Barriers to grid-connected battery systems: Evidence from the Spanish electricity market

Electrical energy storage is considered essential for the future systems. Among all technologies, battery systems may provide flexibility to power grid in a more distributed and decentralized way. In countries with deregulated electricity markets, grid-connected should be operated under specific market design of country. this work, using Spanish as an example, barriers are investigated utilization analysis. The concept "potentially profitable time" proposed introduced identify evaluate potential applications numerical empirical analysis suggests that high cycle cost still main barrier Spain, arbitrage within day-ahead market, it required wear decreases 15 Euro/MWh make potentially rate higher than 20%. Nevertheless, batteries much when demanded. minimum corresponding 20% time increases 35 ancillary services, 50 upward secondary reserve. results study contribute awareness technology its applications. findings also have significant implications policy makers operators interested promoting market.