Business Commons^™

Economic Models For Battery Energy Storage: Improvements For Existing Methods, Ronald C. Reckrodt, Max Darwin Anderson, Raymond Michael Kluczny

Electrical and Computer Engineering Faculty Research & Creative Works

While the technology required to produce viable Battery Energy Storage System exists, the economic feasibility (cost vs. benefits) of building these systems requires justification. First, a generalized decision diagram was developed to ensure that all of the economic factors were considered and properly related for the customer-side-of-the meter. Next, two economic models that had consistently given differing results were compared. One was the McKinney model developed at UM-Rolla in 1987; the second was the SYSPLAN model developed by Battelle. Differences were resolved on a point-by-point basis with reference to the current economic environment. The economic model was upgraded to include …