A Review of Energy Storage: Economic Viability, Social Impacts, and Future Directions

Energy storage, pivotal for addressing the challenges of renewable energy's intermittent output, has significantly enhanced the power grid's flexibility, stability, and efficiency. This paper delves into energy storage's economic and societal impacts, exploring five key areas: optimal operational strategies, capacity issues, market impact, social welfare enhancement, and emissions reduction through a systematic review of recent literature. By reviewing the economic impact of energy storage, we recognize the advantages of artificial intelligence (AI) technology and the imperfect market mechanisms. Studies on its social impact indicate that, while driven by commercial interests, energy storage can also enhance social welfare and reduce emissions. This paper underscores the developmental potential of energy storage and advocates for positive engagement from both the market players and government agencies.