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MSc Program

Renewable Energy in Central and Eastern Europe

Battery Storage Systems for Electricity


Technology, Applications and Economics of large Projects
in Central and Eastern Europe

A Master’s Thesis submitted for the degree of


“Master of Science”

supervised by
Univ. Prof. Dr. Dipl.-Ing. Reinhard HAAS

Dipl.-Ing. Heinrich THURNER

ID 8425671

Vienna, November 2016


Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Affidavit:

I, Heinrich THURNER, hereby declare

that I am the sole author of the present Master Thesis, ‘Battery Storage
Systems for Electricity: Technology, Applications and Economics of Large
Projects in Central and Eastern Europe’ 92 pages, bound, and that I have not
used any source or tool than those referenced or any other illicit aid or tool,
and that I have not prior to this date submitted this Master Thesis as an
examination paper in any form in Austria or abroad.

Vienna, November 2016 __________________________


Date Signature

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Abstract:

Due to the increasing proportion of renewable energy, more and more


flexible options are necessary in order to flexibly compensate for the
fluctuations regarding electricity generation through wind turbines or
photovoltaics power plants, as a result a stable power supply is ensured.
Energy storage is a means of mitigating this increased variability. Battery
Energy Storage Systems are offering ancillary grid services like frequency
control, energy time shifting or a decrease of the ramp rate of photovoltaic or
wind turbine power plants.
This thesis approaches the technical design and function of a lithium ion
battery, the vanadium flow battery as well as the applications of large Battery
Energy Storage Systems. The 40 largest projects in CEE are listed and
statistically evaluated and the most interesting projects are described in detail
e.g. the smart grid projects and second life batteries projects.
Finally, a large BESS case study was carried out to compare the projects on
the market of control reserve and on the spot market as a feasible study. This
thesis proves that the market of primary control reserve offers an attractive
economic aspect for a large BESS, but it is very difficult to utilise the other
ancillary services in an economical way.
.

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Table of Content:

Affidavit:…………………….………………...…………………….………1
Abstract:.……………………….………...………………………..............2
Table of Content:………….……………………...…………………..……3
List of Figures:…………….………………………………………..………5
List of Tables:..…………….…………………...……………………..……8
List of Abbreviations:…….…………...……...………………...…............9

1. INTRODUCTION: .................................................................................. 11

1.1. General Introduction: ...................................................................... 11


1.2. Motivation and methodical approach: ............................................. 11
1.3. Core objectives and questions: ....................................................... 12
1.4. Structure of the work: ...................................................................... 13
1.5. Categorisation of Energy Storage: .................................................. 13

2. TECHNOLOGY AND APPLICATIONS: ................................................. 15

2.1. Lithium batteries: ............................................................................ 15


2.2. Vanadium Redox Flow Batteries: .................................................... 24
2.3. Applications of battery energy storage systems: ............................. 27
2.4. Frequency stability through active power: ....................................... 28
2.5. Voltage quality: ............................................................................... 31
2.6. Static voltage stabilization (supplied by reactive power): ................ 32
2.7. Dynamic voltage stabilization (supplied by short-circuit power): ..... 34
2.8. Network Congestion Management (Redispatch): ........................... 35
2.9. Black Start, Uninterruptible Power Supply and Peak Shaving:…….36

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

3. LARGE BATTERY ENERGY STORAGE PROJECTS: ......................... 37

3.1. Large BESSs projects located to conventional Power Plant: .......... 42


3.2. Test and Research Projects:........................................................... 43
3.3. Car Battery Use (second life or spare part battery use): ................. 46
3.4. Smart Grid: ..................................................................................... 48
3.5. Geographical distribution of the large BESSs: ................................ 53
3.6. Statistical analysis: ......................................................................... 56

4. ECONOMIC ASPECTS: ........................................................................ 62

4.1. Market of the Control Reserve: ....................................................... 62


4.2. Spot Market: ................................................................................... 65
4.3. BESS Case Study: .......................................................................... 68
4.4. Economic analysis for battery energy storage systems (Lünen,
Walsum, Bexbach, Fenne, Weiher, Henne): ..................................... 74

5. CONCLUSION: ..................................................................................... 77

References / Literature:…….....………………...…………..………………80
Additional Links and References:…………………………...……………...82
Annexes:……….……………………………………………. ……………87-92

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

List of Figures:
Figure 1: Existing storage Projects 2016 (capacity and duration) ................ 14

Figure 2: Capacity for different battery types ............................................... 16

Figure 3: LIB: charging and discharging of a Lithium-ion cell...................... 17

Figure 4: Chemical process in a LIB ............................................................ 18

Figure 5: Comparison of the parameters for different LIB type] ................... 20

Figure 6: Typical specific energy of lead-acid and lithium-based batteries .. 22

Figure 7: Cycle life of a Li-ion cell ................................................................ 22

Figure 8: Discharge of a Lithium sulphur battery.......................................... 23

Figure 9: Chemical process of a lithium air battery ...................................... 23

Figure 10: Chemical process of a vanadium redox flow battery ................... 24

Figure 11: Synchronous Inertial Response, Primary- Secondary and Tertiary


Operating Services ...................................................................................... 28

Figure 12: BESS in Schwerin uses the application POR ............................. 30

Figure 13: Active Power, Reactive Power; Apparent Power ........................ 32

Figure 14: Active Power and Reactive Power .............................................. 33

Figure 15: 15 MW power Li-Ion BESS in Lünen........................................... 42

Figure 16: BESS of batteries of electric cars ............................................... 46

Figure 17: Geographic illustration of the 40 largest BESS projects.............. 53

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 18: Geographic illustration of the 20 largest BESS in the CEE with
labelling (own illustration) ............................................................................. 54

Figure 19: Geographic illustration of the 21-40 largest BESSs in the CEE with
labelling (own illustration) ............................................................................. 55

Figure 20:Increase of the Installed Capacity of the 40 largest BESSs projects


per year; forecasted projects for 2017 (own figure) ...................................... 56

Figure 21: Distribution of the different buttery types for the 40 largest BESSs
(own figure) .................................................................................................. 57

Figure 22: Installed Capacity (%) for the different Battery types of the 40
largest BESSs in the CEE (own figure) ........................................................ 58

Figure 23: Energy distribution for the different Battery types of the 40 largest
BESSs in CEE (own figure).......................................................................... 58

Figure 24: Frequency Regulation Projects for the different Battery types of
the 40 largest BESSs in the CEE (own figure) ............................................. 59

Figure 25: Installed Capacity (%) of the Frequency Regulation Application for
the different Battery types (own figure) ........................................................ 60

Figure 26: Energy Time Shift Projects for the different Battery types of the 40
largest BESSs in the CEE (own figure) ........................................................ 61

Figure 27: Installed Capacity % of the Energy Time Shifting Application for
the different Battery types (own figure) ........................................................ 61

Figure 28: Power Price [€/MW] per week 2011-2016 (own figure) ............... 63

Figure 29: Primary control reserve power in function of the frequency ........ 64

Figure 30: EPEX Spot Market energy prices for electricity .......................... 65

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 31: EPEX Spot Market Prices; Peak and Off Peak (own figure) ....... 66

Figure 32: Charging and discharging time of battery cells in a BESS


according to the Spot Market Price (symbolic values) ............................... 667

Figure 33: Charging and discharging time of battery cells in a BESS


according to the Spot Market Price (symbolic values) ................................. 67

Figure 34: EPEX Spot Market: Average Spread of electricity prices ............ 67

Figure 35: Container, rack and modules (own figure) .................................. 68

Figure 36: Total Capital Cost (€/kW) of Li-ion BESS, (own figure) ............... 70

Figure 37: Energy distribution of the Frequency Regulation Application (%)


for the different Battery types (own figure) ................................................... 87

Figure 38: Energy distribution of the Energy Time Shifting Application (%) for
the different Battery types (own figure) ........................................................ 87

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

List of Tables:
Table 1: Cathode and anode materials of LIB .............................................. 21

Table 2: Applications for Battery Energy Storage Systems .......................... 27

Table 3: 20 Largest BESS in the CEE (own table) ....................................... 38

Table 4: 21-40 largest BESS in the CEE (own table) ................................... 40

Table 5: Investment costs of a Li-ion BESS wth a rated power 1 MW, data
reference, own table .................................................................................... 71

Table 6: Input Parameters of the NPV and annuity calculation for the market
of primary control reserve (own table).......................................................... 72

Table 7: Input Parameters of the NPV and annuity calculation for the market
of primary control reserve and the arbitrage business (own table)............... 73

Table 8: Input Parameters for the economic analysis in the market of primary
control reserve (own table) .......................................................................... 74

Table 9: Input Parameters for the economic analysis in the market of primary
control reserve and in the spot market (own table) ...................................... 75

Table 10: BESS case study calculation in the market of control reserve ..... 88

Table 11: BESS case study calculation in the market of primary control
reserve and in the spot market (own table) .................................................. 89

Table 12: BESS in Lünen economic calculation in the market of primary


control reserve (own table) .......................................................................... 90

Table 13: BESS in Lünen economic calculation in the market of primary


control reserve and in the spot market (own table) ...................................... 91

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

List of Abbreviations:

AP Arbeitspreis
BESS Battery Energy Storage System
BMS Battery Management System
BMWi Bundesministerium für Wirtschaft und Energie
CAES Compressed Air Energy Storage
CEE Central and Eastern Europe
CRF Capital Recovery Factor
EES Electrical Energy Storage
EMS Energy Management System
EPEX European Power Exchange
ESAE European Association for Storage of Energy
GBS Großbatterie System
LCO Lithium Cobalt Dioxid
IQR Inter Quartile Range
LFP Lithium Iron Phosphate
LIB Lithium Battery
LiCoO2 Lithium Cobalt Dioxid
LiFePO4 Lithium Iron Phosphate
LiMn2O4 Lithium Manganese Oxide
LMO Lithium Manganese Oxide
LP Leistungspreis
LT Life Time
LTO Lithium Titanium Oxide
M5BAT Modular Multi-technology Multi-megawatt Medium voltage
Battery energy storage system
MnO2 Mangnese Dioxide
NCA Nickel Cobalt Aluminium

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

NPV Net Present Value


PCS Power Conversion System
POR Primary Operating Reserve
POS Primary Operation Services
RRKW Regionales Regelkraftwerk
SEMS Superconducting Magnetic Energy Storage
SIR Synchronous Inertial Response
SOC State of Charge
SOR Secondary Operating Reserve
StMWi Bayerisches Staatsministerium für Wirtschaft und Medien,
Energie und Technologie
TCM Thermochemical Material
TES Thermal Energy Storage
TOR Tertiary Operating Reserve
TSO Transmission System Operator
UPS Uninterruptible Power Supply

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

1. INTRODUCTION:

1.1. General Introduction:

Renewable energy will play an even greater role as an energy source in the
future. This will result in a reduction in the burning of fossil fuels for electricity
and heat production with the associated CO2 reduction. Global warming and
the dependence on fossil fuels primary energy sources will also be reduced.
Energy production rates from renewable sources such as wind or sun is not
in line with the rate of consumption. Energy storage is used to achieve a
temporal decoupling between energy production and consumption.
With the increasing amount of renewable energy, more and more energy
storage will be needed to compensate for the fluctuating power generated by
wind power and photovoltaics. Only this will ensure a stable power supply.
These challenges can be overcome through a matched energy management,
network expansion or through the use of energy storage.
The electrical power generated in conventional power plants can always be
substantially adapted to the current power demands during production. This
adaption is not possible with wind or solar power plants. In the case of a high
electrical power demand the highest producible amount of power is limited by
the instantaneous wind speed or sunlight. On the contrary, a reduction of an
electrical power output would be a waste of the available power. The result
would be a poorer utilisation of the renewable energy power plant.

1.2. Motivation and methodical approach:

The focus is based on the search for a very relevant theme for the master
thesis. Mrs. DI Theresia Vogel (CEO, Climate and Energy Fund, Austria)
suggested to research a subject concerning energy storage systems. There
are already pumped-storage power plants in Austria, but in contrast to
Germany, large battery storage systems still do not exist at the present time.

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

This technology will be implemented in other regions of the CEE and this will
result in a stimulation of the economy in this area. For this reason, this topic
was chosen: ‘Battery Storage Systems for Electricity, Technology,
Applications and Economics of Large Projects in Central and Eastern
Europe’. The main sources of literature used are from scientific papers or
platforms working on the battery energy storage system. Further literature
derives from diverse companies that operate BESS. The 40 largest projects
were researched with their related applications and then statistical diagrams
were generated from this data. A case study was calculated in order to
illustrate the economic viability of this technology.

1.3. Core objectives and questions:

A survey of the relevant large (within the meaning of large unit, large area or
large capacity) BESS projects in CEE has to be carried out in order to get the
information for further analysis. The particularly focus is on technology,
applications and economical aspects.
This thesis is focused on the following specific questions:-
What are the state of the art technologies and applications of the BESS
projects?
What are the driving factors of BESSs and why do we need them?
Will the number of large energy storage projects increase in the short term?
Which kind of BESS technology will prevail?
What are the technical and economic impacts on the use of energy storage?
What significance will the BESS have in the future?
How can large battery storage systems be implemented most efficiently?
From the above-mentioned questions, we can see that the main purpose of
this thesis is to describe the BESSs and show their importance for the future.

