Libya’s economic growth and demographic shifts have increased investment in traditional power plant construction to meet energy demand. However, the continued use of fossil fuels increases operational environmental effects. To address this, a grid-connected solar PV-wind hybrid energy system has been planned, with an average community load demand of 12,000 kwh/day and a peak demand of 1700 KW. The HOMER program evaluates the capacity of renewable energy resources and conducts technological and economic evaluations. Seven cities in Libya, including Benghazi, Tripoli, Derna, Ajdabiya, Sirte, Misurata, and Tobruk, were selected for analysis. Simulation results showed the proposed system is economically and environmentally feasible. In Derna, Tobruk, and Misurata, the system has the lowest net present cost (NPC) and levelized cost of energy (LCOE), the highest total energy sold to the grid, and the lowest CO2 emissions. The proposed design is valid for similar meteorological and environmental conditions in the region and around the world.