Techno-economy study of battery energy storage system for electricity grid peak generation

Abstract

Indonesia's new and renewable energy mix in 2025 is objective at least 23%, and 31% in 2050 requires PLN to look for alternative sources of power supply as a substitute for fuel generation besides increasing new and renewable energy power plants. Advances in technology provide choices of power resources for PLN, one of Battery Energy Storage System (BESS) technology, where this technology can be used as a substitute for diesel power plant with a comparable level of services. Therefore, a study of the Levelized Cost of Electricity (LCOE) calculation is needed to determine the economic feasibility obtained by calculating the Net Present Value (NPV) of investment, maintenance, and operating costs during the plant's lifetime. The simulation resulted in the Levelized Cost of Electricity for Battery Energy Storage System that substitutes diesel engine generating with 5MW power capacity to supply grid electricity. During peak-load is 13,996.77 for Li-Ion Battery and 27,321.38 IDR/kWh for Redox Flow Battery, which is higher than diesel engine generating set as the impact of high investment cost.