Optimal battery operation in frequency regulation markets considering its health factors

Operation of GSS in frequency regulation markets is desirable due to its fast response capabilities and the corresponding revenues. However, GSS health is strongly dependent on its operation and understanding the tradeoffs between revenues and degradation factors is essential. This paper studies these tradeoffs through optimization based on dynamic programming. The degradation factors are accounted for in the reward function through weights. Based on these weights, simple control rules are devised to capture the desired response trajectory.