Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems
The push for renewable energy emphasizes the need for energy storage systems (ESSs) to mitigate the unpre-dictability and variability of these sources, yet challenges such as high investment costs, sporadic utilization, and demand mismatch hinder their broader adoption. In response, shared energy st...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
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IEEE
2024-01-01
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| Series: | Journal of Modern Power Systems and Clean Energy |
| Subjects: | |
| Online Access: | https://ieeexplore.ieee.org/document/10460468/ |
| _version_ | 1797243422275272704 |
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| author | Yuxuan Zhuang Zhiyi Li Qipeng Tan Yongqi Li Minhui Wan |
| author_facet | Yuxuan Zhuang Zhiyi Li Qipeng Tan Yongqi Li Minhui Wan |
| author_sort | Yuxuan Zhuang |
| collection | DOAJ |
| description | The push for renewable energy emphasizes the need for energy storage systems (ESSs) to mitigate the unpre-dictability and variability of these sources, yet challenges such as high investment costs, sporadic utilization, and demand mismatch hinder their broader adoption. In response, shared energy storage systems (SESSs) offer a more cohesive and efficient use of ESS, providing more accessible and cost-effective energy storage solutions to overcome these obstacles. To enhance the profitability of SESSs, this paper designs a multi-time-scale resource allocation strategy based on long-term contracts and real-time rental business models. We initially construct a life cycle cost model for SESS and introduce a method to estimate the degradation costs of multiple battery groups by cycling numbers and depth of discharge within the SESS. Subsequently, we design various long-term contracts from both capacity and energy perspectives, establishing associated models and real-time rental models. Lastly, multi-time-scale resource allocation based on the decomposition of user demand is proposed. Numerical analysis validates that the business model based on long-term contracts excels over models operating solely in the real-time market in economic viability and user satisfaction, effectively reducing battery degradation, and leveraging the aggregation effect for SESS can generate an additional increase of 10.7% in net revenue. |
| first_indexed | 2024-04-24T18:54:52Z |
| format | Article |
| id | doaj.art-3a91bfbf2fc44167932ce450e51a14f3 |
| institution | Directory Open Access Journal |
| issn | 2196-5420 |
| language | English |
| last_indexed | 2024-04-24T18:54:52Z |
| publishDate | 2024-01-01 |
| publisher | IEEE |
| record_format | Article |
| series | Journal of Modern Power Systems and Clean Energy |
| spelling | doaj.art-3a91bfbf2fc44167932ce450e51a14f32024-03-26T17:44:53ZengIEEEJournal of Modern Power Systems and Clean Energy2196-54202024-01-0112245446510.35833/MPCE.2023.00074410460468Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage SystemsYuxuan Zhuang0Zhiyi Li1Qipeng Tan2Yongqi Li3Minhui Wan4College of Electrical Engineering, Zhejiang University,Hangzhou,ChinaCollege of Electrical Engineering, Zhejiang University,Hangzhou,ChinaChina Southern Power Grid Power Generation Company, Energy Storage Research Institute,Guangzhou,ChinaChina Southern Power Grid Power Generation Company, Energy Storage Research Institute,Guangzhou,ChinaChina Southern Power Grid Power Generation Company, Energy Storage Research Institute,Guangzhou,ChinaThe push for renewable energy emphasizes the need for energy storage systems (ESSs) to mitigate the unpre-dictability and variability of these sources, yet challenges such as high investment costs, sporadic utilization, and demand mismatch hinder their broader adoption. In response, shared energy storage systems (SESSs) offer a more cohesive and efficient use of ESS, providing more accessible and cost-effective energy storage solutions to overcome these obstacles. To enhance the profitability of SESSs, this paper designs a multi-time-scale resource allocation strategy based on long-term contracts and real-time rental business models. We initially construct a life cycle cost model for SESS and introduce a method to estimate the degradation costs of multiple battery groups by cycling numbers and depth of discharge within the SESS. Subsequently, we design various long-term contracts from both capacity and energy perspectives, establishing associated models and real-time rental models. Lastly, multi-time-scale resource allocation based on the decomposition of user demand is proposed. Numerical analysis validates that the business model based on long-term contracts excels over models operating solely in the real-time market in economic viability and user satisfaction, effectively reducing battery degradation, and leveraging the aggregation effect for SESS can generate an additional increase of 10.7% in net revenue.https://ieeexplore.ieee.org/document/10460468/Capacity allocationlong-term contractsshared energy storage systemstochastic programming |
| spellingShingle | Yuxuan Zhuang Zhiyi Li Qipeng Tan Yongqi Li Minhui Wan Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems Journal of Modern Power Systems and Clean Energy Capacity allocation long-term contracts shared energy storage system stochastic programming |
| title | Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems |
| title_full | Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems |
| title_fullStr | Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems |
| title_full_unstemmed | Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems |
| title_short | Multi-Time-Scale Resource Allocation Based on Long-Term Contracts and Real-Time Rental Business Models for Shared Energy Storage Systems |
| title_sort | multi time scale resource allocation based on long term contracts and real time rental business models for shared energy storage systems |
| topic | Capacity allocation long-term contracts shared energy storage system stochastic programming |
| url | https://ieeexplore.ieee.org/document/10460468/ |
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