A simple operation strategy of battery storage systems under dynamic electricity pricing: An Italian case study for a medium-scale public facility

Abstract

In the electricity market, wholesale energy prices depend on the balance between energy production and load demand. In the last few years, electricity market has become more and more flexible as many utilities have started to replace the fixed retail prices schemes with prices changing during the day. Dynamic pricing, also known as Real-Time Pricing (RTP), reflects the trend of the wholesale market and allows to reduce the volatility of the wholesale prices, also contributing to a reduction of demand peaks. Electricity customers take advantage of dynamic pricing by shifting their consumption according to the real-time prices or by using Battery Energy Storage Systems (BESS) to shift electricity consumption. As a result, storing electricity in off-peak periods allows customers to lower electricity rates during on-peak periods.\ud This paper describes the application to a medium-scale public facility of a simple BESS operating strategy which aims to maximize the saving for the end-user. The operating strategy is able to identify, for each daily period, the charging and discharging hours, relying only on the hourly spot market price profile (day-ahead electricity prices) and may be applied to all kinds of BESS. The experimental evaluation uses a Lithium-ion (Li-ion) storage system and results highlight how the power profile of the public facility changes as a result of the proposed charging strateg

A Novel Operating Strategy for Customer-Side Energy Storages in Presence of Dynamic Electricity Prices

“…Differently from a previous work [29] where emphasis was placed in the test results, highlighting the changes in power profiles occurring as a result of the proposed battery energy storage system (BESS) charging strategy, in the present paper the main aim is to define, characterize and test the BESS operating strategy, by maximizing an objective function which expresses the customer benefit.…”

Defining and Evaluating Use Cases for Battery Energy Storage Investments: Case Study in Croatia

“…One of the most promising options is the model of an end-user owning the energy storage and this concept is expected to grow exponentially in the future. A simple and effective operation strategy is proposed in [22] for a medium-scale public facility (University of Palermo campus) within the Real-Time Pricing framework (RTP electricity tariffs). The aim of the proposed strategy is to manage electric bills by using load shifting performed with a BESS.…”

“…The paper approach in [21] is similar to our cases in Sections 2.2 and 2.3 with the addition that we contribute with: (i) Section 2.2 targets to ensure N-1 security criterion by installing a BESS, and (ii) Section 2.3 aims at increasing power evacuation from the observed geographical area during the high production of power plans and an outage of a power line. Papers [22,23] deal with a usage of the end-user applications of BESS, very similar as in Section 2.4. However, our paper additionally analyzes collocation of a BESS and a PV under two price scenarios, similar to paper [26].…”

A Comprehensive Game Theoretical Defense Strategy in Demand Side Management Against Price Tampering Attacks

“…In this case, the regional electricity price can no longer be fixed to a certain value. It should dynamically change with the production of two kinds of electric energy to pursue the maximization of their profits according to Telaretti et al (2014) 's points.…”