Economic optimization of component sizing for residential battery storage systems

Battery energy storage systems (BESS) coupled with rooftop-mounted residential photovoltaic (PV) generation, designated as PV-BESS, draw increasing attention and market penetration as more and more such systems become available. The manifold BESS deployed to date rely on a variety of different battery technologies, show a great variation of battery size, and power electronics dimensioning. However, given today's high investment costs of BESS, a well-matched design and adequate sizing of the storage systems are prerequisites to allow profitability for the end-user. The economic viability of a PV-BESS depends also on the battery operation, storage technology, and aging of the system. In this paper, a general method for comprehensive PV-BESS techno-economic analysis and optimization is presented and applied to the state-of-art PV-BESS to determine its optimal parameters. Using a linear optimization method, a cost-optimal sizing of the battery and power electronics is derived based on solar energy availability and local demand. At the same time, the power flow optimization reveals the best storage operation patterns considering a trade-off between energy purchase, feed-in remuneration, and battery aging. Using up to date technology-specific aging information and the investment cost of battery and inverter systems, three mature battery chemistries are compared; a lead-acid (PbA) system and two lithium-ion systems, one with lithium-iron-phosphate (LFP) and another with lithium-nickel-manganese-cobalt (NMC) cathode. The results show that different storage technology and component sizing provide the best economic performances, depending on the scenario of load demand and PV generation.Web of Science107art. no. 83

Energy Production Analysis and Optimization of Mini-Grid in Remote Areas: The Case Study of Habaswein, Kenya

Rural electrification in remote areas of developing countries has several challenges which hinder energy access to the population. For instance, the extension of the national grid to provide electricity in these areas is largely not viable. The Kenyan Government has put a target to achieve universal energy access by the year 2020. To realize this objective, the focus of the program is being shifted to establishing off-grid power stations in rural areas. Among rural areas to be electrified is Habaswein, which is a settlement in Kenya’s northeastern region without connection to the national power grid, and where Kenya Power installed a stand-alone hybrid mini-grid. Based on field observations, power generation data analysis, evaluation of the potential energy resources and simulations, this research intends to evaluate the performance of the Habaswein mini-grid and optimize the existing hybrid generation system to enhance its reliability and reduce the operation costs. The result will be a suggestion of how Kenyan rural areas could be sustainably electrified by using renewable energy based off-grid power stations. It will contribute to bridge the current research gap in this area, and it will be a vital tool to researchers, implementers and the policy makers in energy sector

The Economic Feasibility of Residential Energy Storage Combined with PV Panels: The Role of Subsidies in Italy

A solar photovoltaic system produces electricity by converting energy from the sun. By the end of 2016, the global installed solar photovoltaic capacity reached 305 GW. Its growth is impressive in the last years; in fact, it was only equal to 41 GW in 2010. However, Europe has installed only 6.9 GW in 2016 (1.7 GW in comparison to previous year) and this annual power installed is equal to 9% of global one in according to data released by Solar Power Europe. The profitability of PV systems in mature markets depends on the harmonization between demanded energy and produced one residential energy storage when combined with photovoltaic panels is able to increase the share of self-consumption. This work proposes a mathematical model, in which a Discounted Cash Flow analysis is conducted to evaluate the financial feasibility of photovoltaic-integrated lead acid battery systems in Italy. The indicator used is Net Present Value. Furthermore, a break-even point analysis, in terms of an increase of self-consumption, is conducted. The residential sector is investigated and energy storage system investment is incentivized by fiscal deduction and regional subsidies. The analysis provides several case studies, determined by combinations of the following variables: photovoltaic plant size, battery capacity, the increase of the share of self-consumption, and the useful lifetime of energy storage system. The same case studies are proposed also in four alternative scenarios, where is the modified the structure of subsidies. Results confirm that the profitability can be reached in presence of subsidies

A review of microgrid development in the United States – A decade of progress on policies, demonstrations, controls, and software tools

Microgrids have become increasingly popular in the United States. Supported by favorable federal and local policies, microgrid projects can provide greater energy stability and resilience within a project site or community. This paper reviews major federal, state, and utility-level policies driving microgrid development in the United States. Representative U.S. demonstration projects are selected and their technical characteristics and non-technical features are introduced. The paper discusses trends in the technology development of microgrid systems as well as microgrid control methods and interactions within the electricity market. Software tools for microgrid design, planning, and performance analysis are illustrated with each tool's core capability. Finally, the paper summarizes the successes and lessons learned during the recent expansion of the U.S. microgrid industry that may serve as a reference for other countries developing their own microgrid industries

Analysis of the economic feasibility and reduction of a building’s energy consumption and emissions when integrating hybrid solar thermal/PV/micro-CHP systems

The aim of this paper is to assess the performance of several designs of hybrid systems composed of solar thermal collectors, photovoltaic panels and natural gas internal combustion engines. The software TRNSYS 17 has been used to perform all the calculations and data processing, as well as an optimisation of the tank volumes through an add-in coupled with the GENOPT® software. The study is carried out by analysing the behaviour of the designed systems and the conventional case in five different locations of Spain with diverse climatic characteristics, evaluating the same building in all cases. Regulators, manufacturers and energy service engineers are the most interested in these results. Two major contributions in this paper are the calculations of primary energy consumption and emissions and the inclusion of a Life Cycle Cost analysis. A table which shows the order of preference regarding those criteria for each considered case study is also included. This was fulfilled in the interest of comparing between the different configurations and climatic zones so as to obtain conclusions on each of them. The study also illustrates a sensibility analysis regarding energy prices. Finally, the exhaustive literature review, the novel electricity consumption profile of the building and the illustration of the influence of the cogeneration engine working hours are also valuable outputs of this paper, developed in order to address the knowledge gap and the ongoing challenges in the field of distributed generation