Modeling of Multi-Use Operation of BESS with EA, SCO and FCR Applications

Nowadays, battery energy storage systems (BESS) are on track to become a central pillar of the energy transition, as they are a cornerstone in balancing the energy paradigm of matching imbalances between load and volatile generation by renewable energy resources. Yet, the economic feasibility remains unstable due to falling but still high initial investment costs without sustainable business models. However, BESS offer operational behavior for stacking applications that can be deployed on the same system. Therefore, decisions on the applications are to be made on operational dispatching. As such, optimization yields an opportunity to address potential challenges from the operational conditions while maximizing revenue potential. This work analyzed the modeling of BESS for the selected applications of energy arbitrage (EA), self-consumption optimization (SCO) and frequency containment reserve (FCR). Apart from the operational constraints, the economic value will be determined and compared for different market conditions. The operational optimization is made degradation-aware to yield a more realistic behavior.