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

1.4. Structure of the work:

The present work is divided into three main chapters, which can be
characterised as follows:
In the first part, the design and function of a lithium ion battery cell and the
vanadium flow battery as well as the applications of large BESSs are
technically described.
In the second part, the 40 largest projects are listed and statistically
evaluated. Some interesting projects are described in detail (e.g. smart grid
projects and second life batteries projects).
In the third part, the economics of BESS in the market of control reserve and
on the spot market are discussed. The case study is calculated and the
results are presented.
The end of this thesis contains the conclusion.

1.5. Categorisation of Energy Storage:

Energy Storage can be grouped to the Electrical Energy Storage and to the
Thermal Energy Storage (see figure 1).
Electrical Energy Storage (EES) systems support a large field of
technological approaches. The biggest benefits are the power supply control
in order to get a better resilient energy infrastructure with cost savings to
consumers. The Electrical Energy Storage includes Electrical storage
(capacitor, coil), Electrochemical Storage (batteries), Pumped Hydroelectric,
Compressed Air Energy Storage (CAES), Rotational energy storage
(flywheels) and Superconducting Magnetic Energy Storage (SMES).
Thermal Energy Storage (TES) or heat storage is capturing heat or cold to
support energy on demand. The Thermal Energy Storage consists of
Sensible Thermal Energy Storage, Latent Thermal Energy Storage,
Thermochemical Thermal Energy Storage and Compact Thermal Energy
Storage.

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

--- Sensible TES stores energy by changing the temperature of a storage


medium (water, air, oil, or solid state).
--- Latent TES: Latent heat storage using phase change materials (PCM) as
well as thermochemical heat storage. This storage method provides much
higher storage capacity than the sensible heat TES.
--- Thermochemical TES: Thermochemical material (TCM) absorbs energy
and is converted chemically into two components (charging), which can be
stored separately (storing). The reverse reaction occurs when the materials
combined together (discharging). Energy is released during this reaction. The
storage capacity of this system is the heat of reaction.
--- Compact TES: Compact Thermal Energy Storage systems are based on
phase change and thermochemical materials. This thermal storage has a
very high energy density

Figure 1: Existing storage Projects 2016 (capacity and duration) [1]


____________________
[1] Sterner (2014): „Energiespeicher – Bedarf, Technologien, Integration“
st
1 edition, 5/2014, Springer Verlag, page 605

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2. TECHNOLOGY AND APPLICATIONS:

2.1. Lithium batteries:

Lithium batteries show the largest market growth of all other batteries and
have successfully displaced the competing systems. Lithium is the lightest
solid element in the chemical periodic table (atomic mass 6,941 g/mol;
density 0.53 g / cm3) and has the lowest electrochemical potential of all
metals (-3.04 V vs. standard hydrogen electrode). The high cell voltage of the
lithium cells allows the construction of batteries with only a single cell.
There are two different types of lithium batteries:
The primary lithium batteries (lithium metal) batteries are non-rechargeable
and therefore intended for single use.
The anode is made of metallic lithium and the cathode is made of
manganese dioxide (MnO2). The primary lithium batteries LiMnO2 are
commercially most widely used.
During discharging the metallic lithium in the anode oxidizes to a lithium ion
and an electron.
Anode (- pole): Li -> Li+ + e- (1)
The cathode reaction (+ pole): MnO2 + Li+ + e- -> LiMnO2 (2)
4 3
Overall reaction: [1] Mn O2 + Li -> Mn O2Li (3)

____________________
[1] Julien (2016): “Lithium Batteries Science and Technology” Available online at
http://www.springer.com/cda/content/document/cda_downloaddocument/9783319191072-
c1.pdf?SGWID=0-0-45-1544368-p177384842 page 41 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The electrolyte is a solution of a lithium salt, e.g. Lithium perchlorate (LiClO 4)


in a mixture of organic solvents.
Lithium secondary batteries (lithium ion batteries) provide multiple reversible
transformation of chemical energy into electrical energy, so that these
batteries can be often used. Lithium ion batteries, unlike conventional
batteries do not have a memory effect (loss of capacity by not complete
loading / unloading) and achieve a high efficiency of up to 95% (ratio of
discharge to charge amount). Rechargeable lithium-ion batteries have a high
specific power (see figure 2) and energy density and have no, or in the case
of lithium iron phosphate only one a low memory effect.

Figure 2: Capacity for different battery types [1]

____________________
[1] Battery University (2016): „Advantages of primary batteries“ available online at
http://batteryuniversity.com/learn/article/primary_batteries checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The cathode side and the anode side of the active material are able to store
the lithium ions reversibly (see figure 3). The negative electrode contains a
carbon modification having a layered structure (e.g. graphite) as an active
material.
With regard to the requirements for energy density, cell voltage, cycle life and
a sufficient dimensional stability of the electrodes so far mainly battery
systems have proven that using a lithium metal oxide type LiXO 2 (X = Co, Ni,
Mn) as an electrode, in particular Lithium Cobaltdioxid ( LiCoO 2, LCO) has
been widespread.

Figure 3: LIB: charging and discharging of a Lithium-ion cell [1]

____________________
[1] Wieboldt (2015): “Techniques for Raman Analysis of Lithium-Ion Batteries” Available
online at http://www.spectroscopyonline.com/techniques-raman-analysis-lithium-ion-batteries
checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 4: Chemical process in a LIB [1]

[2] Anode (negative pole): (4)


Cathode reaction (positive pole): (5)

Overall reaction: (6)

________________________
[1] Tübke (2016): “Lithium Ionen System ” online at
http://www1.ict.fraunhofer.de/deutsch/scope/ae/ion.html checked on 05/2016
[2] Julien (2016): “Lithium Batteries Science and Technology” online at
http://www.springer.com/cda/content/document/cda_downloaddocument/9783319191072-
c1.pdf?SGWID=0-0-45-1544368-p177384842 page 49 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

As electrolyte for lithium secondary cells anhydrous organic solvent (for


example, ethylene carbonate, diethylene carbonate, etc.), as well as
polymers are used. The electrolyte also includes dissolved salts such as
LiPF6 or LiBF4.
The advantages of rechargeable lithium batteries compared to conventional
chemical energy accumulators (lead-acid batteries, nickel-cadmium batteries,
nickel metal hydride batteries) resulting from the electrochemical
performance parameters. The high cell voltage of lithium-ion cells, typically
3.6 / 3.7 V enables the construction of a battery with only a single cell.
Modern lithium-ion batteries can reach an energy density of about 200 Wh/kg
(compared to conventional lead-acid car batteries reach about 30 Wh/kg (see
figure 6)). Increasing applications need increasingly larger storage systems
with more capacity and performance.
The battery modules (consisting of battery cells) are connected parallel and
serial to form a high performance system with the relevant requirements for
current and voltage.
An exact nomenclature for lithium ion batteries is the indication of cathode
and anode material e.g. LCO / C for a Li-cobalt-cell with graphite anode or
LFP / LTO for lithium iron phosphate cell Li-titanium oxide anode.
Abbreviations and properties of cathode materials (see table1) of lithium-ion
batteries:
--- LCO lithium cobalt dioxide (LiCoO2):
--- LFP Lithium Iron Phosphate (LiFePO4):
This type has a lower energy density, but more power, lifetime and safety.
Therefore this battery type is mainly used in electric vehicles (see figure 5).
--- LMO lithium manganese oxide (LiMn2O4):
Advantages exist in terms of low cost as well as higher security.
Disadvantages exist in terms of lifetime.
--- NCA nickel cobalt aluminium oxide Li (Ni0.85Co0.1Al0.05) O2:

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

NCA: Advantages of this material consist of relatively high durability, the


specific energy and the specific power, as disadvantages are relatively high
cost and an increased safety risk to call. This type of battery is important for
grid storage and for the automotive industry. NCA batteries provide a good
life span and high capacity. Disadvantages are the low safety and the high
cost.

Figure 5: Comparison of the parameters for different LIB types [1]

____________________
[1] Julien (2016): “Lithium Batteries Science and Technology” Available online at
http://www.springer.com/cda/content/document/cda_downloaddocument/9783319191072-
c1.pdf?SGWID=0-0-45-1544368-p177384842 page 56 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Abbreviations and properties of the anode materials of lithium-ion batteries:


--- C graphite (C6)
--- LTO lithium titanium oxide (Li4Ti5O12)
This anode material provides good properties for certain applications (high
cycle stability, long calendar life). LTO-based battery cells have a lower cell
voltage, which increases their safety. The batteries are recharged rapidly and
can be operated thanks to their chemical stability in a wider temperature
range. Their energy density is lower than other lithium-ion batteries, their
power density, depending on the cathode material also better. Another
disadvantage that due to the material high costs applies.

Table 1: Cathode and anode materials of LIB [1]

____________________
[1] Julien (2016): “Lithium Batteries Science and Technology” Available online at
http://www.springer.com/cda/content/document/cda_downloaddocument/9783319191072-
c1.pdf?SGWID=0-0-45-1544368-p177384842 page 52 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 6: Typical specific energy of lead-, nickel- and lithium-based batteries [1]

Figure 7: Cycle life of a Li-ion cell [2]

____________________
[1] Battery University (2016): „Types on lithium ion“. Available online at
http://batteryuniversity.com/learn/article/types_of_lithium_ion checked on 05/2016
[2] Wiaux (2013): “Lithium Ion Batteries – Service, life parameters” Available online at
https://www2.unece.org/wiki/download/attachments/8126481/EVE-06-05e.pdf?api=v2
checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Lithium-sulphur batteries comprised of a lithium anode and a sulphur and


carbon cathode, characterized by a very high energy density. The chemistry
would theoretically provide systems with an energy density of 6000Wh/kg but
end of the energy density will be of about 2000 Wh/kg.

Figure 8: Discharge of a Lithium sulphur battery [1]

In the lithium-air battery, the cathode is replaced by air (see figure 9), the
anode consists of lithium. It is still open when lithium-air batteries can be
implemented as a rechargeable system for use as a BESS. The lithium
sulphur and air batteries are at the moment under research and
development.

Figure 9: Chemical process of a lithium air battery [2]

[1] Novak (2013): “Eine neue Generation von Lithium-Batterien rückt der industriellen
Umsetzung näher” Available online at
https://www.psi.ch/media/lithium-schwefel-batterie checked on 05/2016
[2] Girishkumar (2010): “Lithium−Air Battery: Promise and Challenges” Available online at
http://pubs.acs.org/doi/abs/10.1021/jz1005384 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.2. Vanadium Redox Flow Batteries

As electrolytes dissolved vanadium salts are used in sulfuric acid. Vanadium


has four different oxidation states (see figure 10).
Redox (Red for reduction = absorption of electrons, Ox for oxidation =
electron delivery)
A redox flow battery is using two independent liquid circuits with different
electrolytes. An intermediate membrane then allows an exchange of ions.
The energy storage of the electrolytes is outside the cells in separate tanks.
The flow battery has an electrochemical energy storage tank, such as a
traditional fuel cell.

Figure 10: Chemical process of a vanadium redox flow battery [1]

____________________

[1] Buchheim (2014): “Vanadium flow batteries” Available online at


http://www.chemgeo.uni-
jena.de/chegemedia/Institute/ITUC/Praktikum+Versuche+/7_+Vanadium_Redox_Flow_Batte
rie(de).docx page 7 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The amount of energy and power can be changed in this system


independently and the actual tank can be filled manually and the batteries
could in theory be charged that way. The galvanic cell is divided by a special
membrane. The electrolytes of the two half cells flow along the membrane
and a chemical reaction with an oxidation and on the other side of the
membrane a reduction takes place.
[1] Anode: VO2+ + H2 O → VO2+ + 2H + + e− (7)
Cathode: V 3+ + e− → V 2+ (8)
Overall reaction: V 3+ + VO2+ + H2 O → V 2+ + VO2+ + 2H + (9)
The electrodes of the system are generally made of graphite, in order to
maintain a high electrochemical voltage. An ionic solvent is used as liquid
electrolyte.
The electrolyte concentration determines the energy density of the flow
battery. Vanadium, titanium, chromium, and sulphur have proven themselves
here in practice as electrolyte solutions.
Advantages:
--- Flow battery delivers power up to several megawatts.
--- They have a very high efficiency.
--- They can have a huge capacity depending on the liquid storage size.
--- A self-discharge can be almost completely avoided.
The electrode material itself does not chemically react with the electrolyte
and therefore no unwanted discharge can take place.

____________________
[1] Buchheim (2014): “Vanadium flow batteries” Available online at
http://www.chemgeo.uni-
jena.de/chegemedia/Institute/ITUC/Praktikum+Versuche+/7_+Vanadium_Redox_Flow_Batte
rie(de).docx page 7 checked on 05/2016

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Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Memory effects do not occur in redox flow batteries. There are more than
10,000 charge cycles possible, which enables a lifetime of 20 years or more.

