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At least 73 records · Page 4

Microreactor-liquid metal battery system in energy markets: An evaluation of potential costs, technology, and policy impacts

Microreactors represent an emerging innovation in the nuclear industry; yet have been overshadowed by their high capital costs. With the Inflation Reduction Act of 2022 (IRA), new opportunities have emerged to improve the economics of microreactor systems. This work examines liquid metal batteries (LMB) as a value-adding technology as part of microreactor-LMB systems within three U.S. electricity markets: ERCOT, PJM, and MISO. Our investigation considers key uncertainties: the cost of microreactors, the performance of LMBs, and the eligible tax credit levels. To this end, we use a dispatch optimization to trace not only the changes in system economics but also to provide a granular picture of energy delivery within the systems. We find that even with favorable costs for microreactors, significant regional variations in the project sizing and returns exist across the markets. Our heuristic method identifies their non-electric application potentials beyond electricity and technical requirements to maximize returns. The results suggest that 12–39 % of reactor heat could be cost-effectively diverted to produce more valuable by-products in U.S. markets. Including the impacts of tax credits, we establish the outcomes of each provision with varying rates. Coupling an LMB to a microreactor consistently improves the net present value of a microreactor compared to its standalone operation. In conclusion, for reasonable assumed conditions, we quantify a heterogeneous impact of round-trip efficiency (RTE) and extended LMB service life across the three markets—a one-year extension in LMB service life is roughly equivalent to a 2.11 % improvement in RTE for ERCOT, 1.16 % for PJM, and 1.04 % for MISO.

22 - GENERAL STUDIES OF NUCLEAR REACTORS↗

Insights into Methodologies and Stochastic Optimization of Thermal Energy Storage-Coupled Advanced Reactor Systems: A Comparison of Methods for Accessing Long-Term Sub-System Sizing Adequacy

This paper investigates the potential of coupling Thermal Energy Storage (TES) with Advanced Reactors (ARs) to address uncertainties posed by climate change in deep decarbonized power systems. The TES Use-case Team at Idaho National Laboratory (INL) has examined the potential of storing thermal energy from ARs during low demand periods and optimizing discharge during peak-priced hours, in both steady-state and transient conditions. Building on this groundwork, this study bridges the gaps in optimal sizing of the sub-system of TES-coupled AR systems using Risk Analysis Virtual Environment (RAVEN) and Holistic Energy Resource Optimization Network (HERON), INL?s framework for grid optimization. By applying this framework, we present statistically-robust optimal charge, discharge including balance of plant (BOP), and storage sizing for the High-Temperature Gas-Cooled Reactor (HTGR) with 203 MWth output. To this end, we generated synthetic price samples for 30 years using 2018 ? 2021 real-time market data from ERCOT, PJM and MISO. Our results reveals that the TES-coupled HTGR system is highly effective in maximizing revenue from electricity sales. We observed a substantial increase of 40 % in ERCOT and a noteworthy 15 % increase in PJM and MISO when compared to the conventional BOP without TES. This improvement is achieved through regionally-tailored sub-system sizing, which ranges from 398 to 416 MWth for the discharge system and 610 to 1029 MWth for the TES. We find that the average electricity price directly impacts the overall economics, while price volatility influences storage size. Additional sensitivity analyses were performed to access the impact of key assumptions on system economics and sizing, differentiating the optimization window (i.e., 24 ? 219 hours of chronological observations) and by imposing storage continuity condition in tracking TES cycles. We observed that at the 120-hour of the optimization window, a reasonable balance between computation time and accuracy was achieved. Our analysis also highlights the significance of conducting multi-day cycle analysis (> 120-hour) for TES to capture interaction between electricity prices and storage dynamics, providing a comprehensive understanding of TES behavior that AR developers should integrate into their plant designs.

