Revenue prospects of photovoltaic in Germany—Influence opportunities by variation of the plant orientation

•Simulated PV generation profiles are combined with actual electricity market data.•The (energy yield)-elasticity is a useful measure for an energy economic comparison.•The energy yield-maximizing PV orientation is currently still the economic optimum.•The merit order effect of PV generation will change future market conditions for PV.•The remuneration scheme has to consider the grid situation and the PV potential.

The fixed feed-in tariff under the Renewable Energy Sources Act in Germany particularly encourages photovoltaic systems with the highest possible annual yield, regardless of their temporal generation profile. Consequently, a large part of the installed photovoltaic systems in Germany have a southern orientation. This paper examines how the optional German market premium scheme incentivizes the installation of photovoltaic systems with a more demand-oriented electricity production. For this purpose, the measure ‘energy yield elasticity (of market value)’ was developed and calculated by using historical market data. The results show that some of the plant orientations that are deviating from the southern reference could have led to an increase in the market value in the last few years. However, these would not have been high enough to more than compensate for the financial losses that were formed as a result of the annual energy yield declines. The merit order effect could change this situation in the future.