There are some disadvantages of the redox flow batteries compared to the
lithium ion batteries:
---The redox flow batteries are much heavier in contrast to lithium-ion
batteries. Assembly and installation is therefore also more expensive.
---The energy density is relatively low compared to lithium ion batteries
(Vanadium-Redox ~ 25Wh/l).
---The liquid storage size is large and the storage for BESS usually takes
place in a whole container.

26
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.3. Applications of battery energy storage systems:

The system services are provided by large and mainly conventional power
plants for the power supply. Alternative providers are needed for the system
services in this time of energy transition. This is especially the case for the
periods of low conventional power feed. An important contribution will take
the BESSs.
The ancillary services are described in table 2 with the possible potentials of
BESSs and their performance in the distribution and transmission network is
shown.

Table 2: Applications for Battery Energy Storage Systems [1]

____________________
[1] ESAE (2015): European Association for Storage of Energy „Activity Report 2015”
Available online at
http://ease-storage.eu/energy-storage/applications checked on 06/2016

27
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.4. Frequency stability through active power:

A constant frequency is a factor for a system-wide balance between


production and consumption. The frequency stability is determined by the
inertial response:
--- Synchronous Inertial Response (SIR) Time: 0 – 5s
The three control or reserve power services are:
--- Primary Operating Services (POS) Time: 5s – 15min
--- Secondary Operating Services (SOR) Time: 30s – 15min
--- Tertiary Operating Response (TOR) Time: 10min – 60min

Control Power [%]

Figure 11: Synchronous Inertial Response, Primary- Secondary and Tertiary Operating
Services [1]

____________________
[1] Sterner (2016): „Energiespeicher, Bedarf, Technologien, Integration“
st
2 edition, 8/2016, Springer Verlag, page 609

28
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Synchronous Inertial Response (SIR):


The object of the transmission system operator is to provide always an
adequate control power, which can be accessed for the compensation of
disturbances of the network. Currently SIR is provided by the rotating masses
in the generators at thermal and hydraulic power plants.
With the increase of renewable energy production it is a decrease of
synchronous inertial response expected. Therefore, alternative providers are
required for synchronous inertial response.
For the provision of SIR the rotors of the wind turbines are used as flywheel
storage and also use of battery storage can provide SIR.

Primary Operating Response (POS) Services:


The primary control power is used to replace the synchronous initial reserve
within a few seconds after a fault. In periods of high renewable supply,
alternative providers for primary control power are required.
Battery storage is technically suitable for the supply of primary control
reserve power, because there is not a large amount of energy required.
The participation in the Market of Primary Operation Services (POS) for the
battery energy power systems can be economically due to falling battery
prices.

29
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 12: BESS in Schwerin uses the application POR [1]

The Secondary Operating Service (SOR) is taking over the full control
reserve power after five minutes. If there is a need for control reserve after 15
minutes, then the Tertiary Operation Service (TOR) is taking over the control
reserve power.
The total demand for secondary operating service and tertiary operating
service will rise due to increasing amounts of fluctuating feeder.

____________________
[1] Sterner 2013: „Energiespeicher für die Energiewende Zusatzkosten vs. Zusatznutzen?“
Available online at
www.energieverein-leipzig.de/wp-content/uploads/2013_Sterner_Uni_Leipzig.pdf
checked on 06/2016

30
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Thermal and hydraulic power plants cannot meet the expected demand for
balancing power at any time and therefore alternative providers are required
to support primary, secondary and tertiary control reserve. BESSs are an
option to provide this lack.

2.5. Voltage quality:

A high voltage quality means that the voltage range stays within the present
voltage band. The voltage quality is influenced by the operator side and by
the client-side. The network operator has to expand the network when the
traffic load is increasing. Grid stabilization is given by static and dynamic
voltage stability.
The voltage quality and voltage stability correlates with the power balance in
the network. The local BESSs raise the voltage quality, because they can
provide active and reactive power. Even short power outages or voltage
imbalances can be compensated by the BESS.
The demands on the BESSs are the fast response time and high efficiency
but only little energy is needed for the voltage stability.

31
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.6. Static voltage stabilization (supplied by reactive


power):

Static stability happens when the system returns after a small disturbance
into the initial state. A locally balanced reactive power is required for the
static voltage stability.

(10)

S[VA] apparent power


P[W] active power
Q[var] reactive power

Figure 13: Active Power, Reactive Power; Apparent Power [1]

____________________
[1] SMA Solar Technology (2015): ‘Technik Kompendium 1’ Available online at
http://files.sma.de/dl/10040/BLINDLEISTUNG-ADE094210.pdf
checked on 06/2016

32
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

In order to keep the voltage and system stability in the power supply grid, a
locally reactive power balance is required. Thermal or hydraulic power plants
and compensation systems previously covered the reactive power demand.
The provision of reactive power has to occur also from other sources in the
future because of the replacement of conventional power plants through
renewable energy generation.
It is possible to produce the decentralized reactive power by wind turbines in
the high voltage level. The production of reactive power by battery storage is
useful on the medium and low voltage level.

Figure 14: Active Power and Reactive Power [1]

The grid operator has the request that the inverters of the power plants are
able to generate inductive or capacitive reactive power and therefore the
voltage in the medium-voltage grid can be kept stable.
____________________
[1] SMA Solar Technology: „Technik Kompendium 1“ Available online at
http://files.sma.de/dl/10040/BLINDLEISTUNG-ADE094210.pdf
checked on 06/2016

33
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.7. Dynamic voltage stabilization (supplied by short-


circuit power)

The short circuit power is that power which would be burned in the entire
upstream network if a permanent short-circuit would be without a power fuse
and no other component would melt or fail. This is only a theoretical value. In
practice the power flow would be immediately interrupted by an automatic
power fuse.
The short-circuit power is the product of the short-circuit current and the
nominal voltage. The short circuit current is not limited by the resistance of a
consumer, but the current is limited only by the system impedance of the
power supply network.
The short-circuit power is defined by the following equation:
2
S=U /z (11)

With the following abbreviations:


S [W] short circuit power
U [V] the rated voltage
Z [ Ω] network impedance
Short-circuit power was only provided by the rotating masses in conventional
power plants. The fast control technology and the adapted power electronics
in decentralized renewable energy power plants and the BESS technology
are able to provide also the short-circuit power.
The process of ‘Durchfahren eines Fehlers’ is also called "Fault Ride
Through". The dynamic grid stabilization causes the voltage stability by little
network faults to prevent unwanted simultaneous shutdown of the infeed
power. This prevents a collapse of the entire network. Power plants have to
provide a defined short-circuit current available for the event of a short circuit
in the public network. The provider has to support a defined reactive current
on in the case of a fault to help resolve the error.

34
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.8. Network Congestion Management (Redispatch)

One part of the energy revolution is to generate more power out of renewable
power plants. This will lead to the closure of thermal power stations. This will
change the positions of the power generation and thus the distance of the
energy transport in the transmission network can become longer. Measures
for the network relief results in reduced or eliminated network bottlenecks.
These measures can be:
--- Expansions for the transmission network
--- Reduction of energy feed-in
--- Redispatch
These measures are services of the network operator to guarantee a safe
operation of the network.
Redispatch measures describe the requirements of the network operator for
changing the connected power plants capacities in order to eliminate
bottlenecks. Power plants stations are instructed to lower their feed, while at
the same time other power plant stations are instructed to increase their feed.
These interventions do not affect the whole balance of energy generation and
load. The power feed decrease by the power plan has to be the same as the
power feed increase of the other power plant. BESSs can also be used as
redispach measure because they are able to store or release energy.
Redispatch due to current: This redispatch is used to avoid or eliminates
the power overload in the network power lines.
Redispatch due to voltage: This redispatch is used to adjust the active
power feed in power plants to get the required reactive power. This kind of
redispatch enables a constant voltage band in the network power lines.

35
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

2.9. Black Start, Uninterruptible Power Supply and Peak


Shaving:

Resumption of power supply (Black start capability): If a serious fault


occurs at any network point then the entire grid can collapse and this is
called a blackout. The network will be restored by a coordinated network
reconstruction. For this reconstruction the power plants need to have the
black start capability. These power plants can cover their own use
independent of the public network. This enables the start of further power
plants. The distances between the coupled power plants should be as short
as possible otherwise impedances get too much influence. The local BESSs
in the distribution network can also contribute to a network restoration. The
communication infrastructure has to operate independently from the public
power grid.

Uninterruptible Power Supply (UPS): The bridging power takes over the
power supply as long as the power plant generates no power supplies or till
the BESS is out of energy. Uninterruptible Power Supplies are often BESS
and they are in use for safety-related installations e.g. hospitals,
telecommunication systems or police stations.

Peak Shaving: This application is a preventive congestion management.


Occurring voltage peaks are temporarily stored in a BESS and this energy is
used at a time when there is a need of energy. This leads to a uniform load
on the power grid. The use of BESSs for the network relief has the benefit of
cuttings off the voltage peaks and therefore the network overload disappears.

36
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

3. LARGE BATTERY ENERGY STORAGE


PROJECTS:
The 20 largest BESS projects in CEE are listed in the table 3 and all projects
are located in Germany. These projects are sorted by the descending
nominal power. The nominal power of the top 20 BESS projects is ranging
from 1 MW to 15MW. The nominal power difference between the top 20
BESSs projects is enormous. The electrical energy storage of the largest 20
BESS projects is in the range between 15 MWh and 0.5 MWh. The values
are similar to the nominal power range because the projects listed in this
table are based on lithium ion cell technology (accept the lead acid project in
Alt Daber and the sodium sulphur BESS project located in Berlin). The large
BESS projects are built directly to a power plant.
The six large BESSs projects by Steag GmbH are shown in table 3 although
only one of them is operational this time in Lünen. This project is described in
more in detail in the following chapter. The other projects of Steag GmbH are
technically equal to that in Lunen and they are already under construction
and they will be operational at the beginning of 2017.
The new battery car storage Project in Herrhausen of Daimler AG will be
operational at the end of this year 2016.
The hybrid project on the island of Pellworm is a Smart Grid solution. This
project is described more in detail.
The column in the table 3 with the name ‘Application most used’ contains the
most important application of the BESS. The applications depend also on the
size of BESS. The projects with more than 1 MW nominal power are rather
used for ancillary services like Frequency Regulation and whereby smaller
BESS projects are more suitable for solutions like Energy Time Shift.
The names of the projects are listed in the column ‘additional information’.
The last column ‘category’ in the table differentiates the BESS projects into
car battery (new and 2nd life), power plant operator or Smart Grid BESSs.

37
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Table 3: The 20 largest BESS projects in CEE (own table)

Battery Energy Storage Systems


Ref. Location Power Energy Invest Battery Equity Owner Battery Application Additional Infos Category
MW MWh mio € Type Supplier most used
Herren- ACCUmotive Frequency New Car Batteries
[1] 15 15 12 Lithium-Ion Daimler AG Car Battery
hausen LG Chem Regulation Storage

Frequency
[2] Lünen 15 7,5 16,7 Lithium-Ion Steag GmbH LG Chem Located to Power Plant PP operator
Regulation

Frequency
[3] Bexbach 15 7,5 16,7 Lithium-Ion Steag GmbH LG Chem Located to Power Plant PP operator
Regulation

Frequency
[4] Fenne 15 7,5 16,7 Lithium-Ion Steag GmbH LG Chem Located to Power Plant PP operator
Regulation

Frequency
[5] Weiher 15 7,5 16,7 Lithium-Ion Steag GmbH LG Chem Located to Power Plant PP operator
Regulation

Frequency
[6] Herne 15 7,5 16,7 Lithium-Ion Steag GmbH LG Chem Located to Power Plant PP operator
Regulation

Frequency
[7] Walsum 15 7,5 16,7 Lithium-Ion Steag GmbH LG Chem Located to Power Plant PP operator
Regulation

Frequency
[8] Lünen 13 13 10 Lithium-Ion Daimler AG ACCUmotive Second Life Batteries Car Battery
Regulation

Frequency Test and Research


[9] Feldheim 10 10 12,8 Lithium-Ion Energiequelle LG Chem PP operator
Regulation Project

Neuharden- Airport Frequency


[10] 5 5 6 Lithium-Ion Upside Group PV Power Plant PP operator
berg Neuhardenberg Regulation

Lithium-Ion e.on, RWTH Aachen Beta-Motion Energy Time Hybrid Researchprojekt


[11] Aachen 5 5 12,5 PP operator
Lead Acid subsidized by BMWi Exide Tech Shift "M5BAT"

Younicos Frequency
[12] Schwerin 5 5 6,6 Lithium-Ion WEMAG AG Power Plants Operator PP operator
Samsung SDI Regulation

ads-tec Frequency connected to power


[13] Dörverden 3 4,5 4 Lithium-Ion Stadtkraft PP operator
Kokam, SKI Regulation grid (TenneT TSO)

Lithium-Ion Bosch Sony Energy Time


[14] Braderup 2,3 3 30* Bürgerwindpark Hybrid PP operator
V-R Flow Vanadis Power Shift

Bosch BMW Frequency


[15] Hamburg 2 2 n.a. Lithium-Ion Vattenfall Second Life Batteries Car Battery
Samsung SDI Regulation

Dresden Drewag Younicos Frequency


[16] 2 2 2,7 Lithium-Ion Located to Power Plant PP operator
(Reick) subsidized by EU LG Chem Regulation

BelElectric Frequency
[17] Alt Daber 1,6 1,1 1,22 Lead Acid Public Located to PV PP PP operator
Exide-Tech Regulation

Lithium-Ion eon SAFT Energy Time Hybrid BESS


[18] Pellworm 1,3 2,16 10 Smart Grid
V-R Flow subsidized by BMWi Gildemeister Shift Renewable P. Plants

Sodium- Younicos Frequency First power trading


[19] Berlin 1,2 6,2 n.a. Vattenfall Gmbh PP operator
Sulfur (Na/S) NGK Regulation project (EEX market)

Smart Grid Energy


[20] Magdeburg 1 0,5 1 Lithium-Ion Frauenhofer SK Innovation Ramping Smart Grid
Storage System

____________________
* The investment includes the costs of the wind farm and the hybrid BESS.

38
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The largest 21of 40 BESS projects in CEE are listed in table 4.


