Techno-economic Analysis of Battery Energy Storage System Considering Degradation and Pricing Mechanism

Abstract

This paper presents a comprehensive techno-economic analyzing framework of battery energy storage systems. In this framework, a detailed battery degradation model is embedded, which models the depth-of-discharge, temperature, charging/discharging rate, and state-of-charge stress on the battery aging process. Total energy throughput and levelized cost of storage of BESS over the whole lifespan are evaluated under different operating conditions. Also, this work analyzes the techno-economic performance of battery energy storage systems under different electricity price mechanisms, including the time-of-use plan and the real-time-pricing mechanism.