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Various attempts have been made to reduce carbon emissions in the energy sector as part of global net zero emissions trends. Among them, interest in the use of energy storage systems (ESSs) for energy efficiency is growing. Utilities intend to improve the efficiency of investment and operating costs by reducing the maximum peak and leveling the load. Many ESS-scheduling optimization techniques have been studied to reduce the peak demand, balance the load, or reduce the cost corresponding to these two purposes from the customer’s point of view. In this paper, a method for cost minimization that simultaneously considers both the peak demand and load balancing is proposed, and the results and analysis of a case study in Korea Electric Power Corporation (KEPCO), Korea are presented. Through these results, we show that there is a priority among the objective functions of the ESS schedule, that demand charge is more important than energy charge, and that the ESS schedule problem for customers to reduce costs is also beneficial to power system operation by the utility’s rate policy.

Optimization of ESS Scheduling for Cost Reduction in Commercial and Industry Customers in Korea