The Economics of Energy Storage in 14 Deregulated Power Markets
DOI:
https://doi.org/10.15173/esr.v14i2.494Abstract
In a regulated market large scale storage of electrical energy, for example by pumped storage, time shifts the generation of power and has been used to defer generation investment. In a deregulated market power storage, when used for energy rather than as a source of spinning or standby reserve or frequency control, is a simple economic proposition: power is purchased during periods of low price and regenerated and resold during period s of high price . In this study historical diurnal price pattern s in 14 deregulated markets are analyzed to give an initial prediction of the economic incentive for energy storage. We rank the 14 markets based on available revenue and potential return on investment: the incentive to store energy varies significantly between markets. The differences between markets arise because of different diurnal pattern s of power price. Diurnal price patterns in turn reflect a comp lex set of factors in a market , including generation mix , market design and participant behaviours.
Downloads
Published
Issue
Section
License
Rights for Authors
As further described in our submission agreement (the Submission Agreement), in consideration for publication of the article, the authors assign to Energy Studies Review all copyright in the article, subject to the expansive personal--use exceptions described below.
Attribution and Usage Policies
Reproduction, posting, transmission or other distribution or use of the article or any material therein, in any medium as permitted by a personal-use exemption or by written agreement of Energy Studies Review, requires credit to Energy Studies Review as copyright holder (e.g., Energy Studies Review © 2014).
Personal-use Exceptions
The following uses are always permitted to the author(s) and do not require further permission from DigitalCommons@McMaster provided the author does not alter the format or content of the articles, including the copyright notification:
- Storage and back-up of the article on the author's computer(s) and digital media (e.g., diskettes, back-up servers, Zip disks, etc.), provided that the article stored on these computers and media is not readily accessible by persons other than the author(s);
- Posting of the article on the author(s) personal website, provided that the website is non-commercial;
- Posting of the article on the internet as part of a non-commercial open access institutional repository or other non-commercial open access publication site affiliated with the author(s)'s place of employment (e.g., a Phrenology professor at the University of Southern North Dakota can have her article appear in the University of Southern North Dakota's Department of Phrenology online publication series); and
- Posting of the article on a non-commercial course website for a course being taught by the author at the university or college employing the author.
People seeking an exception, or who have questions about use, should contact the editors.
