Optimal Integration of Distributed Energy Storage Devices in Smart Grids

Energy storage is traditionally well established in the form of large scale pumped-hydro systems, but nowadays is finding increased attraction in medium and smaller scale systems. Such expansion is entirely complementary to the forecasted wider integration of intermittent renewable resources in future electrical distribution systems (Smart Grids). This paper is intended to offer a useful tool for analyzing potential advantages of distributed energy storages in Smart Grids with reference to both different possible conceivable regulatory schemes and services to be provided. The Smart Grid Operator is assumed to have the ownership and operation of the energy storage systems, and a new cost-based optimization strategy for their optimal placement, sizing and control is proposed. The need to quantify benefits of both the Smart Grid where the energy storage devices are included and the external interconnected grid is explored. Numerical applications to a Medium Voltage test Smart Grid show the advantages of using storage systems related to different options in terms of incentives and services to be provided.