All projects in this group are located in Germany except these four projects:
--- Hungary: Tiszaujvaros is located near a gas fired power plant;
--- Austria: Aspern Smart City Research project in Vienna;
Frankenburg: Zinc Iron Flow 'electrical energy storage award’;
--- Czech Republic: The science and technology park in Budweis;
The nominal power of the BESSs is ranging from 1 MW to 0.03 MW.
There is a huge performance drop within the top 20 - 40 projects.
The largest BESS project of table 4 is located in Völkingen and it is operated
by Steag GmbH. This Smart Grid research project with the name 'LESSY'
has a nominal power of 1 MW. This is the only project of this group that is
used for the application frequency regulation.
The last project that is listed in the table 4 is located in Neumarkt at the
Willibald Gluck-High School in Germany with a vanadium redox flow battery
(30kW/130kWh).
The chemistry of the battery cells in this group is dominated by lithium-ion
technology. Vanadium Redox Flow, Sodium Sulphur, Lead Acid, Zinc Iron
Flow and hybrid battery technology are also represented.
The applications are based on the size of the BESS. The power range of this
group is suitable for the application Energy Time Shift. If there is a power
overload in the grid, then the BESS starts storing the energy and when there
is need for energy, then it is fed to the grid.
All BESSs in the second largest group are Smart Grid projects. The research
project ‘EEBat and Energy Neighbour’ and ‘Web2Energy’ are described more
in detail in this chapter.

39
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Table 4: The 21-40 largest BESS project in the CEE (own table)

Battery Energy Storage Systems


Ref. Location Power Energy Invest Battery Equity Owner Battery Application Additional Infos Category
MW MWh mio € Type Supplier most used
research: Lithium-
Evonik Frequency
[21] Völklingen 1 0,75 4,9* Lithium-Ion Steag GmbH Elektrizitäts-Speicher- Smart Grid
Li-Tec Regulation
System 'LESSY'
Sodium- Energy operational since
[22] Emden 0,8 4,8 n.a. Enercon NGK PP operator
Sulfur (Na/S) Time Shift 07.2009

Tiszaúj- Located to the gas fired


[23] 0,5 1 n.a. Lithium-Ion Tisza Erőmű Kft. Energen Ramping PP operator
város PP

Vanadium Energy Gildemeister energy


[24] Bielefeld 0,26 0,66 1 DMG AG Gildemeister Smart Grid
Redox Flow Time Shift solutions park

RWE Deutschland Renewable Integration


[25] Wettringen 0,25 1 n.a. Lithium-Ion LG Chemical Ramping PP operator
AG (PV Plant)

TU München Energy Research "EEBat


[26] Moosham 0,25 0,17 30* Lithium-Ion Varta Smart Grid
subsidized by StMWi Time Shift Energy Neighbor"

Karlsruhe Insitute of Energy pilot system for the


[27] Karlsruhe 0,25 0,08 n.a. Lithium-Ion Siemens Smart Grid
Technology (KIT) Time Shift building of KIT

Tussen- Vanadium LEW distribution Younicos "Smart Power Flow"


[28] 0,2 0,4 0,6 Ramping Smart Grid
hausen Redox Flow (grid Operator) Gildemeister aviod local grid cong.
AspernSmartCity
Energy
[29] Wien 0,15 0,17 7,9* Lithium-Ion WBV-GPA Siemens Research (ASCR) Smart Grid
Time Shift
GreenHouse
Lithium-Ion Samsung SDI Energy MiniGrid Demonstrator:
[30] Berlin 0,13 0,192 n.a. Qinous GmbH Smart Grid
Aqueous Hy. Aquion Energy Time Shift Hybrid + Diesel Gen.

RWE Deutschland Energy Smart-Operator-Projekt


[31] Kisselbach 0,075 0,15 8** Lead Acid Hoppecke Smart Grid
AG Time Shift 250 test households

Schwab- RWE Deutschland Energy Smart-Operator-Projekt


[32] 0,075 0,15 8** Lead Acid Hoppecke Smart Grid
münchen AG Time Shift 250 test households

Lithium-Ion HSG AG Younicos Energy Hybrid: 'Web2Energy'


[33] Darmstadt 0,07 0,24 5* Smart Grid
V-R Flow subsidized by EU Vanadium corp Time Shift Smart Grid Project

Franken- Zinc Iron Energy electrical energy


[34] 0,064 0,107 n.a. Blue Sky ViZn Energy Smart Grid
burg Flow Time Shift storage' (ees) award
roof mounted PV, 'Zero
Stadtwerke Münster Qinous Energy
[35] Münster 0,055 0,11 13,7* Lithium-Ion Emission Urban Smart Grid
subsidized by EU Samsung SDI Time Shift
Bus System - ZEUS'
Saar- Qinous Energy BESS for a large
[36] 0,055 0,11 n.a. Lithium-Ion n.a. Smart Grid
brücken Samsung SDI Time Shift company

Süwag Energy PV + CHP power plant


[37] Kelsterbach 0,05 0,135 1,8* Lithium-Ion Bosch Smart Grid
subsidized by EU Time Shift for 180 houses 'Enka'

Wincher- RWE Deutschland Energy Smart-Operator-Projekt


[38] 0,045 0,06 8** Lithium-Ion Hoppecke Smart Grid
ingen AG Time Shift 250 test households

Vanadium Science, Technology Energy building integrated PV


[39] Budweis 0,03 0,13 0,11 Gildemeister Smart Grid
Redox Flow Park Time Shift at university campus

Vanadium Willibald-Gluck building integrated PV


[40] Neumarkt 0,03 0,13 0,11 Gildemeister Ramping Smart Grid
Redox Flow Highschool at the W-G Highschool

____________________
* The investment includes the costs of the whole Smart Grid project.
** The investment of 8 million Euros includes the costs of the Smart Grid Projects in
Kisselbach, Schwabmünchen and Wincheringen.

40
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The most used application is the frequency regulation. The control reserve
compensates the imbalance between generation and consumption within the
grid. The challenges for this balancing system are the expansions of
renewable energy, because their energy generation is difficult to predict. The
increasing amount of solar and wind energy leads also to the reduction of
conventional power plants. The optimal use of control reserve through wind
and PV power plants in combination with BESSs can avoid the expensive up-
and downward adjustments of conventional power plants.
The largest BESS Projects consist of lithium-ion cells because the production
of the Lithium-ion batteries has reached a high quantity and quality level.
These are reasons for using them in the market of primary control reserve.
The state of charge (SOC) for lithium ion cells can be determined by
mathematical algorithms. A continuous monitoring of the cell voltage and a
sophisticated battery management system (BMS) is necessary to ensure a
safe operation. The BMS cares for the optimal charge and discharge cycles
and therefore the maximal operating life time is guaranteed.
A balancing battery management system that can uniformly charging or
discharging all the cells, can contribute significantly to a slow the aging
process. The production processes are standardised, so that the quality is
well established. The batteries are recyclable to a high degree, so that the
environmental risk is low. Lithium iron phosphate (LiFePO4) is currently the
most used lithium technology in large storage units.

41
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

3.1. Large BESSs projects located to conventional Power


Plant

STEAG GBS The construction of six BESSs is done under the project name
"STEAG GBS (Großbatterie Systeme)" at the power plant sites in North
Rhine-Westphalia and Rhineland-Palatinate (Lünen (see figure 15), Walsum,
Bexbach, Fenne, Weiher and Herne). These BESSs provide about 10,000
households per day with electrical power. The commissioning of the six
BESSs in Herne, Walsum, Bexbach, Fenne and Weiher is planned for the
period from mid-2016 to early 2017. The BESS in Lünen is already
operational with a rated capacity of 15 MW. These BESS projects together
have a rated capacity of 90 MW.

Figure 15: 15 MW power Li-Ion BESS in Lünen [1]

____________________
[1] STEAG Energy Services GmbH (2016): “Foto STEAG Grossbatteriesystem“; available
online at http://www.steag-energyservices.com/fileadmin/user_upload/www-steag-
com/presse/pressemeldungen/image/Foto_STEAG_Grossbatteriesystem_02.jpg
checked on 08/2016

42
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

STEAG will rapidly increase the security of the electrical power supply in
these regions with use of these BESSs. The project is realized in
collaboration with LG Chem and Nidec ASI (a company for electrical motors
and generators). The BESS is used by STEAG for the generation of primary
control power. The six plants can compensate unforeseen voltage or
frequency fluctuations in the grid.

3.2. Test and Research Projects:

Feldheim: Test and research Project


The focus of this research project in Feldheim is the development of a highly
efficient BESS to generate control reserve and grid stabilization (RRKW -
Regionales Regelenergie Kraftwerk). The name of this project in Feldheim is
SDL Batt ‘Systemdienstleistung Battery’. The BESS testing equipment
consists of an innovative lithium-ion battery system of 10 MW power for the
generation of the ancillary services with an electrical energy of 10 MWh. In
addition to the measurements on the large-scale battery, tests are also done
on individual battery cells to get performance and aging data. Micro cycles
(fast change of charge / discharge of the battery cells) occur particularly by
operating the application of primary control reserve. One aim of this research
project is a measurement-based lifetime prediction for the lithium-ion cells.
The increasing feed-in of electricity from renewable energy sources leads
long-term to the use of storage systems for balancing the demand and
production of the electric energy.
The 10 MW BESS test and research unit is operated and installed by Energy
GmbH. The storage efficiency is approximately 90% (this includes the entire
system with batteries and inverters).

43
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The testing and researching of project has the focus on following points:
---The net converter (Vollumrichtersytem) allows the generator to operate
under variable speed
---An innovative conversion system for the connection to the grid
---Umbrella management for the generation of smart energy
---Interface to the transmission grid
---Energy optimization (efficiency)
---Economic optimization (cost analyses)
---Dimensioning the system in terms of performance and capacity for the
different ancillary services
The provision of ancillary services in the conventional power plants lead to a
"must-run" (high minimum operation without potential of lowering the feed-in
power). These conventional power plants in combination with high feed-in of
renewable energy sources give a system conflict. A solution is renewable
energy generation with BESSs that provides ancillary services in order to
stabilize the grid.

Aachen: Test und Research Project ‘M5BAT’


(Modular Multitechnology Multi-Megawatt Medium voltage BESS)
The M5BAT project in Aachen is a research project that includes planning,
building and operating a 5 MW hybrid BESS. The project partners are RWTH
Aachen University, E.ON, SMA Solar Technology and GNB Industrial Power.
It is subsidized by BMWi. The system consists of three different battery
technologies that include lithium-ion, lead-acid and sodium-nickel-chloride-
batteries. The aim is to compare these different technologies and to find
advantages for each technology and to optimize storage operation in terms of
thermal or electrical losses and lifetime of the whole system. Various
applications such as control reserves or trading in the arbitrage market are
being investigated in this project to find a way to operate the BESS
economically.

44
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

An Energy Management System (EMS) was developed for this project to


enable a safe and reliable BESS operation. Therefore data of the Battery
Management System (BMS) and of Power Conversion System are needed.
The EMS is able to operate the BESS within defined voltage, current and
temperature limit. If the values exceeding these thresholds the batteries are
switched off by the BMS.
Planning a BESS is an intensive business because there is a lack of
standardization. Standards need to be defined by KPIs (Key Performance
Indicators): safety of battery technologies, building requirements and
communication signals for an Energy Management System. The planning of
a BESS project cause a significant share of the BESS project costs. Several
applications can run economically if the planning and the battery cell costs
can be reduced in the future. The falling costs for battery cells are also driven
by the development of electric mobility. These developments will also
contribute to a profitable BESS project.

