An economic assessment of behind-the-meter photovoltaics paired with batteries on the Hawaiian Islands.

Wu, Di; Ma, Xu; Balducci, Patrick; Bhatnagar, Dhruv

doi:10.1016/j.apenergy.2021.116550

An economic assessment of behind-the-meter photovoltaics paired with batteries on the Hawaiian Islands.

Journal Article · Mon Mar 15 04:00:00 EDT 2021 · Applied Energy

DOI:https://doi.org/10.1016/j.apenergy.2021.116550· OSTI ID:1855978

Wu, Di; Ma, Xu; Balducci, Patrick; Bhatnagar, Dhruv

Due to natural variability and uncertainty, the ever-increasing penetration of solar generation in Hawaii presents challenges to power grid operators to maintain reliable system operation. Demand response (DR) has the potential to be a cost-effective tool for Hawaii to reach its aggressive renewable energy goals while maintaining the reliability of power grids. The Hawaii Public Utilities Commission has approved the Hawaiian Electric Company's revised portfolio of DR programs. The companies have released a grid services purchase agreement and subscribed an initial tranche of load into their DR programs. This paper presents innovative analytical methods and comprehensive economic assessment for distributed photovoltaics (PV) paired with battery energy storage systems (BESSs) for two new DR programs, including fast frequency response and capacity grid service. Optimal dispatch and sizing methods are proposed for the paired system considering different tariff schedules and PV compensation programs across five islands. It was found that while the best resource configuration and potential economic benefits vary with tariff structure, a BESS paired with PV can be optimally dispatched to generate multiple value streams simultaneously. Compensation from DR programs is an important value stream to help increase the cost-effectiveness of the integrated system.

Research Organization:: Argonne National Laboratory (ANL)

Sponsoring Organization:: USDOE Office of Electricity

DOE Contract Number:: AC02-06CH11357

OSTI ID:: 1855978

Journal Information:: Applied Energy, Journal Name: Applied Energy Vol. 286; ISSN 0306-2619

Country of Publication:: United States

Language:: English

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