25 ENERGY STORAGE↗

Expanding market opportunities: cogeneration strategies for integrated PWR and thermal energy storage systems

We assess the economic viability of nuclear cogeneration by investigating three different modes—fixed dispatch, fully flexible dispatch, and flexible dispatch with minimum heat supply requirements. The analysis focuses on an existing pressurized water reactor (PWR) integrated with thermal energy storage (TES). Heat production costs are estimated under these modes for two U.S. electricity markets: the Electric Reliability Council of Texas (ERCOT) and the Pennsylvania–New Jersey–Maryland Interconnection (PJM). A sensitivity analysis examines profitability at varying heat market prices. Results indicate that fixed heat dispatch inflates heat production costs, often rendering projects economically feasible only at higher heat price levels. Fully-flexible dispatch lowers heat production costs by an average of 43 % compared to fixed dispatch. However, the current 30 % thermal dispatch limit may be insufficient to serve high baseline industrial demands cost‐effectively; higher maximum dispatch rates could enhance project economics. Markets with higher and more volatile electricity prices (e.g., ERCOT) offer greater total energy sales potential (i.e., heat and electricity), but also increase opportunity costs when heat production scheduling restrictions are imposed. In contrast, lower-price, less volatile markets (e.g., PJM) experience smaller impacts from such constraints and provide greater flexibility in accommodating varying cogeneration modes. In conclusion, these findings provide a framework to guide nuclear plant operators in aligning cogeneration strategies with industrial process requirements and electricity market conditions.

22 - GENERAL STUDIES OF NUCLEAR REACTORS↗

Nuclear Thermal Energy Storage Configurations for Industrial Combined Heat and Power Supply: Conceptual Study and Engineering Designs

The industries examined in this report primarily rely on moderate-temperature heat provided by gas- or coal-fired boilers and combined heat and power (CHP) plants, delivered through standard process steam systems. High-temperature energy demands are often industry-specific and typically exceed the capabilities of high-temperature gas-cooled reactors (HTGRs). While it is technically feasible to replace process steam from fossil-based heat sources with nuclear energy, certain industries, such as methanol production and pulp and paper, face technoeconomic challenges in integrating nuclear energy without major changes or a technological shift. This is mainly due to the limited external energy demand remaining after the use of internal byproducts, waste heat recovery, and simple efficiency improvements. Achieving full decarbonization of these processes with nuclear energy would require significant technological advancements, involving experimental technology and substantial investments, making widespread adoption in existing industrial plants unlikely in the near term. This study reviews TES options in the context of enabling a flexible CHP supply while maintaining a steady nuclear heat input. Heat storage systems that interface between the reactor primary fluid and the CHP system offer superior performance and flexibility. Specifically, steam extraction downstream of the reheater with a two-tank molten-salt TES appears as the best solution regarding thermodynamic system benefits and system drawbacks. Using selected system configurations, a conceptual design of an industrial energy park was developed for industries with varying energy demands, such as steel production plants utilizing electric arc furnaces (EAFs) and chemical plants, as well as for those with constant energy demands, like petroleum refineries. This design highlights the capabilities of TES and explores its potential business cases. The study also conceptually develops the potential for integrating additional energy sources with nuclear systems through the implementation of TES. The potential of the HTGR-TES-CHP system was also evaluated considering key uncertainties such as industrial demand profiles, external grid access availability, and eligible tax credit levels, using the Holistic Energy Resource Optimization Network. Sensitivity of net present value to these uncertainties was analyzed to determine the optimal number of nuclear reactors (and CHP systems) and the suitable TES capacity. The results were interpreted from a decision-maker’s perspective, focusing on three key areas: deployment strategy (oversized units vs. undersized units with TES support), industrial process characteristics (thermal-intensive single profiles vs. electricity-intensive combined profiles), and operational goals (maximizing profits vs. minimizing natural gas (NG) consumption or external grid dependence). The optimization results indicate that the HTGR-TES-CHP system significantly reduces reliance on NG boilers for individual industrial processes by 9-60% (in NG capacity factor), with an average reduction of 38%, compared to standalone NG boiler operation case (Business As Usual [BAU]). For combined industrial processes, the reduction ranges from 37-77%, with an average of 60%. Additionally, the system greatly reduces dependence on external grids. In meeting industrial electrical demands, a 33-100% self-sufficient internal electricity supply is achieved for single industrial process, with an average of 74%, compared to the BAU scenario, where 100% of electricity is imported. For combined processes, 35-100% of internal electricity demands are met by the reactor, with an average of 73%. At last, the relative NG price levels at which the proposed HTGR-TES-CHP system can cost-effectively enter the market currently dominated by existing NG boilers were estimated. For a moderate HTGR CAPEX level ($\$$2500/kWth, $\$$6329/kWe), the analysis suggests that NG prices must be 2.5 to 7 times higher than HTGR variable operating and maintenance costs for single industrial process, and 5.5 to 9.5 times higher for a combined process scenario. Tax credit modeling shows that the Investment Tax Credit significantly reduces the price threshold needed to break even, making the system competitive with NG boilers in certain cases.

