Abstract
Energy storage is often considered being the holy grail of technologies to integrate wind and solar power. Storage has many value streams such as energy arbitrage, capacity, primary reserve or primary frequency response, secondary reserve or regulation, ramping reserve, firming and/or smoothening of various resources, spinning reserve, transmission conjunctions, and deferrals of transmission and distribution upgrades, voltage support, demand charge reduction, and bill reduction with time-of-use rates. Depending on who owns the storage system and the market, only some of these value streams may be monetizable. Yet as costs for some storage technologies such as batteries drop, and as solar and wind penetration levels increase, the commercial viability of new storage projects remains somewhat elusive, unless storage is mandated or subsidized. This paper delves into applications where storage can make economic sense and the market rules that can make or break a storage project.
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Abbreviations
- GW:
-
Giga watt
- MW:
-
Mega watt
- kW:
-
Kilo watt
- UPS:
-
Uninterruptible power supply
- LCOS:
-
Levelized cost of storage
- ISOs:
-
Independent system operators
- BESS:
-
Battery energy storage system
- VRF:
-
Vanadium redox flow
- PCS:
-
Power control system
- BMS:
-
Battery management system
- PER:
-
Primary frequency response
- AGC:
-
Automatic generation control
- FFR:
-
Fast frequency response
- PFR:
-
Primary frequency response
- BTW:
-
Behind-the-meter
- PV:
-
Photovoltaic
- MISO:
-
Midcontinent independent system operator
- CAISO:
-
California Independent System Operator Corporation
- BESS:
-
Battery energy storage systems
- RegD:
-
Dynamic regulation signal
- RegA:
-
Traditional regulation signal
- FERC:
-
Federal Energy Regulatory Commission
- PHS:
-
Pumped hydro storage
- DOD:
-
Depth of discharge
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Acknowledgements
The assistance provided by the authorities of Siksha ‘O’ Anusandhan (Deemed to be University), Bhubaneswar are highly acknowledged.
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Sharma, R., Choudhury, S., Jena, B., Goel, S. (2020). Electrical Energy Storage: A Great Business Ahead. In: Mohanty, M., Das, S. (eds) Advances in Intelligent Computing and Communication. Lecture Notes in Networks and Systems, vol 109. Springer, Singapore. https://doi.org/10.1007/978-981-15-2774-6_35
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DOI: https://doi.org/10.1007/978-981-15-2774-6_35
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