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Quantifying the value of distributed battery storage to the operation of a low carbon power system

Seward, William, Qadrdan, Meysam and Jenkins, Nick 2022. Quantifying the value of distributed battery storage to the operation of a low carbon power system. Applied Energy 305 , 117684. 10.1016/j.apenergy.2021.117684
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Abstract

Battery storage provides flexibility to the power system and supports the increased integration of renewable energy sources. Distributed battery storage systems that are behind the meter are operated by their local owners, whose objectives may not align with those of the national power system. This paper presents a Bilevel optimisation approach to investigate the exchange of electricity between distributed battery storage and the national power system. The independent operating objectives of the battery storage systems are explicitly considered to assess their impact on the operation of the national power system. A comparison with a Centralised optimisation approach, that assumes a single objective function for the whole system, shows that the Bilevel optimisation approach captures the independencies of distributed battery storage objectives, while accounting for its interactions with the wider power system. The results show that the Centralised optimisation approach tends to overestimate the value of distributed battery storage for the power system. The results also highlight the influence of the retail contract structure in maximising the value of distributed battery storage for the national power system.

Item Type: Article
Date Type: Publication
Status: Published
Schools: Engineering
Publisher: Elsevier
ISSN: 0306-2619
Date of First Compliant Deposit: 2 November 2021
Date of Acceptance: 21 August 2021
Last Modified: 02 Nov 2021 10:33
URI: https://orca.cardiff.ac.uk/id/eprint/144973

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