Power Transmission and Distribution Service Solution With Grid-Side Alternative Energy Storage (G-AES) - Based on VCG Alternative Value Evaluation and Cost Recovery Mechanism

The identification of Grid-side Alternative Energy Storage (G-AES) as transmission and distribution asset attributes is a prerequisite for G-AES to be incorporated into the regulated transmission and distribution business and obtained stable permitted income. However, a quantitative evaluation mechanism and cost channelizing mechanism for the alternative value of
$\mathrm{G}$
AES power transmission and distribution functions has not been established, then G-AES construction cost as well as operation and maintenance cost cannot be effectively included in the recovery of power transmission and distribution supervision business, which hinders the scale development of G-AES. Currently, G-AES is still in the pilot application stage. Therefore, this paper proposes a GAES transmission and distribution service solution framework, which uses VCG mechanism principle to evaluate G-AES alternative value, proposes a cost recovery mechanism based on investment effectiveness evaluation, and puts forward policy mechanism suggestions to effectively solve the problem of G-AES alternative value evaluation and cost recovery.