22 GENERAL STUDIES OF NUCLEAR REACTORS↗

DP-Based Optimization of BESS to Substitute RICE Reserves for Improved Economic Benefits

In regions with a significant proportion of renewable energy sources, reciprocating internal combustion engines (RICE or IC) are frequently employed as grid reserve solutions. This study suggests a scheduling technique for battery energy storage systems (BESS) that utilizes dynamic programming (DP) to replace IC units, adding versatility to the total reserve capacity and resulting in higher BESS earnings compared to traditional scheduling approaches. The capacity sweeping approach to optimize BESS’s revenue sometimes leads to operation which is counter intuitive to conventional battery sizing approaches.

25 ENERGY STORAGE↗

Exploring the Future Energy Value of Long-Duration Energy Storage

Long-duration energy storage is commonly viewed as a key technology for providing flexibility to the grid and broader energy systems over a multidecadal time frame. However, prior work has typically used present-day grid infrastructures to characterize the relationship between the duration and arbitrage value of storage in electricity markets. This study leverages established National Renewable Energy Laboratory grid planning and operations tools, analysis, and data to execute a price-taker model of an energy storage system for several 8760 h price series representative of current and future contiguous United States grid infrastructures with varying shares of variable renewable energy (VRE). We find that the total value of energy storage typically increases with VRE shares, but any increase in the relative value of longer storage durations over time depends on the region and grid mix. Some regions see incremental value increasing notably, up to 20–40 h in 2050, while others do not. The negative effect of lower roundtrip efficiency on value is also found to be scenario-dependent, with the energy value in higher VRE scenarios being less sensitive to roundtrip efficiency and more supportive of longer storage durations. Long-duration storage value and deployment potential are a function of evolving electricity sector infrastructure, markets, and policy, making it critical to consistently revisit potential long-duration storage contributions to the grid.

14 SOLAR ENERGY↗

Africa Battery Energy Storage Systems (BESS) Capacity Building Utility-Scale Storage: BESS Valuation, Tariffs, and Remuneration [Slides]

Utility-scale Battery Energy Storage Systems (BESS) are key to enhancing grid reliability, integrating renewable energy, and providing operational flexibility. Designing effective valuation, remuneration, and tariff frameworks is essential to ensure both system benefits and financial viability for developers. This presentation outlines a structured methodology for evaluating BESS projects, covering policy and legal considerations, cost and revenue analysis, benchmarking, financial sensitivity, and risk assessment, while ensuring alignment with public interest. It also explores valuation of multiple storage services - bulk energy, ancillary services, and infrastructure support - and monetization strategies through capacity payments, energy tariffs, tolling, arbitrage, and non-wires alternative payments. Technical factors, including round-trip efficiency, degradation, and storage duration, are integrated into financial and operational modeling to quantify both system-wide and project-level benefits. Through case studies and simulation-based approaches, this framework provides regulators, utilities, and developers with practical guidance for tariff design, payment structures, and investment decisions, maximizing the economic and societal value of BESS deployment.

