A Scenario-Based Simulation Study for Economic Viability and Widespread Impact Analysis of Consumption-Side Energy Storage Systems

This study examines energy storage within the frameworks of production-side and consumption-side energy storage concepts. The theoretical advantages of consumption-side energy storage over production-side energy storage are initially discussed. Subsequently, the topic is supported by a simulation study, and the resulting analyses are presented. The simulation investigates the feasibility and applicability of consumption-side energy storage under varying conditions through diverse scenarios, incorporating economic analyses for these scenarios. Furthermore, it evaluates the widespread impact of consumption-side energy storage when adopted by 5M, 10M, 20M, and 40M consumers across separate scenarios. The widespread impact analysis focuses on shifting peak-period energy consumption to night-period consumption. This shift’s effects on reducing energy production requirements and alleviating transmission line loads are analyzed, along with the economic advantages derived from deferring energy infrastructure investments. The analysis centers exclusively on residential consumers, as a preliminary study, referring to the energy storage systems they utilize as Residential Energy Storage Systems (RESS). These systems are assumed to be organized and managed by Energy Provider Companies rather than individual consumers. The study also addresses the potential costs associated with implementing RESS. The simulation-based widespread impact analysis highlights significant outcomes: reducing the need for new power plants, mitigating the risk of overloading transmission lines, shifting peak-period consumption to night periods, enhancing the utilization of renewable energy resources, delivering economic benefits to energy providers and consumers, and achieving positive environmental impacts. From these outcomes obtained, very striking inferences are produced that may affect the future energy policies of many countries, especially the USA.