Sustainable household energy supply: methodological approaches to making optimal economic decisions

Keywords: energy strategy, household, renewable energy sources, autonomous power supply, sustainable development, optimal solution, UN SDG7

Abstract

The destruction of Ukraine's power infrastructure due to military actions exacerbates the problem of sustainable household energy supply. Frequent power, gas, and water outages lead to network overloads, rising tariffs, and decreased energy security. The vulnerability of traditional centralized systems highlights the need to explore alternative power supply approaches for the residential sector, particularly through the development of prosumerism, which involves active household participation in energy generation. This paper examines possible energy strategies for seven groups of typical private households utilizing different energy sources, including renewables. Methodological approaches are proposed for selecting economically optimal energy solutions, considering natural and climatic conditions, energy resource prices, the feasibility of using green technologies and energy efficiency measures, as well as state energy policy. Specifically, the potential of solar and wind power plants, battery storage systems, and diesel generators as means of autonomous energy supply for the residential sector is analyzed. The advantages and drawbacks of these technologies are assessed in the context of possible short- and long-term disconnections from the main power grid. The study results indicate that an effective household energy strategy should be based not only on minimizing economic costs but also on increasing energy independence and resilience to crises. Optimal economic decisions must take into account all energy-related home expenditures (including costs for heating, cooking, water heating, lighting, and economic losses caused by power outages) as well as potential revenues (such as savings achieved through self-produced energy consumption and income from selling energy surpluses). Key factors influencing household decision-making include government support, the availability of investment resources, and the implementation of economic mechanisms to stimulate the use of renewable energy sources. The proposed methodological approaches contribute to strengthening the country’s overall energy security and to developing effective models of sustainable energy supply for households.

Downloads

Download data is not yet available.

Author Biographies

I. Sotnyk, Sumy State University

Dr. Sc. (Economics), Professor, Professor at the Department of Economics, Entrepreneurship and Business Administration

M. Sotnyk, Sumy State University

Dr. Sc. (Tech.), Professor, Head of the Department of Applied Hydroaeromechanics

T. Kurbatova, Sumy State University

Ph.D. (Economics), Associate Professor, Associate Professor at the International Economic Relations Department

O. Prokopenko, Sumy State Pedagogical University named after A. S. Makarenko

Dr. Sc. (Economics), Professor, Professor at the Department of Business Economics and Administration

O. Telizhenko, Sumy State University

Dr. Sc. (Economics), Professor, Senior Researcher at the Department of Economic Cybernetics

References

Wang, T., Zhao, Q., Gao, W., & He, X. (2024). Research on energy consumption in the household sector: A comprehensive review based on bibliometric analysis. Frontiers in Energy Research, 11. https://doi.org/10.3389/fenrg.2023.1209290

Tran, L. N., Cai, G., & Gao, W. (2023). Determinants and approaches of household energy consumption: A review. Energy Reports, 10, 1833-1850. https://doi.org/10.1016/j.egyr.2023.08.026

Sangeeth, S. S., Mathew, S. K., & Watson, R. T. (2023). Comfort vs money: Influencing the energy user for sustainable consumption. Edward Elgar Publishing, 207-230. https://doi.org/10.4337/9781802201864.00016

Han, B., Zahraoui, Y., Mubin, M., Mekhilef, S., Seyedmahmoudian, M., & Stojcevski, A. (2023). Home energy management systems: A review of the concept, architecture, and scheduling strategies. IEEE Access, 11, 19999–20025. https://doi.org/10.1109/access.2023.3248502

Chowdhury, M., Islam, M. S., Montaser, M. A. A., Rasel, Md., Barua, A., Chouksey, A., & Chowdhury, B. (2024). Predictive modelling of household energy consumption in the USA: The role of machine learning and socioeconomic factors. The American Journal of Engineering and Technology, 6(12), 99–118. https://doi.org/10.37547/tajet/volume06issue12-11

Zhang, X., Wang, J., Pan, H., Yuan, Z., & Feng, K. (2023). Changes in the socio-economic characteristics of households can decouple carbon emissions and consumption growth in China. Sustainable Production and Consumption, 43, 168–180. https://doi.org/10.1016/j.spc.2023.10.019

Kruekaew, A., Khemchan, P., Waengdeesorn, S., Sirisawat, A., Norasarn, A., & Khunchai, S. (2023). Residential energy management system to reduce electricity costs considering the lifespan of energy storage and electric vehicle batteries. IEEE International Conference on Information Technology and Electrical Engineering. https://doi.org/10.1109/incit60207.2023.10412899

