Compensation mechanism for peak-shaving auxiliary services considering the cost recovery period of energy storage

[EN] China's dual carbon targets¿peaking emissions by 2030 and achieving carbon neutrality by 2060¿require effective integration of renewable energy, creating enhanced peak-shaving auxiliary services. As thermal power plants (TP) shift to auxiliary roles, their profitability diminishes, whi...

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Detalles Bibliográficos
Autores: Zhang, Jiejia, Zhang, Jingxiao, Skitmore, Martin, Zhu, Zhaobin, Ballesteros-Pérez, Pablo|||0000-0002-4629-9664
Tipo de recurso: artículo
Fecha de publicación:2025
País:España
Institución:Universitat Politècnica de València (UPV)
Repositorio:RiuNet. Repositorio Institucional de la Universitat Politécnica de Valéncia
Idioma:inglés
OAI Identifier:oai:dnet:riunet______::5d116123f0e39a0d4cca3b599cda644a
Acceso en línea:https://riunet.upv.es/handle/10251/234584
Access Level:acceso abierto
Palabra clave:Wind power
Energy storage
Compensation mechanism
Cost recovery period
Grid-connected proportion
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Descripción
Sumario:[EN] China's dual carbon targets¿peaking emissions by 2030 and achieving carbon neutrality by 2060¿require effective integration of renewable energy, creating enhanced peak-shaving auxiliary services. As thermal power plants (TP) shift to auxiliary roles, their profitability diminishes, while energy storage systems (ESS) offer flexibility and rapid response to stabilize supply-demand imbalances. However, ESS adoption has been hindered by weak cost recovery mechanisms. This study introduces a novel economic dispatch model for a wind-fire-storage system, evaluating ESS's income, costs, and cost recovery periods under different compensation mechanisms. The results show that the proposed compensation mechanism reduces ESS cost recovery periods by 15.4 %, boosts wind power profitability, stabilizes TP output, and lowers peak-shaving costs. The findings emphasize the importance of strategic compensation mechanisms in facilitating renewable energy integration, reducing reliance on thermal power, and enhancing ESS participation. This work provides a practical framework for optimizing energy storage applications and supporting China's carbon neutrality goals.