45
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

3.3. Car Battery Use (second life or spare part battery


use)

Herrenhausen (Daimler): Spare part battery modules as a BESS:


Daimler AG, Accumotive and Enercity will establish till end of 2016 a BESS in
Herrenhausen. Around 3000 Lithium-ion modules are connected together in a
storage facility to create a BESS. These modules are spare parts for the smart
electric drive vehicle fleet (see figure 16). The 15 MW power BESS plant will be
one of the largest in Europe. The energy output of this BESS will be traded in the
market of primary control reserve. The replacement batteries are creating a living
storage. This benefit for the car battery supplier and for the power supply
company contributes to an attractive business case. This business model
contributes to the stabilization of the power grid and also to the economy of
electro mobility by trading electrical power on the market of primary control
reserve.

Figure 16: BESS of batteries of electric cars [1]

____________________
[1] Daimler AG (2016): “Bild Daimler AG “; available online at
http://www.heise.de/newsticker/meldung/Joint-Venture-um-Daimler-baut-Stromspeicher-aus-
Akkus-von-Elektroautos-2869336.html?view=zoom;zoom=1 checked on 07/2016

46
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

A lithium ion battery needs a controlled charging and discharging process during
the storage period. The battery modules in the BESS are immediately usable in
the case of a replacement of modules that are needed in electric cars. Otherwise
the storage without a battery management system causes a total discharge of
the battery modules, which can lead to a defect to battery cells. The long-term
storage for the replacement batteries without a spare part use in a BESS causes
high operating expenses. The battery management system ensures that the
battery modules have the optimum temperature during the charging and
discharging cycles of the battery modules.

Lünen (Daimler): Second Life Batteries


The largest second-use BESS in the world will be operational end of 2016 in
Lünen. This project is a cooperation between Daimler AG, the Mobility House AG
and GETEC. REMONDIS SE is responsible for recycling of the batteries after
their lifetime. The motto for this project is 'E-Mobility thought to the end'. The
benefit of this project is the use of second life batteries from electric cars. The
used battery modules of the vehicles are fully operational in the BESS because
the low power losses have only minor importance when used in the battery
power plant. This BESS incorporates the used batteries of the smart electric
vehicles and connects them to a total power of 13 MW. This second life of the
modules can operate efficiently another ten years. The reuse of the lithium-ion
modules in the BESS doubles the commercial service life of the batteries.
The project includes the whole battery value creation of the used car battery
modules in the BESS and the recycling process that feeds back the raw material
into the battery production cycle. The electrical energy output of this BESS will be
traded in the primary balancing power market. This BESS project is an important
step to a successful energy transition.

47
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Hamburg (BMW, Bosch): second life Batteries


The other Second Life Batteries BESS project is realized in Hamburg. This is
the cooperation between the car manufacturers BMW, BOSCH and the
energy provider Vattenfall. About one hundred used batteries of the electric
vehicles are connected together in the battery power plant. The power output
of 2 MW is used in the market of control reserve to compensate the short-
term fluctuations in the power grid. Bosch takes over the integration of the
batteries for the power plant and for the battery management system. The
aim is to provide a maximum durability and performance of the second life
batteries through an innovative control algorithm. The second life batteries
project is a perfect combination for the battery modules between electrical
mobility and electrical power storage. These are two key elements in the
energy transition.

3.4. Smart Grid

A smart grid is an electrical grid that can integrate all electrical power load
actions of the producers and the consumers. The effect is a sustainable,
ecological, economical and reliable electrical power supply. An intelligent
communication system has to be supported by a data network. Smart grids
have significant advantages to the grid behaviour.

Darmstadt: Smart Grid ‘Web2Energy’ [1]


The Smart Grid project includes battery energy storage in Darmstadt and it
called Web2Energy.
The challenge of this project Web2Energy is to provide Smart Meters, a
Smart Energy management system, a control centre for the grid operator and
a communication network.
____________________
[1] Web2Energy (2013): “The intelligent energy network of the future“; available online at
www.web2energy.com checked on 07/2016

48
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

For this hybrid BESS project, Younicos developed a Lithium-Ion storage unit
(5kW/4kWh) with a rated power of 5 kW and the Vanadium Redox Flow
battery (10kW/100kWh) supplied by Vanadium Corporation. Ten Lithium
storage units and two Vanadium-Redox-Flow Batteries are distributed within
this project. This Smart Grid project shows how intelligent storage systems,
energy demand and generation can be coordinated in order to create space
for more renewable energy.

Following three milestones are very essential for this project.


---Smart Meter: All customers within this project are equipped with smart
meters. These innovative features are the remote reading of all metered
values. This includes the estimated bill and the customer can benefit from
the market energy prise.
---Smart Energy Management: All power producers, BESS and controllable
loads within this smart grid are pooled together to a so called virtual power
plant by the Smart Energy Management. The power generation and
consumption can be balanced and the power fluctuations within the grid
are minimized.
---Smart power distribution in the grid: Most of the power supply interruptions
occur in the low voltage or in the medium voltage distribution grid. It is
possible to get remote access to the fault part of the grid for recovery with
the smart power distribution control system. The benefit is to shorten the
downtime of the power supply because a manual service on site takes at
least 60 minutes.

49
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Smart Region Pellworm: Smart Grid


The Smart Grid Project on the island Pellworm is subsidized by BMWi. It is a
test and research project that includes a high share of renewable energy
generation in combination with a hybrid BESS based on lithium-ion battery
and vanadium flow battery technology. It is able to cover there about 90
percent of the energy consumption from renewable electricity generation.
The photovoltaic power plants have a nominal power generation of 770 kW
and in addition 300 kW of a wind power plant. The hybrid BESS consists of a
560 kW / 560 kWh Lithium based battery from the company SAFT batteries
and 200 kW / 1600 kWh vanadium redox flow battery supplied by
Gildemeiser.
The next step of this project will be to integrate the private roof-mounted
photovoltaics systems into the Smart Grid.
The Energy Management System controls and regulates an optimal electrical
power flow in the Smart Grid. This includes a reduction of the electrical power
load in the grid and the regulation between the generated and stored energy
of the hybrid BESS. The weather forecast data are also considered for the
renewable power generation in the Energy Management System.
Following points are essential for this project:
---The economic potentials of renewable power plants and hybrid BESS in
the market of control reserve and in the spot market
---Determination of useful application:
ancillary services and energy time shifting
---Cost reductions for the grid operator
---Benefits of decentralized private roof mounted PV in combination with a
hybrid BESS

50
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

An essential point of this project Smart Region Pellworm is to make this


concept usable also for other destinations (transferability). Therefore regions
with a high percentage of renewable energy generation are in the focus for
the next projects in the future.
A major goal is also to establish an information and communication system
that incorporates all technical units within the Smart Region Pellworm in an
appropriate way. The data network is designed and constructed for reliability
and speed of the data transmission.

Smart Grid Project ‘EEBatt’ with the BESS field test ‘Energy Neighbour’
in Moosham (Bavaria):
The EEBatt project is subsidized by StMWi (Bayerisches Staatsministerium
für Wirtschaft und Medien, Energy und Technologie). The project partners
are the TUM (Technical University of Munich), the grid operator Kraftwerke
Haag and the Battery cell provider VARTA Storage.
EEBatt is broad test and research project that covers battery cell and a
battery management system.
Battery Cell Research: The focus is a basic research in the field of the
electrode design to increase the performance and lifetime of the lithium-ion
cell. A Lithium-iron Phosphate cathode (LFP) and the graphite or lithium titan
(LTO) anodes are used in the cell for this research. Impedance, charge and
discharge curves are evaluated.
Battery Management System (BMS): Core function of BMS is to keep the
individual serial cell blocks of the modules in a SOA (Safe Operation Area)
defined by the allowed cell voltages, temperature limits and the maximum
charging and discharging level. Each individual cell voltage and temperature
is determined by the variables as State of Charge (SOC) and State of Health
(SOH).

51
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Field Test 'Energy Neighbour' [1]


The BESS is equipped with self-developed cells by TUM and VARTA
Storage. The BESS is able to cut off the peaks that are generated by the
photovoltaic systems and it is also able to balance the electrical power
consumption caused by the consumers. The energy content of the BESS is
200 kWh with the electrical power of 250kW. The BESS consists of eight
racks with thirteen battery modules and the battery management system.
One module consists of 192 battery cells. Each rack has its own inverter. If
one rack ages faster than expected, it can be easily be replaced. This BESS
increases the self-sufficiency level up to 25% in the low voltage grid in
Moosham. The transformer load can be reduced by more than 40%. The
BESS prevents further investments to new solar system and to the
transformer station because the power load is balanced. The 300 kW of
installed photovoltaic power and a transformer capacity of only 250 kVA are
typical representative values for rural area and therefore this concept is
usable also for other destinations. Primary control reserve can also be
offered to get revenue out of the BESS and to support the stability of the grid
frequency.

____________________
[1] Prof. Dr.-Ing. Jossen (2015): “Interdisziplinäre Energiespeicherforschung TU München“;
available online at: www.eebatt.tum.de/startseite/ checked on 08/2016

52
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

3.5. Geographical distribution of the large BESSs:

The geographical distribution of the largest BESS projects is illustrated in


figure 17. All projects are located in Germany except these four projects: the
Hungarian BESS project in Tiszaujvaros is located to a gas fired power plant,
the Austrians with the Aspern Smart City Research project in Vienna and the
zinc iron flow BESS project in Frankenburg and the Czech project in the
science and technology park in Budweis with the vanadium redox flow
battery solution.

Figure 17: Geographic illustration of the 40 largest BESS projects in CEE (own illustration)

53
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

All BESSs projects are presented with the nominal power in the range
between 1 MW and 15 MW (see figure 18). The green dots represent the
smaller projects and red dots represent the large BESS locations with 15MW.
All large projects are located in northern and eastern Germany. These are
precisely the areas with the overproduction of electrical generation. The
situation is negatively impacting the north of Germany by increasing the
number of new on and off shore wind farms. The Battery Energy Storage
Systems are able to prevent this trend against the imbalance between energy
generation and consumption in the future.

Figure 18: Geographic illustration of the 20 largest BESS in the CEE with labelling (own
illustration)

54
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The largest 21 - 40 BESSs projects are geographically illustrated in figure 19.


All of them are Smart Grit or Smart City projects except the Sodium Sulphur
based BESS in Emden operated by Enercon and the Lithium Ion based
BESS in Hungary.

Figure 19: Geographic illustration of the 21-40 largest BESSs in the CEE with labelling (own
illustration)

55
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

3.6. Statistical analysis:

The increase of the installed capacity of the battery storage systems of the
40 largest projects per year is shown in figure 20. The large storage projects
that will be operational in 2017 are taken into the account because they are
already under construction. The second use Batteries of the car industry and
the expansion of six locations by operated Steag (90 MW) have a very big
influence on the annual installed capacity.

Figure 20:Increase of the Installed Capacity of the 40 largest BESSs projects per year;
forecasted projects for 2017 (own figure)

56
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 21: Distribution of the different buttery types for the 40 largest BESSs (own figure)

25 BESSs of the 40 largest projects are using the lithium cell technology. The
six hybrid BESSs projects are also equipped with lithium cells and
additionally with the battery flow technology (see figure 21).

The installed capacity of lithium cell based projects of the 40 largest BESS
projects has already reached 95% (see figure 22). Most of the large BESSs
participate on the market of primary control reserve and therefore it is
important to deliver the full power within a few seconds up to 15 minutes. In
this market there are no high energy levels required. The lithium cell
technology is the most suitable one for the control reserve application.
The BESSs projects are dominated by of the Lithium cell technology in terms
of number of projects, installed power and electrical energy. The statistical
evaluation can be seen in the following pie charts.

57
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 22: Installed Capacity (%) for the different Battery types of the 40 largest BESSs in
the CEE (own figure)

The flow battery technology provides just a low electrical power level of all
battery technologies with 3% (see figure 22) but a higher electrical energy
level with 9% (see figure 23).The reason is the use of flow battery
technology, which increases the amount of energy accordingly.

Figure 23: Energy distribution for the different Battery types of the 40 largest BESSs in CEE
(own figure)

58
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Frequency Regulation Projects:


The figures 24-25 show the largest BESS projects with different battery types
that are using the main application frequency regulation. 17 projects of the
largest 40 BESS use the application frequency regulation (see figure 24). 15
of these projects are based on Lithium-ion battery technology.

Figure 24: Frequency Regulation Projects for the different Battery types of the 40 largest
BESSs in the CEE (own figure)

98% installed capacity of the BESSs projects that provide the application
frequency regulation are based on Lithium-ion technology (see figure 25).
The remaining 2% installed capacity is shared by hybrid and lead acid battery
technology.

59
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 25: Installed Capacity (%) of the Frequency Regulation Application for the different
Battery types of the 40 largest BESSs in the CEE (own figure)

Energy Time Shift Projects:


The figures 26-27 show the largest BESS projects with different battery types
that are using the main application energy time shift. 18 projects of the
largest 40 BESS use the application energy time shift (see figure 26), seven
of these projects are based on Lithium-ion battery technology, five are based
on the hybrid battery technology and the remaining six projects are based on
sodium -sulphur, lead-acid and hybrid battery technology
The proportion of hybrid, sodium-sulphur and flow battery technology is
significantly higher for the application Energy Time Shifting than for other
applications (see figure 27). The flow battery technology has the most benefit
by storing and delivering energy. Only the storage tank with the electrolytes
has to be enlarged to increase the output of the electrical energy but the
nominal power stays the same.
The largest lithium based BESSs are not included in figure 26-27 because
they are used for the application Frequency Regulation.

