Battery Energy Storage Systems for the New Electricity Market Landscape: Modeling, State Diagnostics, Management, and Viability—A Review

Abstract

Renewable energy penetration and distributed generation are key for the transition towards more sustainable societies, but they impose a substantial challenge in terms of matching generation with demand due to the intermittent and unpredictable nature of some of these renewable energy sources. Thus, the role of energy storage in today’s and future electricity markets is undisputed. Batteries stand out among the different alternatives for energy storage. The R&D effort into different battery chemistries contributes to reducing the investment associated with battery systems. However, optimizing their operation according to the users’ and the electricity markets’ needs is the turning point to finally make these systems attractive. This review delves into the topic of battery management systems from a battery-technology-independent perspective, and it also explores more fundamental but related aspects, such as battery modeling or state estimation. The techno-economic part of battery energy storage systems is also covered in this document to understand their real potential and viability.