Abstract

Combined Heat and Power (CHP) systems are considered as a transitional solution towards zero carbon emissions in the next couple of decades. The current CHP systems are mainly controlled by thermal led strategy, that is, the electrical power generation depends on the thermal energy demand. The mismatch between the power generation and load demand leads to the deficient energy utilisation and economic loss. An innovative combined planning method is proposed in the paper to improve the economic gains of the CHP systems by integrating the lithium-ion battery storage system (LBSS). The paper focuses on the simultaneous optimisation of storage capacity design and operation strategy formulation of the LBSS subject to the variations of the load and power generation from CHP with consideration of LBSS degradation and cost, and Time-of-Use pricing structures. The new strategy is implemented and tested using the University of Warwick campus CHP system combined with the LBSS facilities. The results show that the method could improve the economic performance of CHP systems. The developed method is applicable to any CHP systems optimisation with integrated LBSS.

Highlights

  • Combined Heat and Power (CHP) technology allows for the pro­ duction of electricity and heat simultaneously from a single fuel source [1,2]

  • If the production of electricity exceeds the user requirement, the extra electrical power generation is fed into the grid; when there is a lack of electrical generation, the residual load has to be drawn from the grid

  • It can be learned that, smaller Lithium-ion Battery (LIB) cost occurred in deterministic planning, the absence of the grid power shift from the lowpeak to flat-peak and the relatively less energy compensation in the high-peak caused by the ignorance of the actual lithium-ion battery storage system (LBSS) efficiency and standby loss yielded more grid purchase cost

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Summary

Introduction

Combined Heat and Power (CHP) technology allows for the pro­ duction of electricity and heat simultaneously from a single fuel source [1,2]. Zhang et al [26] optimised the manufacturing schedules and energy flow of a grid-connected factory with an onsite PV and battery system to reduce the electricity cost under different ToU rates These prior studies mainly focused on either capacity optimisation or optimal control of the battery storage system to maximise the system economics. An installation of LBSS leads to an increase in system capital expenditure; real-time operation of the battery system under varying user-load patterns and ToU rates determines the system operating expenses (including revenues), and the LBSS system lifetime [27,28,29,30] All these factors are coupled and interactively affect the economic viability of using LBSS in CHP systems. To further reduce the cost of battery storage integrated CHP systems, a new planning method that combines the capacity design and operational strategy optimisation is proposed in this study. Results and discussion for a planning case of a CHP system in the Uni­ versity of Warwick (UoW) are presented in Section 4, before the Conclusion

ToU pricing structure
LBSS operation
Optimisation model
Optimisation algorithm
Case study
LBSS modelling
System optimisation
Findings
Conclusion
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