25 ENERGY STORAGE↗

Combined Cycle Integrated Thermal Energy Storage “CiTES” (Final Scientific/Technical Report)

The Phase I of this project confirmed the technical feasibility of a Combined Cycle integrated Thermal Energy Storage “CiTES” system, calculated the key performance parameters like power efficiency and costs, and proved its commercial value with full-year simulations for several US electricity markets with high degree of variable renewable generation and volatile hourly electricity prices. The core element of this project is the Electro Thermal Energy Storage (ETES) technology from Siemens Gamesa Renewable Energy GmbH, using thermally stable and inexpensive volcanic rocks as storage material and air as heat transfer medium. This technology is backed by more than 10 years of experience and a 440MMBTU (130MWh-th) pilot plant in Hamburg, Germany, which is in operation since 2019. The integration of this thermal storage in an existing combined cycle power plant (CCPP) is typical power plant technology without any major technology risks. It allows the storage of inexpensive renewable energy during times of surplus renewable generation and the discharge of this energy in times of high energy demand when the fossil plant is in operation. This supplements the fossil power generation with CO2-emission-free energy. The secondary effect of the CiTES system is that a small part of the stored thermal energy is used to keep the heat recovery steam generator (HRSG) and steam turbine (ST) of the combined cycle power plant in hot and ready-to-start condition. This enables the plant to start rapidly when fossil generation is required to satisfy demand as soon variable generation drops off in the evenings or during cloud cover and calm wind periods. Without pre-warming of the HRSG and ST, the CCPP would need several hours for a cold or warm start, burn a lot of gas and release high NOx emissions during start and wouldn’t be able to use the short times of high energy prices in an efficient or economical manner. The economic parameters of CiTES were determined by a full year “8760” simulation using a data set calculation for each of the hours of the year, and historical electricity and gas prices. For consistency, the simulations were focused on the pre-COVID year 2019. The financially most attractive markets were in the Energy Reliability Council of Texas (ERCOT) region, which allowed substantial value generation with arbitrage (charge with cheap energy during renewable surplus times and discharge when energy is needed and expensive). The improvement of flexibility with the CiTES system by pre-heating and warm-keeping of the CCPP allowed for additional power generation during short time periods when demand is high but renewable generation is down; when the hourly energy prices are highest in these markets. The simulations are based on 2019 data, when ERCOT had 27GW of installed photovoltaic (PV) and wind generation. They showed that the created revenue with the prototypically sized CiTES system of 1,000MMBTU (300MWh-th) falls a little bit short of what is expected from a commercially viable investment. The system has optimization opportunities for cost reduction and increased effectiveness which will be realized during a potential Phase II Pre-FEED study following this project. Furthermore, it is safe to assume that a lot of renewable generation capacity will be added all over the US in the coming years. As an example, ERCOT is predicting to more than double its renewable generation from 27GW in 2019 to a forecasted 63GW in 2023. This will increase the amount of renewable overproduction exponentially. This rapid increase of local overproduction and the need to curtail renewable generation is well documented by the California ISO (www.CAISO.com / managing oversupply). However, the simulations also revealed a weakness in the structure of the electricity markets in the US. More specifically, when electricity prices are very low and approaching negative levels, the owners of Variable Renewable Energy (VRE) will curtail a part of their facility to stabilize the price by reducing supply. This results in a situation in which storage facilities, which are integrated in existing fossil assets and don’t have the behind-the-meter benefit of a VRE, won’t be able to purchase low cost – otherwise curtailed – renewable energy off the grid. A special tariff, which motivates VRE owners to sell otherwise curtailed renewable energy to storage facilities (Hydrogen, thermal, pumped hydro, etc.) can solve this issue. The implementation of such a regulating tariff by Independent System Operators, thus avoiding renewable curtailment, is a pre condition for successful commercialization for renewable energy storage technologies. With this advancement of design and technology and improvements in the market environment, it can be expected that the Combined Cycle integrated Thermal Energy Storage proves itself as an important innovation to keep highly efficient, natural gas-based power generation economically successful and relevant for the power industry in the United States of America.