Arens, S., Schlüters, S., Hanke, B., von Maydell, K., & Agert, C. (2020). Sustainable residential energy supply: A literature review-based morphological analysis. Energies, 13(2), 432. https://doi.org/10.3390/EN13020432

Nacht, T., Pratter, R., Ganglbauer, J., Schibline, A., Aguayo, A., Fragkos, P., & Zisarou, E. (2023). Modelling approaches for residential energy consumption: A literature review. Climate, 11(9), 184. https://doi.org/10.3390/cli11090184

Krómer, I. (2009). An energy systems engineering approach to household energy supply. Proceedings of the International Conference on Energy 2009, 19-24.

Tadesse, Y. Y., Erenoğlu, A. K., Sancar, S., & Erdinç, O. (2024). Optimizing residential energy systems in households: A model integrating energy assets with economic evaluation through LCOCE. IEEE International Conference on Green and Power Electronics (GPECOM). https://doi.org/10.1109/gpecom61896.2024.10582634

Kgopana, K., & Popoola, O. (2022). Review on the application and utilization of hybrid renewable energy systems in domestic households. 2022 30th Southern African Universities Power Engineering Conference (SAUPEC), Durban, South Africa, 1–6. https://doi.org/10.1109/SAUPEC55179.2022.9730669

Li, Q., Zhang, Y., Li, S., Zhang, J., & Liu, P. (2020). Research on home energy optimization strategy based on micro-sized combined heat and power. Springer, Singapore, 76–86. https://doi.org/10.1007/978-981-33-6378-6_6

Prokopenko, O., Kovalenko, Y., Fedyna, S., & Fedyna, S. (2024). Development and analysis of investment strategies in energy efficiency for Ukrainian household prosumers. Journal of Vasyl Stefanyk Precarpathian National University, 11(2), 62–78. https://doi.org/10.15330/jpnu.11.2.62-78

Veremiichuk, Y., Yarmoliuk, O., Prytyskach, I., Mahnitko, A., & Varfolomejeva, R. (2017). Analysis of the results of optimal energy consumption planning for residential complex energy hub. International Scientific Conference on Power and Electrical Engineering of Riga Technical University, 1–6. https://doi.org/10.1109/RTUCON.2017.8124817

Verkhovna Rada of Ukraine. (2024). The Law of Ukraine “On the Electricity Market.” No. 2019-VIII Dated 18 September 2024 (Last Edition). Retrieved from https://zakon.rada.gov.ua/laws/show/2019-19#Text (in Ukrainian)

Sotnyk, I., Kurbatova, T., & Yang, Yu. (2024). Methodological framework for choosing optimal strategies for sustainable household power in Ukraine. Sustainable Development: Modern Theories and Best Practices : Materials of the Monthly International Scientific and Practical Conference, October 31 – November 1, 2024, 18-21. Retrieved from https://essuir.sumdu.edu.ua/handle/123456789/97321

Sotnyk, I., Sotnyk, M., Kurbatova, T., Prokopenko, O., & Telizhenko, O. (2024a). Shaping cost-optimal and environmentally friendly strategies for household heating systems: Case of Ukraine. Polityka Energetyczna – Energy Policy Journal, 27(3), 161–192. https://doi.org/10.33223/epj/127921

Kurbatova, T., Sotnyk, I., Perederii, T., Prokopenko, O., Wit, B., Pysmenna, U., & Kubatko, O. (2024). On-grid hybrid wind-solar power plants in Ukraine’s residential sector: Economic justification of installation under different support schemes. Energies, 17, 5214. https://doi.org/10.3390/en17205214

Sotnyk, I., Kurbatova, T., Blumberga, A., Kubatko, O., & Prokopenko, O. (2023). Solar business prosumers in Ukraine: Should we wait for them to appear? Energy Policy, 178, 113585. https://doi.org/10.1016/j.enpol.2023.113585

Published
2025-06-30
How to Cite
Sotnyk, I., Sotnyk, M., Kurbatova, T., Prokopenko, O., & Telizhenko, O. (2025). Sustainable household energy supply: methodological approaches to making optimal economic decisions. Bulletin of V. N. Karazin Kharkiv National University Economic Series, (108), 59-69. https://doi.org/10.26565/2311-2379-2025-108-06