Multi-Stage Bi-Level Planning of Energy Storage Considering Cycling Degradation

Energy storage is an effective solution to the problems caused by wind power uncertainty. However, frequent charge-discharge cycling for power balance and optimal economic dispatch can accelerate battery degradation. In the long term, the degradation in storage capacity cannot cope with the growth of wind power and load. This paper purposes a multi-stage bilevel planning model to identify the optimal siting and sizing of energy storage systems. The model is mainly used to deal with degradation in ESS capacity and the growth of wind power generation and load, with the upper-level for planning and the lower-level for operating. The validity of the proposed model is proven by case study results.