Optimising solar energy communities in arctic micro-communities: addressing building azimuth challenges in Finnish Lapland

• Solar PV can cover up to 47 % of non-heating electricity needs, but only 10–14 % of total use. • Suboptimal roof orientations cause 10–13 % energy losses in solar generation. • Focusing PV on optimally oriented roofs shortens payback periods by 2–3 years. • Community-based and optimised installations are more efficient than widespread individual deployment. • Municipalities acting as “Champions” can boost energy community adoption and project viability. The Energy Performance of Buildings Directive mandates solar photovoltaic installations on new buildings and requires buildings undergoing major renovation to meet their energy needs through significant renewable energy generation. Arctic micro-communities often face dispersed settlements, suboptimal building azimuths, and high heating demands. This paper examines the convergence of the mandate and challenges to determine whether cross-property energy community frameworks can overcome building azimuth constraints in Arctic regions, using three villages in Finnish Lapland: Sinettä, Vanttauskoski, and Vikajärvi. Using 3D building models created with SketchUp and Skelion, the solar energy generation potential was simulated using the NREL PVWatts and JRC PVGIS calculators. Economic viability was assessed through investment cost calculations, annual revenue projections, and payback period analysis. Two scenarios were compared: a traditional approach of installing solar on all roofs, versus a cross-property, energy-community-optimised approach focusing on installations on optimally oriented roofs with energy sharing. Results show that while Scenario (1) could generate nearly 1890 MWh annually, it incurs 8–12 % energy losses due to suboptimal azimuths, extending payback periods by 2–3 years; Scenario (2) achieves higher efficiency and improves economic viability with a lower payback period, despite lower total generation. The solar coverage of non-heating electricity ranges from 42 % to 60 %, but drops to 12–18 % when heating is included, emphasising the need for complementary heating solutions. This research concludes that cross-property energy community frameworks combining solar PV deployment with complementary heating solutions, supported by municipal “Champion” entities and solar-aware zoning for future developments, can effectively optimise Arctic solar deployment.