Harnessing Hydrogen and Batteries: Hybrid Energy Storage System for Versatile and Profitable Renewable Power Production

Abstract

This thesis explores the integration of hydrogen and battery energy storage systems as a means to enhance the management of wind and solar power in the pursuit of a greener grid. The objective of the study is to identify the potential benefits and challenges associated with hybrid energy storage systems (HESS) and their role in renewable energy integration.

The thesis begins with a literature review, examining the energy system and markets, wind and solar power production, hydrogen energy storage system (H2ESS), and battery energy storage (BESS). This review serves as a foundation for the subsequent analysis and simulation.

A simulation method is employed to evaluate the performance and techno-economic aspects of the HESS. The OpenModelica software is used to model power generation, energy storage systems, grid infrastructure, and other relevant components. An operational strategy for the HESS is developed, including a Scheduler algorithm, which is making decisions based on market patterns, and a Controller algorithm, which assures technical functionality and makes the renewable variable power production plannable.

The economic decisions are made by the scheduler to maximise profit by either producing hydrogen, storing electricity, or delivering electricity to the grid. This is based on whichever market is momentarily most profitable. The scheduler dynamically adjusts the operation of the energy storage system to exploit price fluctuations and optimise revenue generation.

The techno-economic dimensioning method is utilised to assess the economic viability of the storage solution. Investment appraisal is conducted at various levels, including system, solar power plant, battery, electrolyser and hydrogen storage, and fuel cell levels. A simple optimisation process is employed to determine the optimal dimensions of the storage solution.

The results of the simulation and techno-economic analysis provide valuable insights. They demonstrate the potential of a HESS in improving the utilisation of renewable energy resources, enhancing grid stability, and reducing greenhouse gas emissions. The optimised HESS configuration offers a promising approach for future investments in renewable energy systems.

The discussion section highlights the implications of the findings, including the implications for investments in renewable energy and the potential for future market and technological developments. Furthermore, it identifies areas for further research to advance the understanding and implementation of HESS in the transition to a greener grid.

Overall, this thesis contributes to the ongoing efforts towards a sustainable and renewable energy future by investigating the role of HESSs in effectively managing wind and solar power, thereby facilitating the integration of clean energy into the grid.

Popular Abstract

Unlocking the full potential of renewable energy, this study unveils an operational strategy leveraging hybrid energy storage systems to maximise profit by choosing between hydrogen production, electricity storage, and grid delivery based on market prices.

Have you wondered how the green transition should be accelerated, especially seeing the problems we have with intermittency of renewable energy sources (RES)? Well, one solution for this is the increased development of hybrid energy storage systems (HESS), using both hydrogen and batteries. The research provided in our master’s thesis demonstrates that HESSs provide a means to make wind and solar production plannable within the hour and highlights the potential for hydrogen market development. By leveraging price variations, HESS can generate revenue and enhance the plannability of variable RES.

The research is relevant due to the pressing need for climate action, the need for plannable energy production, the challenges posed by high electricity prices, and the growing demand for hydrogen gas. By making renewable energy production plannable, grid stability can improve while investments become more profitable, ultimately impacting your electricity security and wallet. Also, making HESS as profitable as possible contributes to the increased development of the hydrogen market, which can be a good solution to decarbonising hard-to-reach sectors such as transportation and industry. Alas, the solution addresses critical needs in the energy transition.

The findings of the thesis have practical implications and point to potential future applications. One integral part of the study was to find sound dimensions for components in a HESS to enable technical functionality and economic viability. The optimised HESS configuration provides a blueprint for future investments in renewable energy systems. The system comprised of the appropriately set dimensions demonstrated a very high profitability, which highlights the economic benefits of exploring investments in HESS.

One intriguing aspect is that the study found that hydrogen gas sales are a major driver of profit. This finding indicates the potential for the hydrogen market to grow and contribute to sustainable energy solutions beyond electricity generation. Another interesting finding was that hydrogen may be better suited as an energy storage medium as opposed to direct electricity storage, because of the poor profitability of fuel cells in this application. This highlights that fuel cells may be more appropriate for other applications (e.g. transport), or with other economic circumstances where controllability is highly valued, or after increased advancements in the technology.

The research method involved the construction of a model in the OpenModelica software that simulates a system with wind and solar power as well as a HESS. The developed strategy comprises two parts: an economic component that plans based on current market conditions and future production forecasts, and a technical component that ensures continuous electricity supply and component protection. The method also consists of a literature review and techno-economic dimensioning of components utilising and investment appraisal of the system.

In conclusion, this study showcases the potential of HESS in making RES plannable and driving the growth of the hydrogen market. HESS offers practical solutions to issues regarding intermittent RES and sustainability in both transportation and industry. The research can serve as an indicator of how to make these investments profitable and underscores the importance of acting to leverage the future opportunities in renewable energy and hydrogen markets.

• author: Jaredson Lilja, Nora and Björling, Hugo
• supervisor: Jörgen Svensson; Olof Samuelsson
• organization: Industrial Electrical Engineering and Automation
• course: EIEM01 20231
• year: 2023
• type: H3 - Professional qualifications (4 Years - )
• subject: Technology and Engineering
• keywords: Energy storage, Hydrogen energy storage, Battery storage, Hybrid storage, Wind power, Solar power, Combined wind and solar power production, Variable renewable energy sources, Power management, Energy storage operational strategy, Plannable renewable power production
• publication/series: CODEN:LUTEDX/TEIE
• report number: 5499
• language: English
• id: 9123522
• date added to LUP: 2023-08-29 13:27:57
• date last changed: 2023-08-29 13:27:57