60
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 26: Energy Time Shift Projects for the different Battery types of the 40 largest BESSs
in the CEE (own figure)

Figure 27: Installed Capacity % of the Energy Time Shifting Application for the different
Battery types of the 40 largest BESSs in the CEE (own figure)

61
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

4. ECONOMIC ASPECTS:
4.1. Market of the Control Reserve

A constant balance between electricity demand and generation is important


for a stable operation of the power grid. The transmission system operators
(TSO) have the responsibility to provide the grid with control power to ensure
a reliable power supply for the customers. A demand for the control reserve
is given as soon as the sum of the current feed-in is different from the current
consumption. Deviations are caused on the consumer side by fluctuations of
electrical power consumption and on the other side due to disturbances e.g.
power plant outages or ramping of the renewable power plants. A lack of
electrical generation or an excess of consumption power leads to a frequency
drop in the power grid and on the other hand an excess of electrical
generation or a decrease of power consumption increases the frequency of
the power grid.
The aim of the control reserve activation is to keep the frequency of 50 Hz
within a narrow tolerance range. This requires the use of different control
reserve types like primary control reserve, secondary control reserve and
minute reserve also called tertiary control reserve. The primary control
reserve has the most economic benefit for the BESS and therefore just this
control reserve type is considered in the following example of an economic
BESS case study.
Primary control reserve has to be automatically activated within 30 seconds
and the electrical power has to be provided up to 15 minutes.

62
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 28: Power Price [€/MW] per week 2011-2016 (own figure)

The marketplace of the primary control reserve is pooled together for Austria,
Germany, Switzerland, Belgium and Netherlands at: www.regelleistung.net

Market of primary reserve control: The power price (LP Leistungspreis) is


valid during the tender period for one week. The payments are done only for
the power price (see figure 28) after the tendering. No additional payments
are done for the energy price (AP Arbeitspreis) at all.
It is possible to exceed the required primary control reserve power up to 20%
(see figure 29). This overachievement can be used to get faster the optimal
state of charge (SOC) of the battery storage. If a negative provision of control
power is required, the battery can be charged with 120% of the required
primary control reserve power. This is useful, when the (SOC) is very poor.
The benefit is for the grid and for the BESS operator.

63
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 29: Primary control reserve power in function of the frequency [1]

Another operating strategy is the utilization of the dead band (see figure 29).
If the grid frequency is within the dead band no PRL is required. During this
time, it is useful to charge or discharge the battery in an optimal SOC.
It can be charged when the frequency is in the positive dead band range (50
Hz and 50.01 Hz). The BESS can be a discharged when the frequency is in
the negative dead band range (49.99 Hz to 50 Hz).

____________________
[1] Myrzik (2015): „Herausforderungen und Lösungsansätze bei der Erbringung von
Primärregelleistung durch Energiespeicher“ page 3; available online at:
https://eldorado.tu-dortmund.de/bitstream/2003/33979/1/S02.1.pdf checked on 06/2016

64
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

4.2. Spot Market

The Spot Market is the marketplace for short term deliverable (day ahead)
electrical power (see figure 30). The European Power Exchange Spot Market
(EPEX SPOT) (www.epexspot.com) is the marketplace for the countries of
Germany, France, Austria and Switzerland.
Arbitrage: The price difference of the electricity markets is the background for
the arbitrage. BESSs generate the most income, if the difference between
electricity peak price and electricity off peak price (see figure 31) is at the
maximum. The difference between these prices is called the spread of the
electricity price.

Figure 30: EPEX Spot Market energy prices for electricity [1]

____________________
[1] European Power Exchange Spot Market (EPEX) (2016): “EPEX - Spotmarkt Phelix Base
August 2015 - August 2016” available online
athttp://vik.de/tl_files/downloads/public/eex/Spotmarkt.pdf checked at 09/2016

65
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The revenue of each discharging cycle of the battery modules in the BESS is
the difference between the peak and off peak price (see figure 31) but the
efficiency losses of the BESS has also to be considered.

Figure 31: EPEX Spot Market Prices; Peak and Off Peak (own figure)

The Peak load covering hours are beginning at 9 and ends at 8 pm.
The Off-Peak load has two time blocks and they are covering the hours
between 1 am to 8 am and from 9 pm to 12 pm. The Base load is covering
the hours from 1am to 12 pm. (Average of the day price)
The figure 34 illustrates the monthly average spread between the peak load
and the off peak load. The average spread price from 10/2015 – 9/2016 is
10.08 €/MWh. The spread price is assumed with 10 €/MWh in the
calculations of the BESS case study (see table 7) and for the Economic
analysis for BESS in Lünen (see table 10).

66
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 32: Charging and discharging time of battery cells in a BESS according to the Spot
Market Price (symbolic values) [1]

Figure 33: EPEX Spot Market - Average Spread of electricity prices (own figure)

____________________
[1] Prof. Dr. Dirk Uwe Sauer (2015): „Planning of Grid-Scale Battery Energy Storage
Systems: Lessons Learned from a 5 MW Hybrid Battery Storage Project in Germany”
page 3; checked on 6/2015 available online
http://www.battcon.com/PapersFinal2015/18%20Thien%20Paper%202015.pdf

67
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

4.3. BESS Case Study:

Configuration of a BESS in a container:


For this study a rack of 17 battery modules is chosen with 112kW power, 112
kWh energy, 128 Ah Capacity and 876 V Nominal Voltage.
The maximum amount is 32 racks per container. Nine fully equipped racks
are chosen for this configuration to get a rated capacity of 1.009 MW (it is
rounded to 1 MW Rated Capacity in the calculation).

Figure 34: Container, rack and modules (own figure)

Following formulas are used in the economic calculation:


The Net Present Value (NPV) and the Annuity are calculated for the
investment horizon of 20 years and according to following equations:
NPV [€] = Sum of discounted annual cash flows (annual net inflows minus
investment outflow) over the investment horizon (T)
The NPV Net Present Value is the present value of an investment with the
discounted sum of cash flows. The NPV is an important factor to describe the
profitability of an investment of the project. C0 is the initial investment and it
has a negative cash flow.

(12)

68
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

(13)
C0 = Initial Investment
C = Cash Flow
r = Discount Rate
T = Investment horizon (Life Time)
C0: Investment costs of 1 MW BESS = 1,000,000 € [1]

The Annuity [€] is the sum of discounted annual cash flows (annual net
inflows minus investment outflow) over the investment horizon multiplied by
the capital recovery factor.

Annuity: a [€] = NPV * CRF (14)

The Capital recovery factor (CRF) is calculated according this formula:

(15)

i = Interest (discount) rate (2 % p.a.),


LT = Life Time (20 years)

____________________
[1] Dr. Peter Stenzel (2016): “Bereitstellung von Primärregelleistung durch stationäre
Großbatteriespeicher“ ” page 18; available online at
https://juser.fz-juelich.de/record/809893/files/Vortrag%20LRST%202016%20PRL.pdf
checked on 08/2016

69
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Figure 35: Total Capital Cost (€/kW) of Li-Ion BESS, data reference [1], own figure

Q1 or Q.25 is the value that splits off the lowest 25% of the data.
Q2 (Median) or Q.50 is the value that splits off the lowest 50% of the data.
Q3 or Q.75 is the value that splits off the lowest 75% of the data.

Median: Q2 = Q.50 = 1160 €/kW (16)


Inter Quartile Range: IQR = Q3 – Q1 = Q.75 – Q.25 = 912 €/kW (17)

The assumption of the investment cost for the case study are 1,000€/kW.
This value is within the interquartile range (see figure 36) and it takes also
the falling prices of the battery modules into account.

____________________
[1] Zakeri B, Syri S (2015): “Corrigendum to Electrical energy storage systems: a
comparative life cycle cost analysis. Renew Sustain Energy Rev 2015” table C1.
https://www.researchgate.net/publication/283841280_Corrigendum_to_Electrical_energy_st
orage_systems_A_comparative_life_cycle_cost_analysis_Renew_Sustain_Energy_Rev_42_
2015_569-596 checked on 10/2016

70
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Table 5: Investment costs of a Li-ion BESS with a rated power 1 MW, data reference [1],
own table

Investment costs of Li-ion BESS


Rated Capacity of one MW EURO

1 Battery Cell 450.000,00 €

2 Power control electronics 210.000,00 €

Non-repeat engineering
3 170.000,00 €
support

4 Battery enclosures 100.000,00 €

5 Site work 70.000,00 €

Total Capital Cost 1.000.000,00 €

The investment costs for a 1MW BESS projects will continue to decrease in
the coming years. The cost, according to [1] will fall below € 800,000,
primarily due to falling prices of the battery cells. The investment costs for the
case study are one million € (see table 5). The power price (Leistungspreis)
is assumed in the calculation with € 2.700 / MW per week (see figure 28).

____________________
[1] Vassallo (2013): SBC Energy Institute “Elecricity Storage: Leading the Energy Transition”
page 74.
http://energystorage.org/system/files/resources/sbcenergyinstitute_electricitystoragefactbook
.pdf checked on 10/2016

71
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Table 6: Input Parameters of the NPV and annuity calculation for the market of primary
control reserve (own table)

This estimation contains many unpredictable parameters. Firstly, the market


of primary reserve control is very limited (around 700 MW Austria and
Germany). In the future the number of BESSs will grow and this will causes a
decrease of the primary control reserve prices. On the other hand there will
be an increasing amount of energy generation of alternative energy sources
like wind power or photovoltaic. These sources have negative impacts to the
electrical grids (e.g. ramping) and therefore a higher demand of control
reserve will be needed.

____________________
[1] Dr. Peter Stenzel (2016): “Bereitstellung von Primärregelleistung durch stationäre
Großbatteriespeicher“ ” page 18; available online at
https://juser.fz-juelich.de/record/809893/files/Vortrag%20LRST%202016%20PRL.pdf
checked on 08/2016

72
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

A successful trading in primary control reserve market for the whole


investment horizon is assumed in the calculation. This project is economic
positive with these parameters and assumptions with the calculated NPV of €
1,522,774 and the annuity of € 93,128 (see table 6).

The second calculation includes the results from trading in the primary
control reserve market and in the spot market.
Participation in the market of primary control reserve of at least 23 weeks per
year and 29 weeks in the spot market is required to ensure that this project is
economically positive with the parameters listed in table 7.

Table 7: Input Parameters of the NPV and annuity calculation for the market of primary
control reserve and the arbitrage business in the spot market (own table)

73
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

4.4. Economic analysis for battery energy storage


systems (Lünen, Walsum, Bexbach, Fenne, Weiher,
Henne)

In this chapter an economic analysis for the six identical energy storage
plants operated by Steag GmbH (located in Lünen, Walsum, Bexbach,
Fenne, Weiher and Herne) is calculated.

Table 8: Input Parameters for the economic analysis in the market of primary control reserve
(own table)

BESS: Lünen, Walsum, Bexbach, Fenne, Weiher, Herne

Input Parameters:

Rated Capacity 15 MW
Investment costs 16.666.667 EUR
BESS energy 7,5 MWh
O&M costs (1% increase per year) 166.667 EUR/year
n: discharging cycles for Spot Market 0 /year
Electricity production for Spot Market (mean) 0 kWh
η: efficiency (the first year) 94%
decrease of η per year 0,8% per year
i: Discount rate 2,0 % per year
LT: Investment horizon 20 years
DoD Depth of Discharge 100%
Primary Market price for 1 MW 40.500 EUR per week
Spread (mean value) 10 EUR / MWh
Spot Market 0 weeks per year
Primary Energy Market 52 weeks per year
Primary Market price for 1 MW 2.700 EUR per week

Result: Primary Market


NPV 20.811.092 EUR
Annuity 1.272.738 EUR

____________________
[1] PV magazine (2016): “ Steag nimmt ersten 15-Megawatt-Großspeicher in Lünen in
Betrieb”; available online at: http://www.pv-magazine.de/nachrichten/details/beitrag/steag-
nimmt-ersten-15-megawatt-grospeicher-in-lnen-in-betrieb_100023699/ checked on 08/2016

74
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The calculation model of the case study is used with adapted input
parameters (rated capacity, investment costs [1], energy) for the BESS cost-
benefit calculation in Lünen.
The project in Lünen is profitable (see table 8) by the assumed participation
of primary control reserve on the market for the whole year, a power price on
the primary market with an average of 2,700 €/MW per week, 2% rate of
interest, life time of 20 years, and installed capacity of 15 MW with an
investment of 16 million euro.

The project in Lünen is also profitable by reducing the participation time to 26


weeks a year on the primary market and by the participation time on the spot
market of the remaining year (see table 9).

