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This research examines the viability of rooftop photovoltaic systems for electricity self-consumption in Spain's residential sector, analyzing municipality-level data on electricity demand, rooftop availability, solar irradiance, and various electricity market and surplus policy scenarios. Differences are found between rural and urban contexts, with rural areas exhibiting greater potential for photovoltaic systems deployment due to more available rooftop space. The study highlights the crucial role of surplus electricity management, showing that an efficient use can significantly boost self-consumption potential, particularly in rural areas where surplus constitutes about two-thirds of the photovoltaic production. Economic analyses under different electricity market conditions and surplus compensation policies show that these factors critically affect the attractiveness and viability of these systems. Current high electricity prices in Spain have reduced their payback period, but the prevalent surplus compensation policy, a 1-month net billing feed-in tariff, reduces their cost-effectiveness by up to 60 % compared to a hypothetical 12-month net billing approach. The findings underscore the need for policy adjustments to maximize rooftop occupancy and ensure fair compensation of surpluses, highlighting the importance of tailored strategies for effective sustainable photovoltaic systems deployment in residential contexts. [ABSTRACT FROM AUTHOR]

In response to the European Commission's renewable energy targets for 2030, this study presents a comprehensive, data-driven evaluation of the potential for electricity self-consumption in the Spanish residential sector based on rooftop PV systems. Utilizing real-time hourly electricity demand data and various surplus compensation policies, the research highlights the significance of data granularity, indicating that annual data-based PV estimations can lead to rooftop PV self-consumption capacity overestimations when compared to hourly data assessments. Furthermore, geographical variations reveal distinct rooftop PV self-consumption capacities between urban and rural areas, driven mainly by the prevalent building typologies. This discrepancy suggests that while rural regions, with their predominance of single-family dwellings, offer higher PV generation potential due to more available rooftop space, urban areas, dominated by multi-story buildings, face significant constraints in rooftop surface availability. Economically, the current surplus compensation policy in Spain reduces the profitability of PV installations, underscoring the necessity for enhanced policies to fully utilize all the available rooftop areas in the residential sector. The study's findings, particularly the revelation that residential rooftops in Spain may not be enough to meet the current electricity demand, emphasize the need for adaptive, region-specific policies and the potential role of energy communities. Policymakers and industry stakeholders are urged to prioritize rooftop utilization, ensuring the deployment of PV systems is both promoted and economically viable, steering Spain closer to its renewable energy and sustainability aspirations. • Methodology for techno-economic analysis of residential rooftops' PV systems. • Hourly data is crucial for accurate PV potential forecasting. • Building typologies significantly influence PV generation potential. • Residential rural areas reach ∼50 % rooftop PV self-sufficiency; urban areas only 35 %. • Current feed-in tariff limits economic viability and deployment of residential PV. [ABSTRACT FROM AUTHOR]