Abstract
We introduce a stochastic dynamic programming (SDP) model that co-optimizes multiple uses of distributed energy storage, including energy and ancillary service sales, backup capacity, and transformer loading relief, while accounting for market and system uncertainty. We propose an approximation technique to efficiently solve the SDP. We also use a case study with high residential loads to demonstrate that a deployment consisting of both storage and transformer upgrades decreases costs and increases value relative to a transformer-only deployment.
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Notes
In keeping with our convention that variables with the subscript \(t\) are stochastic before hour \(t\) and become known at hour \(t\), we put a \(t+1\) subscript on these random samples. This is because the random samples are computed based on a realization of \(\tilde{\omega }_{t+1}\).
Since this testing is still preliminary, results are not yet publicly available. The experiments cycle batteries repeatedly and under different temperature conditions to determine their capacities and aging characteristics.
We only model battery capacities with starting energy capacities in 5 kWh increments. A deployment with a 25 kVA transformer and a battery with a starting nominal capacity of 5 kWh results in an expected transformer life of 18.4 years. A 10 kWh battery results in a 21.3 year transformer life.
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Acknowledgments
The authors thank A. Sorooshian, the editors, and two anonymous reviewers for helpful discussions and suggestions and Y. Guezennec for providing useful battery aging and temperature performance data. Financial support for this work was provided by the SMART@CAR consortium. This work was also supported in part by an allocation of computing time from the Ohio Supercomputer Center. Any opinions and conclusions expressed in this paper are solely those of the authors.
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Xi, X., Sioshansi, R. A dynamic programming model of energy storage and transformer deployments to relieve distribution constraints. Comput Manag Sci 13, 119–146 (2016). https://doi.org/10.1007/s10287-014-0218-6
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DOI: https://doi.org/10.1007/s10287-014-0218-6