A Novel optimized Planning Approach of BESS Considering Investor Benefit and Wind Curtailment

Abstract

Energy storage system is a good solution to reduce the abandonment of electricity caused by highly penetrated renewable energy. With the liberalization of the electricity market, independent investor is permitted to participate in the planning and operation of the distribution network (DN). In this paper, a planning method for battery energy storage system (BESS) to maximize the profits of the investors and reduce the wind abandonment, from the perspective of independent investors, is proposed. Considering the growth of load and renewable energy penetration, as well as the economy of investment, deployment of BESS is divided into several stages. This problem is formulated as a bi-level programming. In the upper level, the installation time, location, rated power and capacity of the battery are optimized using particle swarm optimization (PSO) method. In the lower level, the most profitable charging/discharging power of the battery is obtained by interior point method (IPM), and then the optimal power flow (OPF) is carried out to dispatch wind energy considering the constraints. The proposed method is tested on a modified IEEE 33-bus system. Experimental results show that the proposed method can not only make independent battery investors profitable, but also reduce the wind curtailment of the DN.