IDEAS home Printed from https://ideas.repec.org/a/eee/renene/v127y2018icp896-909.html
   My bibliography  Save this article

Impacts of valuing resilience on cost-optimal PV and storage systems for commercial buildings

Author

Listed:
  • Laws, Nicholas D.
  • Anderson, Kate
  • DiOrio, Nicholas A.
  • Li, Xiangkun
  • McLaren, Joyce

Abstract

Decreasing electric grid reliability in the US, along with increasing severe weather events, have greatly increased interest in resilient energy systems. Few studies have included the value of resilience when sizing PV and Battery Energy Storage Systems (BESS), and none have included the cost to island a PV and BESS, grid-connected costs and benefits, and the value of resilience. This work presents a novel method for incorporating the value of resilience provided by a PV and BESS into a techno-economic optimization model. Including the value of resilience in the design of a cost-optimal PV and BESS generally increases the system capacities, and in some cases makes a system economical where it was not before. For example, for a large hotel in Anaheim, CA no system is economical without resilience valued; however, with a $5317/hr value of resilience a 363 kW and 60 kWh solar and BESS provides a net present value of $50,000.

Suggested Citation

  • Laws, Nicholas D. & Anderson, Kate & DiOrio, Nicholas A. & Li, Xiangkun & McLaren, Joyce, 2018. "Impacts of valuing resilience on cost-optimal PV and storage systems for commercial buildings," Renewable Energy, Elsevier, vol. 127(C), pages 896-909.
    • Handle: RePEc:eee:renene:v:127:y:2018:i:c:p:896-909
    DOI: 10.1016/j.renene.2018.05.011
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0960148118305305
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.renene.2018.05.011?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Han, Xiaojuan & Zhang, Hua & Yu, Xiaoling & Wang, Lina, 2016. "Economic evaluation of grid-connected micro-grid system with photovoltaic and energy storage under different investment and financing models," Applied Energy, Elsevier, vol. 184(C), pages 103-118.
    2. Amrollahi, Mohammad Hossein & Bathaee, Seyyed Mohammad Taghi, 2017. "Techno-economic optimization of hybrid photovoltaic/wind generation together with energy storage system in a stand-alone micro-grid subjected to demand response," Applied Energy, Elsevier, vol. 202(C), pages 66-77.
    3. Prehoda, Emily W. & Schelly, Chelsea & Pearce, Joshua M., 2017. "U.S. strategic solar photovoltaic-powered microgrid deployment for enhanced national security," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 167-175.
    4. Yu, Nan & Kang, Jin-Su & Chang, Chung-Chuan & Lee, Tai-Yong & Lee, Dong-Yup, 2016. "Robust economic optimization and environmental policy analysis for microgrid planning: An application to Taichung Industrial Park, Taiwan," Energy, Elsevier, vol. 113(C), pages 671-682.
    5. Zhao, Bo & Zhang, Xuesong & Li, Peng & Wang, Ke & Xue, Meidong & Wang, Caisheng, 2014. "Optimal sizing, operating strategy and operational experience of a stand-alone microgrid on Dongfushan Island," Applied Energy, Elsevier, vol. 113(C), pages 1656-1666.
    6. Coll-Mayor, Debora & Pardo, Juan & Perez-Donsion, Manuel, 2012. "Methodology based on the value of lost load for evaluating economical losses due to disturbances in the power quality," Energy Policy, Elsevier, vol. 50(C), pages 407-418.
    7. Mandelli, Stefano & Brivio, Claudio & Colombo, Emanuela & Merlo, Marco, 2016. "A sizing methodology based on Levelized Cost of Supplied and Lost Energy for off-grid rural electrification systems," Renewable Energy, Elsevier, vol. 89(C), pages 475-488.
    8. Lee, Mitchell & Soto, Daniel & Modi, Vijay, 2014. "Cost versus reliability sizing strategy for isolated photovoltaic micro-grids in the developing world," Renewable Energy, Elsevier, vol. 69(C), pages 16-24.
    9. Nouni, M.R. & Mullick, S.C. & Kandpal, T.C., 2009. "Providing electricity access to remote areas in India: Niche areas for decentralized electricity supply," Renewable Energy, Elsevier, vol. 34(2), pages 430-434.
