />

even abroad is the reality of the places like Busevic, which<br />

is especially the case with the younger population.<br />

However, the inhabitants in the visited households stated<br />

that if they would gain electricity, the other members of<br />

their family would return to live there. Hence, these cases<br />

are good examples how the introduction of electricity could<br />

help stop the depopulation. Not to underrate the fact that<br />

this RES incorporation would “spread news” to the<br />

neighboring communities and contribute to their<br />

environmental education. However, presently the level of<br />

knowledge, technological and practical, is quite low and an<br />

important part of the undertaking should concern the<br />

education as well. Only then, the wider introduction of RES<br />

and possible engagement of nearby local SME could be<br />

expected. Local administration seems to be very interested<br />

and eager to do, at local level, whatever is needed to help<br />

the realization of such projects.<br />

VI. CONCLUSIONS<br />

In this paper we have analyzed the potential for wider<br />

application of photovoltaics for electricity production in<br />

mountainous locations in Croatia. Being sparsely populated<br />

and with many houses/small communities distant from the<br />

grid lines these areas are good candidates for such<br />

application despite high prices of PV modules. The<br />

performance and costs of a small PV off-grid system is<br />

analyzed by detailed and realistic computer simulations. It<br />

has been found that, by using existing subsidies and<br />

incentives for RES offered to these areas (up to 80% off<br />

from commercial prices), the cost of a PV system for local<br />

communities should be below than 1600 € per 1 kWp,<br />

which would mean price of electricity of about 0.32 €/kWh<br />

during the warranty lifetime of PV modules (20 y).<br />

Satisfying basic needs for electricity by PV would open new<br />

opportunities for sustainable socio-economic development<br />

in isolated rural regions of Croatia.<br />

Acknowledgements: This research was supported by the<br />

EU FP6 project RISE-<strong>INCO</strong>-CT-204-509161, and Ministry<br />

of Science and Technology of Croatia. Authors would like<br />

to thank A. Pavic, R. Oreskovic and N. Pavlus for providing<br />

and M. Ferk for collecting some of the data used in this<br />

paper.<br />

VII. REFERENCES<br />

[1] Statistički Godišnjak (Statistical Information) 2005, Zagreb, Croatia,<br />

published by Central Bureau of Statistics of the Republic of Croatia,<br />

Zagreb, Ilica 3. Editor: J. Gelo, ISBN 1330 335X.<br />

[2] Strategija prostornog razvitka RH (Strategy of teritorial development<br />

of Republic of Croatia), Ministry of environmental protection,<br />

phisical planning, and consruction, Republic of Croatia , Department<br />

for territorial planning, Zagreb, Republike Austrije 20, Croatia<br />

(http://www.mzopu.hr/default.aspx?id=3662)<br />

[3] J. Schmid, "Minigrids for rural development and economic growth,"<br />

Renewable Energy World, pp. 192-197, July-August. 2003.<br />

[4] Global Meteorological Database for Solar Energy and Applied<br />

Meteorology, www.meteonorm.ch<br />

[5] PVSYST, software package for the study, sizing, simulation and data<br />

analysis of complete PV systems, University Geneva,<br />

www.pvsyst.com<br />

[6] RETScreen International Clean Energy Project Analysis Software,<br />

http://www.retscreen.net<br />

[7] Zakon o područjima posebne državne skrbi (Law about regions of<br />

special govermental care ), Narodne novine (Official gazette) No.<br />

26/03 ,<br />

[8] Hrvatska Banka za Obnovu i Razvitak (Croatian Bank for Rebuilding<br />

and Development (HBOR), http://www.hbor.hr/; specifically<br />

http://www.hbor.hr/kre_programi_080.asp<br />

Uros V. Desnica was born in Islam Grcki, Croatia, on July 25, 1944. He<br />

graduated from the University of Zagreb. From 1968 with R.Boskovic<br />

Institute, the largest scientific Institute in Croatia,. From y. 1993 in the<br />

highest scientific position, scientific adviser. Leader of numerous domestic<br />

and international projects, Ph.D. theses, etc. Presently also leader of WP4<br />

in RISE Project. List of his publications contains altogether more than 190<br />

items (from which about half are papers cited in Current Content Database).<br />

About 70 of entries are directly connected with the utilization of solar<br />

energy . FP6 expert evaluator. Co-founder (1979) and editor (1982-85) of<br />

the Journal "Sunceva energija" (Solar energy). Co-founder (2004) and a<br />

member of Governing board of NGO Center for renewable energy Sources<br />

– CERES.<br />

Dunja Desnica-Frankovic was born in Nova Gradiska, Croatia, on<br />

December 03, 1942. She graduated from the University of Zagreb, from<br />

which she also took her PhD degree. She has worked at the Faculty of<br />

Veterinary Medicine, Zagreb, University of Lowell, MA, USA, University<br />

of Konstanz, Germany. She is currently with R. Boskovic Institute as a<br />

senior scientist. Her main scientific interest concerns materials science,<br />

semiconductors physics, and nanosized materials. She has published a<br />

number of scientific papers, among them 60 CC papers.<br />

Mario Rakic was born in Zagreb, Croatia, on September 29, 1981. He is a<br />

student at the Faculty of natural Sciences and Mathematics at Zagreb<br />

University. He is involved in semi-conductors physics, along with the<br />

research in techniques. He has submitted 4 patents. At the moment he is a<br />

participant in RISE project at R. Boskovic Institute.<br />

6

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