Table 9: Input Parameters for the economic analysis in the market of primary control reserve
and in the spot market (own table)

BESS: Lünen, Walsum, Bexbach, Fenne, Weiher, Herne

Input Parameters:

Rated Capacity 15 MW
Investment costs 16.666.667 EUR
BESS energy 7,5 MWh
O&M costs (1% increase per year) 166.667 EUR/year
n: discharging cycles for Spot Market 182 /year
Electricity production for Spot Market (mean) 1.194 kWh
η: efficiency (the first year) 94%
decrease of η per year 0,8% per year
i: Discount rate 2,0 % per year
LT: Investment horizon 20 years
DoD Depth of Discharge 100%
Primary Market price for 1 MW 40.500 EUR per week
Spread (mean value) 10 EUR / MWh
Spot Market 26 weeks per year
Primary Energy Market 26 weeks per year
Primary Market price for 1 MW 2.700 EUR per week

Result: Primary Market & Spot Market


NPV 482.640 EUR
Annuity 29.517 EUR

75
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

The revenue in the Spot market is not enough to operate a BESS project
economical positive. On the one hand, average of the spread (10 € / MWh)
between the peak load and off peak load price is too low. On the other hand
the charging cycle can just operate on time per day because peak and off
peak prices are a traded only once per day in the spot market. Economic
benefit is just given during those weeks on the spot market, when no primary
control reserve must be provided on the balance market.

76
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Renewable Energy in Central & Eastern Europe

5. CONCLUSION:
The need of flexibility within the electricity system increases with the
upcoming proportion of renewable energy generation. Ancillary services have
to be utilised more to ensure electrical grid stability.
BESSs are one of these flexible options. The importance of BESS technology
will continue to increase due to the declining share of conventional power
plants.
A single storage technology cannot be a solution for this challenge but all
storage technologies working together are the solution. The storage
technologies beside the battery system are the thermal energy storage and
the electrical energy storage (pumped hydroelectric, compressed air,
flywheel, capacitor, coil and superconducting magnetic energy).
Further research and testing should be undertaken for all storage
technologies. The integration of renewable energy sources succeeds in this
case even without negative effects such as congested electrical grids or
energy shortages for the customer. This is only possible with the intelligent
interaction of these storage technologies.
All investments in the energy sector are currently at risk due to low energy
prices. The market of primary control reserve offers an attractive financial
aspect for BESSs apart from the technical need of storage systems. On the
one hand, the BESS achieves the load profile of the control reserve and on
the other hand a profitable price is paid. The case study is profitable by the
assumed participation of primary control reserve on the market for 24 weeks
per year, a power price on the primary market with an average of 2,700
€/MW per week, 2% rate of interest, life time of 20 years, and installed
capacity of one MW with an investment of one million euro. The case study is
also profitable with an uninterrupted participation of 10 years on the market of
primary control.

77
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

However, the market of primary control reserve is limited. Germany, Austria,


Switzerland and the Netherlands are on the same market of primary control
reserve. The total power demand for these countries is approximately 783
MW.
At the moment, it is very difficult to utilize the other ancillary services in an
economical way. These ancillary services are short circuit power, black start
capability, uninterruptible power supply, network congestion management
and capacity firming.
The advantage of battery storage systems is a short planning and
construction time of only a few months. The container design also has the
advantage that the BESS can be built regardless of location. This design
allows an easy transportation to different locations.
Pumped hydroelectric storage plants need a planning and construction time
of up to 10 years and a payback period of up to 30 years and therefore the
market risk is higher in this case. Another disadvantage is that the
topography should meet all the requirements for the pumped storage power
plant.
The construction of a smart grid with a battery energy storage system is a
planning intensive business. Standardisations have to be implemented to
reduce the planning costs. This concerns the safety of battery technologies,
the interfaces of the management control system, the building requirements,
the KPIs that have to be defined and the communication protocols.
The development of electrical mobility contributes to the current falling cost of
lithium ion battery cells and this also leads to a profitable investment in the
BESSs.
Another benefit of battery storage is the possibility to extend the limit of the
electrical power grid. This saves on investment for new infrastructure. Local
BESSs raise the voltage quality because they can provide reactive power.
Even short power outages or voltage imbalances can be compensated for by
the BESS.

78
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Large BESSs are short-term storage and they are charged or discharged at
the primary control reserve depending on the grid frequency. The large
BESSs can be grouped into a pool of control reserve providers in order to
achieve sufficient control reserve power. But the revenue decline occurs due
to the cost of the pool operator. Another possibility is to enlarge the control
reserve power without a pool operator but with flexible resistance. In this
case only the surplus control reserve power is concerned (frequency more
than 50 Hz).

79
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

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80
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

SMA Solar Technology: „Technik Kompendium 1“ Available online at


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juelich.de/record/809893/files/Vortrag%20LRST%202016%20PRL.pdf
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Vassallo (2013): SBC Energy Institute “Elecricity Storage: Leading the


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Web2Energy (2013): “The intelligent energy network of the future“; Available


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Wiaux (2013): “Lithium Ion Batteries – Service, life parameters” Available


online at https://www2.unece.org/wiki/download/attachments/8126481/EVE-
06-05e.pdf?api=v2 checked on 05/2016
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Zakeri B, Syri S (2015): “Corrigendum to Electrical energy storage systems: a


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ew_Sustain_Energy_Rev_42_2015_569-596 checked on 10/2016

81
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

Additional Links and References


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stromspeicher 15.08.2014 http://stefanschroeter.com/891-batterie-
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[10] pv-magazine.de (2016): www.pv-magazine.de – nachrichten – details


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magazine.de/nachrichten/details/beitrag/grospeicher-in-brandenburg-nimmt-
regelbetrieb-auf_100023688/, viewed 17.09.2016

[11] Matthias Leuthold (2014): ‘Energy Storage Technologies, Battery


Storage for Grid Stabilization’, available online at
https://www.iea.org/media/workshops/2014/egrdenergystorage/Leuthold.pdf
viewed 27.07.2016

82
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MSc Program
Renewable Energy in Central & Eastern Europe

[12] n-tv.de (2014): www.n-tv.de – wirtschaft – Super – Batterie 16.09.2014


http://www.n-tv.de/wirtschaft/Super-Batterie-geht-in-Schwerin-ans-Netz-
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[13] statkraft.de (2016): www.statkraft.de – presse 24.02.2016


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[14] deutschlandfunk.de (2014): www.deutschlandfunk.de – windkraftwerke –


stromspeicher 16.07.2014 http://www.deutschlandfunk.de/windkraftwerke-
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05.06.2016

[15] Sebastian Fischhaber (2016): ‘Studie: Second-Life-Konzepte für Lithium-


Ionen-Batterien aus Elektrofahrzeugen‘, available online at
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elektromobilitaet.org/media/media/documents/dokumente_der_begleit__und_
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[16] zfk.de (2015): www.zfk.de – strom – stromspeicher 18.03.2015


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stromspeicher 14.01.2014 http://www.stefanschroeter.com/740-batterie-
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18.05.2016

[18] eon.com (2013): www.eon.com - de – presse 09.09.2013


http://www.eon.com/de/presse/pressemitteilungen/pressemitteilungen/2013/9
/9/intelligentes-stromnetz-und-innovative-stromspeicher-in-betrieb-
genommen.html, viewed 13.10.2016

83
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MSc Program
Renewable Energy in Central & Eastern Europe

[19] Moritz Missling (2015): ‘Younicos, Let the fossils rest in peace’, available
online at
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[20] blog.zeit.de (2014): blog.zeit.de – gruenegeschaefte 30.10.2016


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[21] zfk.de (2013): www.zfk.de – strom – stromspeicher 10.07.2013


https://www.zfk.de/strom/stromspeicher/artikel/steag-und-evonik-starten-
grosses-speicherprojekt.html, viewed 10.05.2016

[22] Daniel Doughty (2010): ‘Batteries for Large-Scale Stationary Electrical


Energy Storage’, available online at
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[23] energystorageexchange.org (2014): www.energystorageexchange.org –


projects 24.01.2014 http://www.energystorageexchange.org/projects/1093,
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[24] Andreas Feichtinger (2016): ‘Gildemeister, Energy Solutions’, available


online at
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[25] Daniel Doughty (2010): ‘Batteries for Large-Scale Stationary Electrical


Energy Storage’, available online at
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3_DEU.pdf?t=1457599948, page 14, checked 20.07.2016

84
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

[26] Marcus Müller (2015): ‘Energy Neighbor, Energie local erzeugen,


speichern und nutzen’, available online at
https://www.eebatt.tum.de/fileadmin/w00bpw/www/03_Aktuelles/Flyer/tum14
009_Flyer_HI_299x212_FLYERALARM__Endgueltige_Version_.pdf, page 1,
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[27] Michael Mast (2012): ‘Stationary Energy Store – a Contribution to the


Energy Turnaround’, available online at
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_EN.pdf, page 2, checked 28.10.2016

[28] Andreas Feichtinger (2016): ‘Gildemeister, Energy Solutions’, available


online at
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presentation_TESCO_SIFNOS_v8.pdf, page 51, checked 03.11.2016

[29] Aspern Smart City Research (2015): ‘ASCR Überblick des Vorhabens’,
available online at http://www.ascr.at/wp-
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[30] energystorageexchange.org (2014): www.energystorageexchange.org –


projects 17.11.2014 http://www.energystorageexchange.org/projects/1633,
viewed 05.06.2016

[31], [32] Joachim Schneider (2015): ‘Umschalten auf Energiewende mit


intelligeneter Netztechnik‘, available online at
http://www.rwe.com/web/cms/mediablob/de/2483486/data/2279786/3/rwe-
deutschland/energiewende/intelligente-netze/smart-operator/neue-ideen-
fuers-netz/Neue-Ideen-fuers-Netz.pdf, page 7, checked on 17.09.2016

85
Master Thesis
MSc Program
Renewable Energy in Central & Eastern Europe

[33] S. Horchler (2013): ‘EU – Forschungsprojekt, Web2Energy’, online at


https://www.web2energy.com/uploads/media/w2e_final_presentation.pdf,
page 2, checked 02.11.2016

[34] energystorageexchange.org (2014): www.energystorageexchange.org –


projects 08.09.2014 http://www.energystorageexchange.org/projects/1571,
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[35] Werner Rohlfs (2015): ‘Schnellladung von Elektrobussen’, available


online at http://www.sonnenenergie.de/sonnenenergie-redaktion/SE-2015-
04/Layout-fertig/PDF/Einzelartikel/SE-2015-04-s040-Mobilitaet-
Schnellladung_von_Elektrobussen.pdf, page 1, checked 12.10.2016

[36] energystorageexchange.org (2016): www.energystorageexchange.org –


projects 03.02.2016 http://www.energystorageexchange.org/projects/2029,
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[37] Dirk Gerber (2014): ‘Süwag, Quartierkraftwerk Kelsterbach’, available


online at http://klimaenergie-frm.de/Regionale-Projekte/Klima-und-
Energieprojekte-aus-der-
Region/media/custom/2095_542_1.PDF?1431431515, page 1, checked
23.10.2016

[38] Stefan Willing (2015): ‘Smart Operator’ available online at


http://www.ppc-
ag.de/files/ppc_case_study_rwe_smart_operator_16_2060_2e.pdf, page 2,
checked 03.11.2016

[39], [40] ingenieur.de (2012): www.ingenieur.de – Fachgereich –


Solartechnik 06.07.2012
http://www.ingenieur.de/Fachbereiche/Solartechnik/Solartechnik-Hersteller-
forcieren-Akku-Entwicklung, viewed 13.06.2016

86
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Renewable Energy in Central & Eastern Europe

Appendix:

Figure 36: Energy distribution of the Frequency Regulation Application (%) for the different
Battery types of the 40 largest BESSs in the CEE (own figure)

Figure 37: Energy distribution of the Energy Time Shifting Application (%) for the different
Battery types of the 40 largest BESSs in the CEE (own figure)

87
MSc Program
Master Thesis

Costs Electricity Revenue per year Cash flow


Yearly el
Nominal generation Spot Discounted
Years Inv. O&M Power (Spot Market) Market Prl Market Total CF (=FV) DCF (=PV) costs 1/(1+r)^t η: efficiency
yr EUR EUR MWp MWh EUR EUR EUR EUR EUR EUR 1 %
0 -1.000.000 -1.000.000 -1.000.000 -1.000.000 1,00000
1 -10.000 1 0 0 140.400 140.400 130.400 127.843 -9.804 0,98039 94,0%
2 -10.100 1 0 0 140.400 140.400 130.300 125.240 -9.708 0,96117 93,2%
3 -10.201 1 0 0 140.400 140.400 130.199 122.689 -9.613 0,94232 92,5%
4 -10.303 1 0 0 140.400 140.400 130.097 120.190 -9.518 0,92385 91,8%
5 -10.406 1 0 0 140.400 140.400 129.994 117.740 -9.425 0,90573 91,0%
Renewable Energy in Central & Eastern Europe

