Integrated Systems Engineering
Ohio State University
Abstract: Recent developments, including the introduction of competitive wholesale markets for electricity services and greater use of renewables, have increased interest in energy storage. Despite these positive developments, energy storage deployment is still hampered by a number of market design, regulatory, and modeling issues. Electricity market design assumes that system assets fall under one of the traditional regulated or competitive paradigm, and cost recovery is determined based on this classification. This approach is not conducive to energy storage, which can provide services straddling these two classifications. Most models used within the electric power industry are not tailored to capture the unique capabilities and characteristics of storage.
In this talk, these issues hampering efficient storage deployment and use are further discussed. We also provide some recommendations on future research directions that can help address these issues.