Research on allocation and economy of energy storage demonstration projects in Shandong Province

To achieve the goal of carbon peak in 2030 and carbon neutral in 2060, one of the main tasks of China’s energy transformation is to build a new type of power system with renewable energy as the main body. For meeting the great challenge of the rapid development of renewable energy to the balance of power system, energy storage power station has been further developed. According to the policy requirements of energy storage power station demonstration project in Shandong Province, the typical models of new photovoltaic power generation supporting energy storage power station, thermal power generation unit supporting energy storage power station and grid side independent energy storage power station are established, and the profit model of the system is analyzed in detail. The results show that when the equivalent utilization hours of photovoltaic power station in Shandong exceed 1178 hours, the income of photovoltaic power station has the space to build the lease of energy storage power station. The self-built energy storage system of the photovoltaic power station will lead to an average decrease of about 3% in the IRR of the system capital fund, which is equivalent to the income consequence caused by the price of 254~310 yuan/kW of the leased energy storage power station. Thermal power plants build peak shaving power stations with electric energy storage, and the benefits mainly include peak shaving subsidies for energy storage power stations, sharing and leasing incomes for photovoltaic power stations, and marginal contribution of priority generation of thermal power plants. This type of energy storage power station has good benefits, and the IRR of project capital varies from 16.85% to 21.14%. When the annual rental price of the photovoltaic power station exceeds 165 yuan/kW, the IRR of the capital fund of the energy storage power station shall not be less than 10%. The income of grid side independent energy storage power station mainly includes peak shaving subsidy of energy storage power station and sharing lease subsidy of the photovoltaic power station. This type of power station needs to further tap the frequency modulation value and peak valley arbitrage of the energy storage power station to optimize the business model of the project.

I. Introduction

By the end of 2020, the total installed capacity of power generation of China has reached 2.2 × 10⁹ kW, the total installed capacity of non-fossil energy power generation is 9.8 × 10⁸ kW, the total installed capacity of renewable energy power generation is 9.34 × 10⁸ kW, the total installed capacity of wind power generation and photovoltaic power generation accounts for 24.3%. China’s energy structure transformation has achieved phased results of the 13th Five Year Plan period. To achieve the goal of “ carbon peaking “ by 2030 and “ carbon neutralization “ by 2060, the power system needs to build a new power system with renewable energy as the main body, which will further increase the development of renewable energy, and thus pose a major challenge to the balance of China’s power system^[1–2], so the energy storage power station has a further rapid development opportunity. At present, the total installed capacity of power generation of Shandong Province is 1.59 × 10⁸ kW, of which the installed capacity of photovoltaic power generation is 2.27 × 10⁷ kW. It is arduous to absorb renewable energy power in spring and autumn, and there is a big gap between peak load in summer. Shandong power grid has a strong demand for peak load regulation and supply to guarantee resources. The energy storage system can effectively improve the power grid renewable energy consumption capacity, peak to load, valley load reduction, and power supply guarantee capacity in an emergency state^[3–6], and can cooperate with thermal power units for frequency regulation^[7–8]. Recently, Shandong Province has issued the “Implementation Opinions on developing energy storage demonstration application”^[9], which provides clear support for the demonstration project of energy storage power station. Under this background, this paper makes a detailed analysis on the configuration and economy of the Shandong regional energy storage power station demonstration project, which guides Shandong Province demonstration project application and other regional energy storage power station construction.