Investment model for grid-side energy storage

4 FAQs about [Investment model for grid-side energy storage]

Why do we need power generation-side energy storage systems?

However, the power system is facing the problem of deteriorating power quality and decreasing power security level due to the volatility and randomness of renewable energy generation . Power generation-side energy storage systems (ESS) with a fast response rate and high regulation accuracy have become essential to solving this problem .

Do ESS subsidy policies affect investment in microgrids?

Chen et al. combined evolutionary game theory with real options to develop an investment decision model for microgrids with ESS, and applied it to guide ESS subsidy policies for microgrids. The results of the study showed that price subsidies had the most significant impact on investment in ESS projects.

Do investors invest in generation-side ESS projects under electricity price and subsidy policy uncertainties?

The study considers investors'' continuous capacity investment in generation-side ESS projects under both electricity price and subsidy policy uncertainties. Assume that the ESS project has an installed capacity of q and is gradually completed through n stages of sequential investment.

Does subsidy retraction affect sequential investment in energy storage?

A real options model for sequential investment in energy storage is developed. Policy uncertainty of subsidy retraction, provision or transformation is considered. Sequential investment promotes earlier project deployment than lumpy investment. Retraction has a greater impact on investment than the provision of subsidies.

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