Optimal Energy Storage Sizing With Battery Augmentation for Renewable-Plus-Storage Power Plants

Abstract

The renewable-plus-storage power plant is becoming economically viable for power producers given the maturing technology and continued cost reduction. However, as batteries and power conversion systems remain costly, the power plant profitability depends on the capacity determination of the battery energy storage system (BESS). This study explored an approach for optimal capacity determination of a BESS combined with renewable energy considering the complex degradation of lithium-ion batteries. The proposed sizing algorithm iteratively evaluates the effect of BESS operation on battery degradation and estimates the cash flows of the power plant. In addition, we studied battery augmentation that adds the storage capacity in the base system to sustain the BESS capacity throughout the project planning horizon. Using data from South Korea, we showed that both the optimal storage capacity and project profitability are higher when the BESS is combined with solar generation than when combined with wind generation. Moreover, simulation results demonstrated that the proposed battery augmentation scheme improves the project profitability by deferring the upfront cost of batteries and increasing the total revenue. The proposed approach can provide a comprehensive framework for the parties involved in a BESS project to accurately calculate the BESS sizes and maximize the project profitability.

Smart Cooperative Energy Supply Strategy to Increase Reliability in Residential Stand-Alone Photovoltaic Systems

“…For this case study, this value was 30%, which made it possible to achieve better reliability values in both dwellings than those obtained without using cooperative strategies, while providing balanced improvements. Compared to most of the literature works (such as [22]), this is one of the key contributions of this study, since the cooperative strategy allows performance optimization and reliability improvements.…”

“…Another type of study has focused in isolated systems [20,21], which is the only available option in most rural areas. As stated before, the optimal design of these systems is very important [22]. To achieve a good design of these systems there have been a large number of methods developed, as can be seen in some review works [23,24].…”

Review of Battery Energy Storage Systems Modeling in Microgrids with Renewables Considering Battery Degradation

“…For example, the conventional method is to install more storage capacity than required to reduce the average depth of discharge (DOD) of the battery so as to maintain the operating cycle [20]. This also includes building up the BESS with the addition of new battery cells over time [21]. However, such an approach leads to technical difficulties in connecting new and old batteries.…”

“…Shang Y., [8] Sufyan M., 2019 [15] Yang Y., 2013 [19] Narayan N., 2018 [20] Shin H., 2020 [21] Dulout J., [22] Lan H., 2015 [27] Carpinelli G., 2017 [25] Huo D., 2022 [26] Soltani N, 2020 [28] Yue M., 2015 [29] Bahramirad S., 2012 [30] Knap V., 2015 [31] Bhusal N., 2021 [32] Baloyi T., [33] Luo Y., 2014 [34] Astaneh M., 2018 [35] Table 1. Cont.…”

“…The average lifetime of the BESS is more than ten years; however, lithium-ion batteries typically undergo a severe capacity fading throughout the entire planning period of a project. Therefore, BESS sizing, when performed without taking battery degradation into account, leads to inflated revenues and can seriously compromise reliability [21]. By incorporating the degradation costs of the BESS into grid optimization problems, significant cost reductions can be achieved in various ways, such as in grid planning and operation [49], as well as in the coordinated operation of the BESS and renewable energy sources [50].…”