M5Use: An Optimization Framework for the Multi-Use Operation Scheduling of Large-Scale Battery Storage Systems

Large-scale battery storage systems (BESS) have found widespread application in frequency regulation and spot markets across Europe. However, combined multi-use approaches are necessary to achieve an economically robust operation of BESS. In this context, we present a flexible modeling and optimization framework to find the optimal utilization strategy for BESS in multi-use and single application. Using this framework, we evaluate applications such as energy arbitrage, frequency containment reserve (FCR), and automatic frequency restoration reserve (aFRR) in single and combined operation for the the 5 MW/7.5 MWh BESS M5BAT located in Aachen, Germany. We found that combined FCR, aFRR, and arbitrage operation results in 196% higher revenues than single FCR operation, which is the current application of M5BAT. Furthermore, we observed synergies between applications that result in revenue without physical delivery. Our results indicate the advantages of multi-use operation of BESS while our framework represents a tool for its realization.