This paper presents a methodology for optimal design of diesel/PV/wind/battery hybrid renewable energy system (HRES) for the electrification of residential buildings in rural areas. Contrary to previous work, in this study, the effects of climate diversity and building energy efficiency on the size optimization of HRES are investigated. First, a multi-criteria spatial analysis trough a common geographical information system tool (ArcGIS 10.2) is undertaken to develop the renewable energy potential map for Algeria. Then, particle swarm optimization algorithm and ε-constraint method were used to solve the multi-objective problem, which was formulated to minimize the cost of energy (COE) as the primary objective, while maximizing system reliability and a renewable fraction (RF). According to the resulting renewable potential map, seven zones are identified, and then seven locations have been selected (one from each zone) to execute the optimization of the proposed HRES. By considering low efficient buildings, photovoltaic/wind/diesel/battery is found the best configuration for Adrar and Tindouf, while photovoltaic/diesel/battery is obtained the best for the other locations. However, in the case of high-performance buildings, another optimal HRES configurations are obtained. The better one is acquired in Biskra and Tamenrast, which includes PV-Battery (100% renewable energy) and fulfilling COE of 0.21 $/kWh. Display omitted •Hybrid Renewable Energy Systems.•Techno-Economic and Feasibility Study.•Building Energy Efficiency.•Multi-Objective Particle Swarm Optimization.•Geographical information system.