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Techno-economic analysis of bulk-scale compressed air energy storage in power system decarbonisation

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  • He, Wei
  • Dooner, Mark
  • King, Marcus
  • Li, Dacheng
  • Guo, Songshan
  • Wang, Jihong

Abstract

Although the penetration of renewable energy in power systems has been substantially increased globally in the last decade, fossil fuels are still important in providing the essential flexibility required to reliably maintain the system balance. In 2019, more than one quarter of power generation in Europe and over 40% of the UK’s electricity generation was from fossil fuels (mainly gas). For achieving the net-zero greenhouse gas emission target around the middle of this century, these fossil fuels have to be decarbonised in the coming decades. Bulk-scale energy storage has been recognised as a key technology to overcome the reduced dispatchability associated with the decrease of fossil fuels in generation. Taking the UK power system as a case study, this paper presents an assessment of geological resources for bulk-scale compressed air energy storage (CAES), and an optimal planning framework for CAES in combination with solar and wind to replace fossil fuels in the power generation system. The analysis reveals up to 725 GWh of ready-to-use capacity by utilising existing underground salt caverns in the UK. These potential CAES sites with added solar and wind generation equal to the generation from fossil fuels in 2018 can reduce carbon emissions by 84% with a cost increase by 29%, compared to the system in 2018. The results indicate the plausibly achievable cost-effectiveness of CAES as bulk-scale energy storage for power system decarbonisation in countries the geological resources are available.

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  • He, Wei & Dooner, Mark & King, Marcus & Li, Dacheng & Guo, Songshan & Wang, Jihong, 2021. "Techno-economic analysis of bulk-scale compressed air energy storage in power system decarbonisation," Applied Energy, Elsevier, vol. 282(PA).
    • Handle: RePEc:eee:appene:v:282:y:2021:i:pa:s0306261920315208
    DOI: 10.1016/j.apenergy.2020.116097
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