Energy Storage And Its Implications In The Future Power Grid

The electric grid is facing numerous challenges to support larger scale renewable energy integration. As higher shares of intermittent wind and solar energy sources are being connected to the grid, more flexible systems will need to be considered to balance their fluctuating output in order to ensure grid reliability. Energy storage is expected to play an important role in creating more grid expansion opportunities to support renewable energy growth. However, energy storage still presents high investment cost which have limited their deployment at a wider scale. The questions of where to locate energy storage, how much storage capacity should be installed and which combination of technologies can provide benefits to the network at a minimum cost, while ensuring profits for investors are still not well addressed. This research proposes a framework based on modeling and supply chain concepts that will capture the behavior of an electric grid system, used as real-case study, which generates electricity using a balance of hydro power, conventional generators, wind, solar and energy storage to meet demand. The validation of this framework will provide a clearer vision on what are the economic benefits of energy storage and its potential implications in the power grid system