DOES IT REASONABLE TO INCLUDE GRID-SIDE ENERGY STORAGE COSTS IN TRANSMISSION AND DISTRIBUTION TARIFFS? BENEFIT EVALUATION BASED ON ECONOMIC EXTERNALITY

Does it reasonable to include grid-side energy storage costs in transmission and distribution tariffs? Benefit evaluation based on economic externality

Does it reasonable to include grid-side energy storage costs in transmission and distribution tariffs? Benefit evaluation based on economic externality

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Grid-side energy storage has become a crucial part of contemporary power systems as a result of the rapid expansion of renewable energy sources and the rising demand for grid stability.This study aims to investigate the rationality of incorporating grid-side energy storage costs into transmission and distribution (T&D) tariffs, evaluating this approach using economic externality theory.We first develop a comprehensive benefit evaluation framework based on economic externality theory considering system stability, renewable energy integration, end-user, and environmental impacts.Then, using the CPLEX solver, ORG PROTEIN an operating model of grid-side energy storage is constructed with the goal of reducing substation load variations.Through a case study, it is found that grid-side energy storage has significant positive externality benefits, validating the rationale for including grid-side energy storage costs in T&D tariffs.

Sensitivity analysis suggests that with cost reduction and market development, Spa Chemicals the proportion of grid-side energy storage included in the T&D tariff should gradually recede.As a result, this study offers important information about whether it is reasonable to include grid-side energy storage costs in T&D tariffs in China.

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