Analytical sizing methods for behind-the-meter battery storage
In behind-the-meter application, battery storage system (BSS) is utilized to reduce a commercial or industrial customer’s payment for electricity use, including energy charge and demand charge. The potential value of BSS in payment reduction and the most economic size can be determined by formulating and solving standard mathematical programming problems. In this method, users input system information such as load profiles, energy/demand charge rates, and battery characteristics to construct a standard programming problem that typically involve a large number of constraints and decision variables. Such a large scale programming problem is then solved by optimization solvers to obtain numerical solutions. Such a method cannot directly link the obtained optimal battery sizes to input parameters and requires case-by-case analysis. In this paper, we present an objective quantitative analysis of costs and benefits of customer-side energy storage, and thereby identify key factors that affect battery sizing. Based on the analysis, we then develop simple but effective guidelines that can be used to determine the most cost-effective battery size or guide utility rate design for stimulating energy storage development. The proposed analytical sizing methods are innovative, and offer engineering insights on how the optimal battery size varies with system characteristics. We illustrate the proposed methods using practical building load profile and utility rate. The obtained results are compared with the ones using mathematical programming based methods for validation.
- Research Organization:
- Pacific Northwest National Lab. (PNNL), Richland, WA (United States)
- Sponsoring Organization:
- USDOE
- DOE Contract Number:
- AC05-76RL01830
- OSTI ID:
- 1361985
- Report Number(s):
- PNNL-SA-122123; TE1400000
- Journal Information:
- Journal of Energy Storage, Vol. 12, Issue C; ISSN 2352-152X
- Publisher:
- Elsevier
- Country of Publication:
- United States
- Language:
- English
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