Battery Degradation Modeling in Hybrid Power Plants: An Island System Unit Commitment Study

As hybrid power plants (HPPs), such as photovoltaic (PV) and battery combinations, become increasingly important in power systems with high renewable energy penetration to address PV variability and ensure grid stability. This paper focuses on the urgent need to model the coordination between PV and battery systems in HPPs while accounting for battery degradation. We present a generation scheduling model that explicitly incorporates PV-battery hybridization in the unit commitment problem. Moreover, the cost function of the HPP scheduling problem endogenously considers battery degradation with adjustable weights to strike a balance between minimizing production costs and prolonging battery life, particularly when providing energy arbitrage and ancillary services. Using a realistic island system simulation, we demonstrate that accounting for battery degradation in the scheduling problem can significantly extend battery life with only minor additional production costs.