Systems dynamic modeling to analyze the systemic viability of the combined use of regenerative converters and energy storage in a UPS manufacturer

Abstract

Abstract The industrial sector is the largest consumer of energy in the world. In this sector, non-energy intensive companies have untapped energy efficiency potential, such as Uninterruptible Power Supply (UPS) manufacturers. Among the companies classified as non-energy-intensive, the International Energy Agency estimates that the untapped potential for energy efficiency is equivalent to the energy consumption of Japan and South Korea per year, together. In the literature, this unexplored potential is termed as a gap in energy management. The approaches found in the literature present a scenario where most companies exclusively use financial indicators to evaluate investment in energy efficiency. However, even if the results of these indicators are financially attractive, the level of adoption of energy efficiency technologies remains low. Studies on this unexplored potential present technological vies and do not contemplate conjuncture risks and uncertainties that may influence in the adoption of a technological solution. This study aims to analyze through practical application the systemic viability of the combined use of regenerative converters and energy storage in a UPS manufacturer, as well as the use of renewable energy sources for self-generation. The variables were identified through an SLR and combined into a closed loop diagram. A conceptual model was structured by representing the dynamic relationships between variables and the behavior of these variables in decisions related to energy efficiency. Systems Dynamic Modeling (SDM) was used to simulate the behavior of systems in different scenarios considering the use of such technologies and possible variations in energy supply and demand. The estimated financial results of each scenario are presented taking into account the assumptions of a computational model. The results of the model suggest that the use of Regenerative Converter Pulse Width Modulation (RC-PWM) is positive in any context, presenting ROI higher than 4 in the Red Rate Flag scenarios. The option for Distributed Microgeneration (DMG) exerts a negative influence on financial attractiveness, especially in the option of trading energy in a free environment. Government incentives and Peak Shaving (PS) have had a low influence on financial attractiveness for over 10 years. The developed model can be used to visualize alternatives and make decisions in similar situations.