TY - GEN
T1 - Cost analysis of hybrid energy storage system benefits to distribution network operators
AU - Gbadegesin, Azizat Olusola
AU - Sun, Yanxia
AU - Nwulu, Nnamdi
N1 - Publisher Copyright:
© Springer Nature Singapore Pte Ltd 2020.
PY - 2020
Y1 - 2020
N2 - Storage systems can be deployed on varying scales by different stakeholders. The stakeholders in grid-tied scenarios include residential, industrial or commercial consumers, distribution network operators, or transmission system network operators. For the purposes of this study, the distribution network operator has been selected as the primary beneficiary of the storage system. This study examines the economic benefits of investing in storage systems for distribution network operators. The consideration for time-of-use (ToU) rates, as they influence the operation of the storage system and in turn, the profit obtainable from a storage-in-distribution-network system, is considered. The economic analysis of the payback period for the investment in storage systems when the storage system provides energy arbitrage services only has been analysed under the ToU tariff schemes. For the distribution network operator owning a storage system, the payback period, when storage systems are incorporated into the network, ranges from 83 to 5 years when there is an increase in variation of consumer tariffs from 1 to 10% of the present electricity costs. Sensitivity analysis for other storage technology options is also considered and presented.
AB - Storage systems can be deployed on varying scales by different stakeholders. The stakeholders in grid-tied scenarios include residential, industrial or commercial consumers, distribution network operators, or transmission system network operators. For the purposes of this study, the distribution network operator has been selected as the primary beneficiary of the storage system. This study examines the economic benefits of investing in storage systems for distribution network operators. The consideration for time-of-use (ToU) rates, as they influence the operation of the storage system and in turn, the profit obtainable from a storage-in-distribution-network system, is considered. The economic analysis of the payback period for the investment in storage systems when the storage system provides energy arbitrage services only has been analysed under the ToU tariff schemes. For the distribution network operator owning a storage system, the payback period, when storage systems are incorporated into the network, ranges from 83 to 5 years when there is an increase in variation of consumer tariffs from 1 to 10% of the present electricity costs. Sensitivity analysis for other storage technology options is also considered and presented.
KW - Distribution networks
KW - Hybrid energy storage systems
KW - Payback period
KW - Storage degradation cost
UR - http://www.scopus.com/inward/record.url?scp=85091305160&partnerID=8YFLogxK
U2 - 10.1007/978-981-15-5753-8_61
DO - 10.1007/978-981-15-5753-8_61
M3 - Conference contribution
AN - SCOPUS:85091305160
SN - 9789811557521
T3 - Lecture Notes in Mechanical Engineering
SP - 661
EP - 672
BT - Advances in Manufacturing Engineering - Selected Articles from ICMMPE 2019
A2 - Emamian, Seyed Sattar
A2 - Yusof, Farazila
A2 - Awang, Mokhtar
PB - Springer Science and Business Media Deutschland GmbH
T2 - 5th International Conference on Mechanical, Manufacturing and Plant Engineering, ICMMPE 2019
Y2 - 19 November 2019 through 21 November 2019
ER -