Long-Term Techno-Economic Effects of Optimal STATCOMs to Address System Strength Shortfall in a Renewable Energy-integrated Building Management System

Renewable energy sources (RESs) are being widely implemented to achieve net-zero carbon emission targets, whereby less fault current is experienced and; therefore, power generation levels from RESs are curtailed. Accordingly, to address fault level inadequacy, known as ‘system strength’ parameter - measured by short circuit ratio (SCR) index in RESs-installed point of connections (POCs), application of grid forming power converters like static synchronous compensators (STATCOMs) is recommended by power system operators. Although optimization of STATCOMs is evident in the literatures, addressing system strength levels via technical and economic effects has yet to be investigated. Thus, this paper studies long-term techno-economic feasibility of optimal STATCOMs, applying classical optimization method by collecting experimental data using Regenerative Grid Simulator 61860 machine. The proposed strategy has been applied in a renewable energy-penetrated building management system (BMS) for a period from 2025–2040. The findings confirm potential net present value (NPV) 52.81 M US$ and net profit 8.15 M US$ by enhancing system strength level at the network's POCs.