Techno-economic analysis of battery storage systems for demand responds application in manufacturing

Demand response mechanisms are considered a cost-effective strategy to increase the reliability of electricity grids and reduce the need for grid extension. The objective of the presented research is to conduct a techno-economic analysis for the use of battery storage systems in decentralized demand responds applications in manufacturing. In order to perform the analysis, different energy market scenarios were developed and a parameter study was conducted using simulation modelling. The results show that none of the 78 individual combinations considered in the simulation experiment represent an economically viable investment scenario. However, small installed storage capacities perform superior to large installations in terms of net present value. The performed sensitivity analysis underlines that parameter sets for the battery systems, energy market models and control strategies require further research in order to improve the reliability of the simulation results. Aside from the techno-economic performance, the use of battery storage systems in decentralized demand responds applications need to be assessed in terms of its environmental impact.