A General Approach to Select Location and Ratings of Energy Storage Systems in Local Area Energy Networks

Abstract—The European directive “Clean Energy for All Europeans” depicts for 2030 a new scenario for low-voltage distribution grids, where each end-user will have the right to trade energy and offer demand-response in the electrical market either individually or in aggregation with others. This creates a new perspective for renewable energy sources (RES) and storage systems (ESS), which become key elements to allow end-users playing a substantial role in the electrical market. While many distributed RES are already in place in low-voltage grids, ESS are still in infancy and will become a crucial asset of future microgrids. The optimal selection of ESS ratings and location within an energy network is still an open problem, and its solution can impact considerably on grid performance and return of investment in energy sources and distribution infrastructure. This paper presents a general methodology to select the best location and ratings of energy storage systems complying with the needs of local area energy networks (E-LANs). The aim is to support end users and aggregators to plan their investments and operate the grid so as to attain the role and functionality envisioned by the European directive. Index Terms—active networks, distributed resources, local area energy network (E-LAN), energy storage system, microgrids.