Wolf, Thorsten↗

Liquid Salt Combined-Cycle Pilot Plant Design

The work described in this report is responsive to the Office of Fossil Energy program ‘Energy Storage for Fossil Power Generation.’ This Phase I report has been prepared by Pintail Power LLC, with support from Nexant ECA, Electric Power Research Institute (EPRI) and Southern Company Services as a deliverable for the U.S. Department of Energy for NETL Award DE-FE-00320016. The Liquid Salt Combined Cycle™ (LSCC™) technology provides large-scale energy storage integrated with Fossil Electric Generating Units (FEGUs) to meet critical needs in the energy transition by providing: • the lowest cost large-scale storage for time-shifting of renewable energy, • superior fuel efficiency to reduce GHGs from dispatchable resources, • flexible capacity and ramping to balance variability of wind and solar resources, • essential grid stability services to assure reliability of a low-carbon grid. The LSCC approach: • employs equipment that has already been proven in utility service, • uses safe, non-toxic, non-degrading, perpetual-life storage medium, • leverages and repurposes existing FEGU assets, • expands the value stack of energy storage to reduce market, financing, and commodity risks. Pintail Power has developed the LSCC technology to meet the need for reliable, efficient, and cost-effective integration of Variable Renewable Energy (VRE) into a low-carbon electric grid by coupling proven thermal energy storage with proven gas turbines, steam turbines, and heat transfer equipment. This novel approach is intended to address the key issues facing the grid and operators of renewable and fossil generating units including: • Overgeneration and curtailment of renewables, • Need for fast ramping dispatchable resources, • Improved efficiency and flexibility of fossil units, • Additional peaking capacity to support electrification of transportation and heating, • Provision of reliability services to support high penetration of VRE, especially synchronous inertia and fast frequency response. A Technology Readiness assessment by EPRI confirmed that LSCC technology consists of commercially proven hardware used in industrial and utility applications. Although the novel LSCC approach has not yet been demonstrated as a complete system, interfaces between major components have been conservatively specified. A Phase III pilot is planned to demonstrate equipment integration and operation. The patented innovation is removal of the evaporator section from the exhaust heat recovery system, with the evaporation performed by stored energy in a separate steam generator. This arrangement couples renewable and fossil power generation via long-duration energy storage to deliver cost, performance, and operational synergies, including superior charging and discharging flexibility, reduced fuel consumption and lower CO 2 emissions compared to conventional Combined Cycle Power Plants, and low-cost, large-scale energy storage. The LSCC technology is composed of proven equipment integrated with gas turbine exhaust heat in a novel system. During charging, electric heaters raise the salt temperature as it flows from the Cold Salt Tank to the Hot Salt Tank. During discharging, hot salt produces steam from feedwater that is heated with gas turbine exhaust, which also superheats steam to drive a steam turbine. LSCC technology can be added to any combustion-turbine to integrate renewable energy, provide needed grid services, and increase the value of fossil electric generating units based on the technology’s following attributes: • Long-duration storage enables time-shifting of VRE to avoid curtailment and impairment of renewable assets. • Long storage duration combined with fast-charging capability increases arbitrage opportunities by storing more energy when the price is low and discharging more hours when the price is high. • Long storage duration allows resource adequacy to be supplied across multiple days to increase reliability and reduce risk. • The stored energy reduces fuel heat rate and GHG emissions, and increases merit, so the LSCC dispatches earlier and longer to increase the plant’s capacity factor and asset value. • The stored energy enables pre-heating and startup of the steam cycle, without operating the gas turbine, to enable fast startup and ramping when dispatched for discharge. • The steam turbine can operate without the gas turbine so it can provide valuable synchronous inertia during charging without consuming fuel. • Fast frequency response and regulation services can be provided during charging using solid-state heater and pump controls to vary the charge power input in response to grid signals. • The LSCC