6 -10.510 1 0 0 140.400 140.400 129.890 115.339 -9.333 0,88797 90,3%


7 -10.615 1 0 0 140.400 140.400 129.785 112.985 -9.241 0,87056 89,6%
8 -10.721 1 0 0 140.400 140.400 129.679 110.679 -9.151 0,85349 88,9%
9 -10.829 1 0 0 140.400 140.400 129.571 108.420 -9.061 0,83676 88,1%
10 -10.937 1 0 0 140.400 140.400 129.463 106.205 -8.972 0,82035 87,4%
11 -11.046 1 0 0 140.400 140.400 129.354 104.034 -8.884 0,80426 86,7%
12 -11.157 1 0 0 140.400 140.400 129.243 101.907 -8.797 0,78849 86,1%
13 -11.268 1 0 0 140.400 140.400 129.132 99.823 -8.711 0,77303 85,4%
14 -11.381 1 0 0 140.400 140.400 129.019 97.780 -8.625 0,75788 84,7%
15 -11.495 1 0 0 140.400 140.400 128.905 95.779 -8.541 0,74301 84,0%
16 -11.610 1 0 0 140.400 140.400 128.789 93.816 -8.458 0,72845 83,3%
17 -11.726 1 0 0 140.400 140.400 128.674 91.894 -8.374 0,71416 82,7%
18 -11.843 1 0 0 140.400 140.400 128.557 90.010 -8.292 0,70016 82,0%
19 -11.961 1 0 0 140.400 140.400 128.439 88.164 -8.211 0,68643 81,3%
20 -12.081 1 0 0 140.400 140.400 128.319 86.355 -8.130 0,67297 80,7%
21 -12.202 1 0 0 140.400 140.400 128.198 84.582 -8.051 0,65978 80,0%
22 -12.324 1 0 0 140.400 140.400 128.076 82.845 -7.972 0,64684 79,4%
23 -12.447 1 0 0 140.400 140.400 127.953 81.142 -7.893 0,63416 78,8%
24 -12.572 1 0 0 140.400 140.400 127.828 79.474 -7.816 0,62172 78,1%
25 -12.697 1 0 0 140.400 140.400 127.703 77.839 -7.739 0,60953 77,5%
Table 10: BESS case study calculation in the market of primary control reserve (own table)

88
MSc Program
Master Thesis

Costs Electricity Revenue per year Cash flow


Yearly el
Nominal generation Spot Discounted
Years Inv. O&M Power (Spot Market) Market Prl Market Total CF (=FV) DCF (=PV) costs 1/(1+r)^t η: efficiency
spot market (own table)

yr EUR EUR MWp MWh EUR EUR EUR EUR EUR EUR 1 %
0 -1.000.000 -1.000.000 -1.000.000 -1.000.000 1,00000
1 -10.000 1 191 1.908 62.100 64.008 54.008 52.949 -9.804 0,98039 94,0%
2 -10.100 1 189 1.893 62.100 63.993 53.893 51.800 -9.708 0,96117 93,2%
3 -10.201 1 188 1.878 62.100 63.978 53.777 50.675 -9.613 0,94232 92,5%
4 -10.303 1 186 1.863 62.100 63.963 53.660 49.573 -9.518 0,92385 91,8%
5 -10.406 1 185 1.848 62.100 63.948 53.542 48.494 -9.425 0,90573 91,0%
Renewable Energy in Central & Eastern Europe

6 -10.510 1 183 1.833 62.100 63.933 53.423 47.438 -9.333 0,88797 90,3%
7 -10.615 1 182 1.818 62.100 63.918 53.303 46.404 -9.241 0,87056 89,6%
8 -10.721 1 180 1.804 62.100 63.904 53.183 45.391 -9.151 0,85349 88,9%
9 -10.829 1 179 1.789 62.100 63.889 53.061 44.399 -9.061 0,83676 88,1%
10 -10.937 1 178 1.775 62.100 63.875 52.938 43.428 -8.972 0,82035 87,4%
11 -11.046 1 176 1.761 62.100 63.861 52.815 42.477 -8.884 0,80426 86,7%
12 -11.157 1 175 1.747 62.100 63.847 52.690 41.546 -8.797 0,78849 86,1%
13 -11.268 1 173 1.733 62.100 63.833 52.565 40.634 -8.711 0,77303 85,4%
14 -11.381 1 172 1.719 62.100 63.819 52.438 39.742 -8.625 0,75788 84,7%
15 -11.495 1 171 1.705 62.100 63.805 52.311 38.867 -8.541 0,74301 84,0%
16 -11.610 1 169 1.692 62.100 63.792 52.181 38.011 -8.458 0,72845 83,3%
17 -11.726 1 168 1.678 62.100 63.778 52.052 37.174 -8.374 0,71416 82,7%
18 -11.843 1 166 1.665 62.100 63.765 51.922 36.353 -8.292 0,70016 82,0%
19 -11.961 1 165 1.651 62.100 63.751 51.790 35.550 -8.211 0,68643 81,3%
20 -12.081 1 164 1.638 62.100 63.738 51.657 34.764 -8.130 0,67297 80,7%
21 -12.202 1 163 1.625 62.100 63.725 51.523 33.994 -8.051 0,65978 80,0%
22 -12.324 1 161 1.612 62.100 63.712 51.388 33.240 -7.972 0,64684 79,4%
23 -12.447 1 160 1.599 62.100 63.699 51.252 32.502 -7.893 0,63416 78,8%
24 -12.572 1 159 1.586 62.100 63.686 51.115 31.779 -7.816 0,62172 78,1%
25 -12.697 1 157 1.574 62.100 63.674 50.976 31.072 -7.739 0,60953 77,5%
Table 11: BESS case study calculation in the market of primary control reserve and in the

89
table)
MSc Program
Master Thesis

Costs Electricity Revenue per year Cash flow


Yearly el
Nominal generation Spot Discounted
Years Inv. O&M Power (Spot Market) Market Prl Market Total CF (=FV) DCF (=PV) costs 1/(1+r)^t η: efficiency
yr EUR EUR MWp MWh EUR EUR EUR EUR EUR EUR 1 %
0 -16.666.667 -16.666.667 -16.666.667 -16.666.667 1,00000
1 -166.667 15 0 0 2.106.000 2.106.000 1.939.333 1.901.307 -163.399 0,98039 94,0%
2 -168.333 15 0 0 2.106.000 2.106.000 1.937.667 1.862.425 -161.797 0,96117 93,2%
3 -170.017 15 0 0 2.106.000 2.106.000 1.935.983 1.824.320 -160.211 0,94232 92,5%
4 -171.717 15 0 0 2.106.000 2.106.000 1.934.283 1.786.979 -158.640 0,92385 91,8%
5 -173.434 15 0 0 2.106.000 2.106.000 1.932.566 1.750.385 -157.085 0,90573 91,0%
Renewable Energy in Central & Eastern Europe

6 -175.168 15 0 0 2.106.000 2.106.000 1.930.832 1.714.523 -155.544 0,88797 90,3%


7 -176.920 15 0 0 2.106.000 2.106.000 1.929.080 1.679.380 -154.020 0,87056 89,6%
8 -178.689 15 0 0 2.106.000 2.106.000 1.927.311 1.644.941 -152.510 0,85349 88,9%
9 -180.476 15 0 0 2.106.000 2.106.000 1.925.524 1.611.192 -151.014 0,83676 88,1%
10 -182.281 15 0 0 2.106.000 2.106.000 1.923.719 1.578.120 -149.534 0,82035 87,4%
11 -184.104 15 0 0 2.106.000 2.106.000 1.921.896 1.545.710 -148.068 0,80426 86,7%
12 -185.945 15 0 0 2.106.000 2.106.000 1.920.055 1.513.950 -146.616 0,78849 86,1%
13 -187.804 15 0 0 2.106.000 2.106.000 1.918.196 1.482.828 -145.179 0,77303 85,4%
14 -189.682 15 0 0 2.106.000 2.106.000 1.916.318 1.452.329 -143.755 0,75788 84,7%
15 -191.579 15 0 0 2.106.000 2.106.000 1.914.421 1.422.443 -142.346 0,74301 84,0%
16 -193.495 15 0 0 2.106.000 2.106.000 1.912.498 1.393.151 -140.956 0,72845 83,3%
17 -195.430 15 0 0 2.106.000 2.106.000 1.910.570 1.364.458 -139.569 0,71416 82,7%
18 -197.384 15 0 0 2.106.000 2.106.000 1.908.616 1.336.335 -138.200 0,70016 82,0%
19 -199.358 15 0 0 2.106.000 2.106.000 1.906.642 1.308.778 -136.845 0,68643 81,3%
20 -201.351 15 0 0 2.106.000 2.106.000 1.904.649 1.281.774 -135.504 0,67297 80,7%
21 -203.365 15 0 0 2.106.000 2.106.000 1.902.635 1.255.313 -134.175 0,65978 80,0%
22 -205.399 15 0 0 2.106.000 2.106.000 1.900.601 1.229.383 -132.860 0,64684 79,4%
23 -207.453 15 0 0 2.106.000 2.106.000 1.898.547 1.203.975 -131.557 0,63416 78,8%
24 -209.527 15 0 0 2.106.000 2.106.000 1.896.473 1.179.078 -130.268 0,62172 78,1%
25 -211.622 15 0 0 2.106.000 2.106.000 1.894.378 1.154.682 -128.990 0,60953 77,5%
Table 12: BESS in Lünen economic calculation in the market of primary control reserve (own

90
MSc Program
Master Thesis

Costs Electricity Revenue per year Cash flow


Yearly el
Nominal generation Spot Discounted
Years Inv. O&M Power (Spot Market) Market Prl Market Total CF (=FV) DCF (=PV) costs 1/(1+r)^t η: efficiency
yr EUR EUR MWp MWh EUR EUR EUR EUR EUR EUR 1 %
0 -16.666.667 -16.666.667 -16.666.667 -16.666.667 1,00000
1 -166.667 15 1.283 12.831 1.053.000 1.065.831 899.164 881.534 -163.399 0,98039 94,0%
in the spot market (own table)

2 -168.333 15 1.273 12.728 1.053.000 1.065.728 897.395 862.548 -161.797 0,96117 93,2%
3 -170.017 15 1.263 12.627 1.053.000 1.065.627 895.610 843.953 -160.211 0,94232 92,5%
4 -171.717 15 1.253 12.526 1.053.000 1.065.526 893.809 825.741 -158.640 0,92385 91,8%
5 -173.434 15 1.243 12.425 1.053.000 1.065.425 891.991 807.904 -157.085 0,90573 91,0%
Renewable Energy in Central & Eastern Europe

6 -175.168 15 1.233 12.326 1.053.000 1.065.326 890.158 790.434 -155.544 0,88797 90,3%
7 -176.920 15 1.223 12.227 1.053.000 1.065.227 888.307 773.325 -154.020 0,87056 89,6%
8 -178.689 15 1.213 12.129 1.053.000 1.065.129 886.440 756.568 -152.510 0,85349 88,9%
9 -180.476 15 1.203 12.032 1.053.000 1.065.032 884.556 740.157 -151.014 0,83676 88,1%
10 -182.281 15 1.194 11.936 1.053.000 1.064.936 882.655 724.085 -149.534 0,82035 87,4%
11 -184.104 15 1.184 11.841 1.053.000 1.064.841 880.737 708.344 -148.068 0,80426 86,7%
12 -185.945 15 1.175 11.746 1.053.000 1.064.746 878.801 692.929 -146.616 0,78849 86,1%
13 -187.804 15 1.165 11.652 1.053.000 1.064.652 876.848 677.832 -145.179 0,77303 85,4%
14 -189.682 15 1.156 11.559 1.053.000 1.064.559 874.877 663.047 -143.755 0,75788 84,7%
15 -191.579 15 1.147 11.466 1.053.000 1.064.466 872.887 648.568 -142.346 0,74301 84,0%
16 -193.495 15 1.137 11.375 1.053.000 1.064.375 870.872 634.383 -140.956 0,72845 83,3%
17 -195.430 15 1.128 11.284 1.053.000 1.064.284 868.854 620.503 -139.569 0,71416 82,7%
18 -197.384 15 1.119 11.193 1.053.000 1.064.193 866.809 606.905 -138.200 0,70016 82,0%
19 -199.358 15 1.110 11.104 1.053.000 1.064.104 864.746 593.588 -136.845 0,68643 81,3%
20 -201.351 15 1.101 11.015 1.053.000 1.064.015 862.663 580.548 -135.504 0,67297 80,7%
21 -203.365 15 1.093 10.927 1.053.000 1.063.927 860.562 567.778 -134.175 0,65978 80,0%
22 -205.399 15 1.084 10.839 1.053.000 1.063.839 858.441 555.273 -132.860 0,64684 79,4%
23 -207.453 15 1.075 10.753 1.053.000 1.063.753 856.300 543.028 -131.557 0,63416 78,8%
24 -209.527 15 1.067 10.667 1.053.000 1.063.667 854.139 531.037 -130.268 0,62172 78,1%
25 -211.622 15 1.058 10.581 1.053.000 1.063.581 851.959 519.295 -128.990 0,60953 77,5%
Table 13: BESS in Lünen economic calculation in the market of primary control reserve and

91

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