Dynamic economic dispatch in isolated microgrids incorporating the energy storage system

Isolated microgrids are the viable means of power supply of the load in remote areas. The economic efficiency of a microgrid as well as its reliability are the important issues. The dynamic economic dispatch of the generators provides the minimum operating cost. Introduction of energy storage system (ESS) in a microgrid promises the deeper optimization of generator dispatch. This paper presents the analysis of the effect of ESS introduction to dynamic economic dispatch of generators in an isolated microgrid. The evaluation was performed for two cases with a specified set of generators. Each set varies in the quantity of generators, efficiencies and capacities. The effect of ESS introduction was evaluated by comparing the operating cost with and without ESS. The feasibility of ESS introduction was studied with consideration of accelerated ESS aging. The additional capital cost of ESS to compensate the premature battery replacement was estimated. The feasibility of application of the oversized ESS batteries to extend the ESS lifetime was analyzed.