system can be configured for resilience including black start, islanded/micro-grid operation, and even self-recharging of storage using either gas turbine power or gas turbine exhaust heat. The commercialization plan is to add LSCC technology to existing simple cycle gas turbine power plants with the 50MW GE LM6000 aero-derivative gas turbine as the reference design basis. A Techno-economic assessment of the reference design evaluated the benefits (Levelized Avoided Cost of Energy) and costs (Levelized Cost of Energy). The plant definition included all major systems and budgetary vendor quotes. Pintail Power and NexantECA developed the overall cost estimate for the LSCC plant up to the total plant cost level, following the DOE-NETL cost estimate guidelines at AACE Class 3 (-20%/+30%). This includes the equipment cost, bulk material, direct and indirect labor costs to arrive at the bare erected cost. Engineering costs are factored from the BEC and added to it to arrive at the EPC cost. Process and project contingencies were then factored from the EPC cost and rolled-up to yield the total plant cost of $\$$184 million for 1746 MWh of discharge electricity. • At $\$$105/kWh, the reference plant costs less than any of the Energy Storage Systems evaluated by PNNL in 2020 for the Energy Storage Grand Challenge. Operations and Maintenance cost estimates were scaled from combined cycle practice, assuming that the LSCC unit was co-located with and sharing some labor expense with other units, to arrive at $\$$2.2 million per year. Plant economics were evaluated using prices from the ERCOT Day-Ahead Market for calendar year 2019 (excluding the market disruptions from the COVID pandemic and the February 2020 deep freeze event). Assuming economic dispatch in the ERCOT Day-Ahead market, the reference plant capacity factor would have discharged for 2777 hours at 91.9 MW, a 31.66% capacity factor, with a marginal cost of $\$$25.59/MWh, and a LACE of $\$$82.41/MWh. Fixed charges were calculated according to EIA guidelines to arrive at an LCOE of $\$$83.48. The benefit-to-cost ratio of 0.99 suggests that the reference plant would have been cost-effective and competitive in the market. EPRI interviewed selected utilities to gauge the need for, applicability of and interest in the LSCC system. Several utilities are currently managing increased load growth along with the inclusion of increasing levels of renewable generation, putting pressure on conventional generation by requiring increased turndown requirements and ultimately lower capacity factors. All of the utilities interviewed have CO 2 reduction targets in the 2030-2050 timeframe that will severely limit the participation of fossil generation and require better utilization of carbon free generation. While there is limited opportunity for storage in the current markets, the utilities interviewed stated that there will be a substantial need for long duration energy storage in the future given the expected trends. Utilizing an energy storage system will generally be preferred over new gas capacity in some cases, with the capabilities of the LSCC system being a potential option for retrofit to existing simple cycle gas turbine units, allowing them to deliver greater participation in the market with lower carbon intensity. A technology gap assessment and technology maturation plan identified a pilot-scale demonstration as the final step before commercialization. Key gaps to be addressed during the Phase II FEED (Front-End Engineering Design) are component selection and design, commissioning procedures, and operational procedures and the control system for LSCC charging and discharging. The project team has been expanded to include Wood Group PLC as EPC. The proposed Phase II work leads to a pilot-scale engineering demonstration (TRL 6) to be conducted at Southern Company’s Plant Rowan, where the prototype system will perform “all the functions that will be required of the operational system.” The proposed pilot will facilitate commercialization (TRL-9) by scale-up to utility-scale systems integrated with peaking GTs or directly to facility scale systems using industrial GTs. The conceptual design for the pilot plant focuses on the novel integration aspects of LSCC technology. A slipstream of gas turbine exhaust will feed a waste heat recovery unit coupled to a molten salt steam generator heated by stored energy. The pilot is intended to demonstrate all key operating modes of the LSCC technology during charging, discharging and standby. The pilot equipment will be approximately one-seventh scale of the LM6000 commercial target and is expected to have commercial off-ramp potential for facility-scale applications.