    10. Jin, Ming & Feng, Wei & Liu, Ping & Marnay, Chris & Spanos, Costas, 2017. "MOD-DR: Microgrid optimal dispatch with demand response," Applied Energy, Elsevier, vol. 187(C), pages 758-776.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Iolanda Saviuc & Herbert Peremans & Steven Van Passel & Kevin Milis, 2019. "Economic Performance of Using Batteries in European Residential Microgrids under the Net-Metering Scheme," Energies, MDPI, vol. 12(1), pages 1-28, January.
    2. Li, Hong Xian & Li, Yan & Jiang, Boya & Zhang, Limao & Wu, Xianguo & Lin, Jingyi, 2020. "Energy performance optimisation of building envelope retrofit through integrated orthogonal arrays with data envelopment analysis," Renewable Energy, Elsevier, vol. 149(C), pages 1414-1423.
    3. Chowdhury, Tamal & Chowdhury, Hemal & Islam, Kazi Sifatul & Sharifi, Ayyoob & Corkish, Richard & Sait, Sadiq M., 2023. "Resilience analysis of a PV/battery system of health care centres in Rohingya refugee camp," Energy, Elsevier, vol. 263(PA).
    4. Ray, Manojit & Chakraborty, Basab, 2022. "Impact of demand flexibility and tiered resilience on solar photovoltaic adoption in humanitarian settlements," Renewable Energy, Elsevier, vol. 193(C), pages 895-912.
    5. Patrick Balducci & Kendall Mongird & Di Wu & Dexin Wang & Vanshika Fotedar & Robert Dahowski, 2020. "An Evaluation of the Economic and Resilience Benefits of a Microgrid in Northampton, Massachusetts," Energies, MDPI, vol. 13(18), pages 1-28, September.
    6. Kazi Sifatul Islam & Samiul Hasan & Tamal Chowdhury & Hemal Chowdhury & Sadiq M. Sait, 2022. "Outage Survivability Investigation of a PV/Battery/CHP System in a Hospital Building in Texas," Sustainability, MDPI, vol. 14(22), pages 1-14, November.
    7. Hossain, Eklas & Roy, Shidhartho & Mohammad, Naeem & Nawar, Nafiu & Dipta, Debopriya Roy, 2021. "Metrics and enhancement strategies for grid resilience and reliability during natural disasters," Applied Energy, Elsevier, vol. 290(C).
    8. León, L.M. & Romero-Quete, D. & Merchán, N. & Cortés, C.A., 2023. "Optimal design of PV and hybrid storage based microgrids for healthcare and government facilities connected to highly intermittent utility grids," Applied Energy, Elsevier, vol. 335(C).
    9. Gorman, Will & Barbose, Galen & Pablo Carvallo, Juan & Baik, Sunhee & Miller, Chandler & White, Philip & Praprost, Marlena, 2023. "County-level assessment of behind-the-meter solar and storage to mitigate long duration power interruptions for residential customers," Applied Energy, Elsevier, vol. 342(C).
    10. Hervás-Zaragoza, Josep & Colmenar-Santos, Antonio & Rosales-Asensio, Enrique & Colmenar-Fernández, Lucía, 2022. "Microgrids as a mechanism for improving energy resilience during grid outages: A post COVID-19 case study for hospitals," Renewable Energy, Elsevier, vol. 199(C), pages 308-319.
    11. Urbano, Eva M. & Martinez-Viol, Victor & Kampouropoulos, Konstantinos & Romeral, Luis, 2021. "Energy equipment sizing and operation optimisation for prosumer industrial SMEs – A lifetime approach," Applied Energy, Elsevier, vol. 299(C).
    12. Sepúlveda-Mora, Sergio B. & Hegedus, Steven, 2022. "Resilience analysis of renewable microgrids for commercial buildings with different usage patterns and weather conditions," Renewable Energy, Elsevier, vol. 192(C), pages 731-744.
    13. Swaminathan, Siddharth & Pavlak, Gregory S. & Freihaut, James, 2020. "Sizing and dispatch of an islanded microgrid with energy flexible buildings," Applied Energy, Elsevier, vol. 276(C).
    14. Wu, Di & Ma, Xu & Huang, Sen & Fu, Tao & Balducci, Patrick, 2020. "Stochastic optimal sizing of distributed energy resources for a cost-effective and resilient Microgrid," Energy, Elsevier, vol. 198(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sarhan, Ameen & Hizam, Hashim & Mariun, Norman & Ya'acob, M.E., 2019. "An improved numerical optimization algorithm for sizing and configuration of standalone photo-voltaic system components in Yemen," Renewable Energy, Elsevier, vol. 134(C), pages 1434-1446.
    2. Nguyen, Hai Tra & Safder, Usman & Nhu Nguyen, X.Q. & Yoo, ChangKyoo, 2020. "Multi-objective decision-making and optimal sizing of a hybrid renewable energy system to meet the dynamic energy demands of a wastewater treatment plant," Energy, Elsevier, vol. 191(C).
    3. Rahmat Khezri & Amin Mahmoudi & Hirohisa Aki & S. M. Muyeen, 2021. "Optimal Planning of Remote Area Electricity Supply Systems: Comprehensive Review, Recent Developments and Future Scopes," Energies, MDPI, vol. 14(18), pages 1-29, September.
