abstract: Power generation in remote isolated places is a tough problem. Presently, a common source for remote generation is diesel. However, diesel generation is costly and environmental unfriendly. It is promising to replace the diesel generation with some clean and economical generation sources. The concept of renewable generation offers a solution to remote generation. This thesis focuses on evaluation of renewable generation penetration in the remote isolated grid. A small town named Coober Pedy in South Australia is set as an example. The first task is to build the stochastic models of solar irradiation and wind speed based on the local historical data. With the stochastic models, generation fluctuations and generation planning are further discussed. Fluctuation analysis gives an evaluation of storage unit size and costs. Generation planning aims at finding the relationships between penetration level and costs under constraint of energy sufficiency. The results of this study provide the best penetration level that makes the minimum energy costs. In the case of Coober Pedy, cases of wind and photovoltaic penetrations are studied. The additional renewable sources and suspended diesel generation change the electricity costs. Results show that in remote isolated grid, compared to diesel generation, renewable generation can lower the energy costs. / Dissertation/Thesis / M.S. Electrical Engineering 2012