01 COAL, LIGNITE, AND PEAT↗

A Double-Signal Retail Pricing Scheme for Acquiring Operational Flexibility from Batteries

Batteries can provide valuable operational flexibility to facilitate the system efficiency. However, there lacks market environments to effectively harness and monetize the value of these assets. Most existing works apply a profit-oriented single-signal pricing scheme, which mixes the value of energy and flexibility together and may ultimately raise the electricity bill. Therefore, this paper proposes a profit-neutral double-signal retail pricing scheme that distinguishes elastic market players (i.e., batteries) from inelastic market players (i.e., inflexible loads) and quantifies the value of energy and flexibility separately. Experimental results indicate that under the incentive provided by the proposed retail pricing scheme: 1) The system efficiency benefit aligns with benefits to both batteries and inflexible loads; 2) Value of operational flexibility, contributing to improve the energy efficiency, can be transparently priced and fairly allocated among batteries; and 3) The dominant role in which inflexible loads play on determining the market price is avoided.

25 ENERGY STORAGE↗

Improved Particle Swarm Algorithm Using Rubik’s Cube Topology for Bilevel Building Energy Transaction

Following the rapid growth of distributed energy resources (e.g., renewables, battery), localized peer-to-peer energy transactions are receiving more attention for multiple benefits, such as reducing power loss and stabilizing the main power grid. To promote distributed renewables locally, the local trading price is usually set to be within the external energy purchasing and selling price range. Consequently, building prosumers are motivated to trade energy through a local transaction center. This local energy transaction is modeled in bilevel optimization game. A selfish upper level agent is assumed with the privilege to set the internal energy transaction price with an objective of maximizing its arbitrage profit. Meanwhile, the building prosumers at the lower level will response to this transaction price and make decisions on electricity transaction amount. Therefore, this non-cooperative leader-follower trading game is seeking for equilibrium solutions on the energy transaction amount and prices. Additionally, a uniform local transaction price structure (purchase price equals selling price) is considered here. Aiming at reducing the computational burden from classical Karush–Kuhn–Tucker (KKT) transformation and protecting the private information of each stakeholder (e.g., building), swarm intelligence-based solution approach is employed for upper level agent to generate trading price and coordinate the transactive operations. On one hand, to decrease the chance of premature convergence in global-best topology, Rubik’s Cube topology is proposed in this study based on further improvement of a two-dimensional square lattice model (i.e., one local-best topology-Von Neumann topology). Rotating operation of the cube is introduced to dynamically changing the neighborhood and enhancing information flow at the later searching state. Several groups of experiments are designed to evaluate the performance of proposed Rubik’s Cube topology-based particle swarm algorithm. The results have validated the effectiveness of proposed topology and operators comparing with global-best version PSO and Von Neumann topology-based PSO and its scalability on larger scale applications.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗

Rubik’s Cube Topology Based Particle Swarm Algorithm for Bilevel Building Energy Transaction

Following the rapid growth of distributed energy resources (e.g. renewables, battery), localized peer-to-peer energy transactions are receiving more attention for multiple benefits, such as, reducing power loss, stabilizing the main power grid, etc. To promote distributed renewables locally, the local trading price is usually set to be within the external energy purchasing and selling price range. Consequently, building prosumers are motivated to trade energy through a local transaction center. This local energy transaction is modeled in bilevel optimization game. A selfish upper level agent is assumed with the privilege to set the internal energy transaction price with an objective of maximizing its arbitrage profit. Meanwhile, the building prosumers at the lower level will response to this transaction price and make decisions on electricity transaction amount. Therefore, this non-cooperative leader-follower trading game is seeking for equilibrium solutions on the energy transaction amount and prices. In addition, a uniform local transaction price structure (purchase price equals selling price) is considered here. Aiming at reducing the computational burden from classical Karush-Kuhn-Tucker (KKT) transformation and protecting the private information of each stakeholder (e.g., building), swarm intelligence based solution approach is employed for upper level agent to generate trading price and coordinate the transactive operations. On one hand, to decrease the chance of premature convergence in global-best topology, Rubiks Cube topology is proposed in this study based on further improvement of a two-dimensional square lattice model (i.e., one local-best topology-Von Neumann topology). Rotating operation of the cube is introduced to dynamically changing the neighborhood and enhancing information flow at the later searching state. Several groups of experiments are designed to evaluate the performance of proposed Rubiks Cube topology based particle swarm algorithm. The results have validated the effectiveness of proposed topology and operators comparing with global-best version PSO and Von Neumann topology based PSO and its scalability on larger scale applications.

