Optimization of Large-Scale Battery Energy Storage Applications in Transmission System

Day-to-day operational difficulties created by the intermittency of the large-scale renewable energy resources like wind and solar photovoltaics (PV) in the electric grid is well documented. With higher penetration, there is a dire need of storage systems at both T&D levels. Gas turbine units (acting as the de facto storage) have been built along with the wind and PV to alleviate the situation. Battery Energy Storage System (BESS) is another promising idea. However, it is difficult to determine the optimal size and location and justify the cost. This paper addresses this by forming a probabilistic non-linear optimization problem whose objective function is to maximize the BESS energy arbitrage revenue. One case study is presented using the IEEE Std. 9-bus system. The proposed methodology can be expanded to other BESS applications.