Economic Analysis of User-end Grid Connected Energy Storage System Based on the Sensitivity Analysis of Battery Price

With the rapid development of the renewable energy system, distributed energy supply system, micro-grid and smart grid, the need for energy storage in the energy market has become more and more imminent. In recent years, the battery energy storage has had a rapid growth. Most of the battery energy storages are installed at the user-end. It is important for the user to evaluate the economy of the ESS systematically for the economic analysis and evaluation of the energy storage system (ESS) can provide guarantee for the profitability of investment project. In this paper, an economic analysis of user- end grid connected ESS is made, which is based on the sensitivity analysis of battery price. The cost composition and revenue model of the user-end ESS are studied systematically, and the IPP, ROI and NII are introduced into the economic analysis and evaluation of the ESS. Based on a case study, the influence of the battery price change on the cost and the economy of the user-end ESS is analyzed through a sensitivity analysis of battery price. Our researches show that the battery cost reduction has a significantly impact on the economy of the user-end ESS. It will be a principal factor to promote the development of the energy storage industry.