    4. Ridha, Hussein Mohammed & Gomes, Chandima & Hizam, Hashim & Ahmadipour, Masoud & Heidari, Ali Asghar & Chen, Huiling, 2021. "Multi-objective optimization and multi-criteria decision-making methods for optimal design of standalone photovoltaic system: A comprehensive review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 135(C).
    5. Petrelli, Marina & Fioriti, Davide & Berizzi, Alberto & Bovo, Cristian & Poli, Davide, 2021. "A novel multi-objective method with online Pareto pruning for multi-year optimization of rural microgrids," Applied Energy, Elsevier, vol. 299(C).
    6. William López-Castrillón & Héctor H. Sepúlveda & Cristian Mattar, 2021. "Off-Grid Hybrid Electrical Generation Systems in Remote Communities: Trends and Characteristics in Sustainability Solutions," Sustainability, MDPI, vol. 13(11), pages 1-29, May.
    7. Swaminathan, Siddharth & Pavlak, Gregory S. & Freihaut, James, 2020. "Sizing and dispatch of an islanded microgrid with energy flexible buildings," Applied Energy, Elsevier, vol. 276(C).
    8. Milis, Kevin & Peremans, Herbert & Van Passel, Steven, 2018. "The impact of policy on microgrid economics: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 3111-3119.
    9. Adefarati, T. & Bansal, R.C., 2019. "Reliability, economic and environmental analysis of a microgrid system in the presence of renewable energy resources," Applied Energy, Elsevier, vol. 236(C), pages 1089-1114.
    10. Balderrama, Sergio & Lombardi, Francesco & Riva, Fabio & Canedo, Walter & Colombo, Emanuela & Quoilin, Sylvain, 2019. "A two-stage linear programming optimization framework for isolated hybrid microgrids in a rural context: The case study of the “El Espino” community," Energy, Elsevier, vol. 188(C).
    11. Zhou, Jian & Tsianikas, Stamatis & Birnie, Dunbar P. & Coit, David W., 2019. "Economic and resilience benefit analysis of incorporating battery storage to photovoltaic array generation," Renewable Energy, Elsevier, vol. 135(C), pages 652-662.
    12. Haoran Zhao & Sen Guo & Huiru Zhao, 2018. "Selecting the Optimal Micro-Grid Planning Program Using a Novel Multi-Criteria Decision Making Model Based on Grey Cumulative Prospect Theory," Energies, MDPI, vol. 11(7), pages 1-24, July.
    13. Ren, Zhengen & Paevere, Phillip & Chen, Dong, 2019. "Feasibility of off-grid housing under current and future climates," Applied Energy, Elsevier, vol. 241(C), pages 196-211.
    14. Noor, Sana & Yang, Wentao & Guo, Miao & van Dam, Koen H. & Wang, Xiaonan, 2018. "Energy Demand Side Management within micro-grid networks enhanced by blockchain," Applied Energy, Elsevier, vol. 228(C), pages 1385-1398.
    15. Juan Carlos Oviedo Cepeda & German Osma-Pinto & Robin Roche & Cesar Duarte & Javier Solano & Daniel Hissel, 2020. "Design of a Methodology to Evaluate the Impact of Demand-Side Management in the Planning of Isolated/Islanded Microgrids," Energies, MDPI, vol. 13(13), pages 1-24, July.
    16. Jurasz, Jakub & Guezgouz, Mohammed & Campana, Pietro E. & Kies, Alexander, 2022. "On the impact of load profile data on the optimization results of off-grid energy systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 159(C).
    17. Fontenot, Hannah & Dong, Bing, 2019. "Modeling and control of building-integrated microgrids for optimal energy management – A review," Applied Energy, Elsevier, vol. 254(C).
    18. Danny Espín-Sarzosa & Rodrigo Palma-Behnke & Oscar Núñez-Mata, 2020. "Energy Management Systems for Microgrids: Main Existing Trends in Centralized Control Architectures," Energies, MDPI, vol. 13(3), pages 1-32, January.
    19. Munir Husein & Hyung-Ju Kim & Il-Yop Chung, 2020. "The Impact of Policy and Technology Parameters on the Economics of Microgrids for Rural Electrification: A Case Study of Remote Communities in Bolivia," Energies, MDPI, vol. 13(4), pages 1-26, February.
    20. Mandelli, Stefano & Barbieri, Jacopo & Mereu, Riccardo & Colombo, Emanuela, 2016. "Off-grid systems for rural electrification in developing countries: Definitions, classification and a comprehensive literature review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 1621-1646.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:renene:v:127:y:2018:i:c:p:896-909. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/renewable-energy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.