Optimal Spot Market Participation of PV + BESS: Impact of BESS Sizing in Utility-Scale and Distributed Configurations

Optimal Spot Market Participation of PV + BESS: Impact of BESS Sizing in Utility-Scale and Distributed Configurations

Recent European regulations promote distributed energy resources as alternatives to centralized generation. This study compares utility-scale and distributed photovoltaic (PV) systems coupled with Battery Energy-Storage Systems (BESSs) in the Italian electricity market, analyzing different battery s...

Full description

Saved in:
Bibliographic Details
Main Authors: Andrea Scrocca, Roberto Pisani, Diego Andreotti, Giuliano Rancilio, Maurizio Delfanti, Filippo Bovera
Format: Article
Language:English
Published: MDPI AG 2025-07-01
Series:Energies
Subjects:
PV firming
BESS sizing
power imbalance
stochastic optimization
PV scenario generation
distributed energy resources
Online Access:https://www.mdpi.com/1996-1073/18/14/3791
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Recent European regulations promote distributed energy resources as alternatives to centralized generation. This study compares utility-scale and distributed photovoltaic (PV) systems coupled with Battery Energy-Storage Systems (BESSs) in the Italian electricity market, analyzing different battery sizes. A multistage stochastic mixed-integer linear programming model, using Monte Carlo PV production scenarios, optimizes day-ahead and intra-day market offers while incorporating PV forecast updates. In real time, battery flexibility reduces imbalances. Here we show that, to ensure dispatchability—defined as keeping annual imbalances below 5% of PV output—a 1 MW PV system requires 220 kWh of storage for utility-scale and 50 kWh for distributed systems, increasing the levelized cost of electricity by +13.1% and +1.94%, respectively. Net present value is negative for BESSs performing imbalance netting only. Therefore, a multiple service strategy, including imbalance netting and energy arbitrage, is introduced. Performing arbitrage while keeping dispatchability reaches an economic optimum with a 1.7 MWh BESS for utility-scale systems and 1.1 MWh BESS for distributed systems. These results show lower PV firming costs than previous studies, and highlight that under a multiple-service strategy, better economic outcomes are obtained with larger storage capacities.
ISSN:1996-1073

Similar Items