Benefits and risks of energy storage system : engineering and financial background of Hybrid Solar Power System (HSPS)

Abstract

The herein study endeavored to explore energy storage system while identifying the benefits of such system and the risks. The study was founded on two exploration faucets: financial and engineering perspectives. A hybrid system of solar plant coupled with a battery storage system was selected. The operating principle of this system is to save electricity during the day in terms of pumped hydro potential which is then deployed to generate power from a reservoir pump to a reverse pump that runs the power producing turbine. Research established that there are two key benefits offered by HSPS: the cost of energy saved because of the inclusion of a hybrid energy storage system and 2) the extra revenues realized from the storage. Because of the hybridization of the storage options, the study also dwelled in showing the value proposition. Through this the study demonstrated storage options which when their financial benefits are combined, they provide a viable hybrid energy storage system. For the selected HSPS system, it is established in the study that the combination of the reverse pump power and the battery provides financial benefits that outweigh the costs as the prerequisite return on Investment (ROI). The risks are associated with both economic and technological challenges that derail attempts of integrating conventional storage systems with current ones. The latter necessitates a hybridization of various storage technologies to promote the implementation of reliable ESS through the merging of top features of selected technologies. Other risks include technical and operational challenges.