Feng, Xiaochun↗

West Africa Battery Energy Storage Systems (BESS) Capacity Building - Discussion of BESS Tariffs: Payment Structures and Case Studies [Slides]

Battery Energy Storage Systems (BESS) are emerging as critical assets for enhancing grid reliability, integrating renewable energy, and enabling system flexibility. Yet, the regulatory and financial frameworks that determine how BESS projects are compensated vary widely across jurisdictions. This presentation explores international case studies - from Honduras, Costa Rica, Chile, South Africa, Mexico, and Brazil - to illustrate how tariff design and payment structures are evolving to support large-scale BESS deployment. The cases highlight a range of ownership and revenue models, including cost-of-service mechanisms, energy and capacity payments, and market-based arbitrage, as well as hybrid approaches under development. The discussion will examine key challenges such as defining remuneration for ancillary services, addressing double charging, and accounting for efficiency losses and degradation over time. By comparing experiences across markets, the presentation identifies emerging best practices for valuing BESS and designing tariffs that align technical performance with economic incentives, providing insights for regulators, utilities, and policymakers pursuing storage integration.

25 ENERGY STORAGE↗

Energy Storage to Enable Electricity as a Commodity

A lack of large-scale economical storage, demand-side flexibility, and the need to instantaneously balance supply and demand cause challenges for electricity as a commodity. With typical commodities, stock from periods of high production can be stored and sold during low production, smoothing demand and supply shocks. In electricity markets, high storage costs have long outweighed benefits, negating convenience yield; no-arbitrage models do not apply, and typical hedging strategies cannot be performed due to infinite carry costs. However, the mechanics of energy trading are changing due to advancing storage technologies, more price-responsive demands, and virtual bidding in electricity markets, shaping a system where electricity storage can be valued on factors other than diurnal arbitrage. We examine the valuation of electricity storage through the lens of commodity markets to assess the impacts of large-scale storage deployment.

energy storage↗

A Fairness-based Distributed Energy Coordination for Voltage Regulation in Distribution Systems

The rapid adoption of photovoltaic (PV) systems combined with falling prices of energy storage is paving the way for a future in which customers could locally supply their energy needs and export surplus power to the grid. However, reverse power flow from multiple sites in a network can cause overvoltage that decreases system reliability and the utilization level of PV system. In this paper, we present a two-stage approach to solve the energy coordination problem in distribution networks. In the first stage, a household with PV and energy storage is optimized to allow customers to adopt different control strategies such as load following and tariff arbitrage. We show that such customer-led control strategies can cause reverse power flows during peak PV generation periods, thus resulting in overvoltage. In such cases, the second stage of the proposed approach is called upon to solve a fairness-based energy coordination problem that can maintain voltages within limits while maximizing the PV generation while fairly distributing the actions among all the PV systems. As a result, each of the resources in the network has equal opportunity to export power and shares the responsibility of voltage regulation. Simulation studies have been carried out on the IEEE 13-bus test feeder to verify the effectiveness of the proposed approach.

Distributed energy resources, fairness, overvoltag↗

Arbitrage and Capacity Firming in Coordination with Day-Ahead Bidding of a Hybrid PV Plant

A hybrid PV plant (HPP) combines a photovoltaic (PV) plant with a battery energy storage system (BESS), which is considered a promising step towards the future of renewable power plants by the U.S. Department of Energy. When the renewable penetration reaches a significant level, a hybrid PV plant can bid in as a controllable thermal plant in the future electricity market. In this study, a bidding and BESS scheduling model is proposed for the HPP. The robust optimization (RO) technique has been utilized to identify the worst-case scenario of uncertainties during the bidding process. To address the overly conservative issue of the single-stage RO, we have decoupled the BESS schedule for arbitrage and PV capacity firming by a two-stage RO formulation. By comparing the output of single-stage RO and two-stage RO, the two-stage RO bids and schedules in a more aggressive manner, which increases the income of HPP. Also, the penalty of under-generation is considered in our model so that the day-ahead bidding decision and arbitrage schedules can be adjusted based on the potential UNDER-GENERATION penalty. Because the proposed model is non-convex and contains multi-stages, the Column-and-Constraint Generation (C&CG) algorithm is applied to the model as the solution. The proposed model has shown better economic performance compared to a state-of-art single-stage bidding method in case studies.

BESS scheduling↗