Energy Storage Applications in Distribution Grid Operation
PNNL and NC State are collaborating on a battery dispatch and valuation methodology to reduce capacity charges. The proposed methodology includes two steps. Firstly, a decision is made whether to use a battery energy storage system (BESS) based on peak-day probability. Secondly, the optimal dispatch is determined using peak-hour probability, assuming that the dispatch of BESS will not impact the monthly peak demand. The work done by PNNL and NC State has the potential to reduce capacity charges.
Sponsor
Pacific Northwest National Laboratory
The grant—running from August 16, 2021 to August 15, 2022—is for a total of $80,000.
Principle Investigators
Ning Lu
More Details
Pacific Northwest National Laboratory (PNNL) has been collaborating with NC state on developing battery dispatch and valuation methodologies for capacity charge reduction. The proposed dispatch method consists of two steps: 1) determine whether a BESS is used on an operating day based on the peak-day probability, and 2) determine the optimal dispatch based on peak-hour probabilities. The peak-day and peak-hour probabilities are determined assuming the dispatch of the BESS will not affect the peak hour of the month, ignoring the potential risk of shifting the DEP monthly peak demand.