Long-Term Scheduling of Battery Storage Systems in Energy and Regulation Markets Considering Battery’s Lifespan

This paper presents a new method for scheduling of battery storage systems for participation in frequency regulation and energy markets, simultaneously. Unknown automatic generation control signal of regulation market is modeled through robust optimization. In addition, the complex effect of participation in regulation market on battery's lifespan is modeled through a dynamic procedure. For this purpose, a long-term optimization process is proposed in which, the short-term participation strategy defines battery's lifespan. In order to prevent fast depreciation of battery due to frequent and deep charges/discharges, a new limiting method is introduced here, which would be useful for participation in regulation market. The proposed long-term model is linearized by implementation of Benders' decomposition. Optimum values for limiting factors are determined in the master problem, while the daily operation strategies are decided by sub-problems. Finally, the applicability of the proposed method is investigated using an illustrative case study.