A comprehensive review of electricity storage applications in island systems

TL;DR

This review explores the role of electricity storage in island systems, highlighting its importance for renewable integration, analyzing various storage architectures, and discussing economic and technical challenges faced by such projects.

Contribution

It provides a comprehensive classification and analysis of storage applications in island systems, emphasizing hybrid plants and the economic barriers to standalone storage.

Findings

Storage is essential for renewable penetration above 50% in islands.

Hybrid PV-battery plants are increasingly popular due to decreasing Li-ion costs.

Remuneration frameworks are often insufficient for standalone storage investments.

Abstract

Electricity storage is crucial for power systems to achieve higher levels of renewable energy penetration. This is especially significant for non-interconnected island (NII) systems, which are electrically isolated and vulnerable to the fluctuations of intermittent renewable generation. This paper comprehensively reviews existing literature on electricity storage in island systems, documenting relevant storage applications worldwide and emphasizing the role of storage in transitioning NII towards a fossil-fuel-independent electricity sector. On this topic, the literature review indicates that the implementation of storage is a prerequisite for attaining renewable penetration rates of over 50% due to the amplified requirements for system flexibility and renewable energy arbitrage. The analysis also identifies potential storage services and classifies applicable storage architectures for islands. Amongst the available storage designs, two have emerged as particularly important for further investigation; standalone, centrally managed storage stations and storage combined with renewables to form a hybrid plant that operates indivisibly in the market. For each design, the operating principles, remuneration schemes, investment feasibility, and applications discussed in the literature are presented in-depth, while possible implementation barriers are acknowledged. The literature on hybrid power plants mainly focuses on wind-powered pumped-hydro stations. However, recently, PV-powered battery-based hybrid plants have gained momentum due to the decreasing cost of Li-ion technology. On the other hand, standalone storage establishments rely heavily on battery technology and are mainly used to provide flexibility to the island grid. Nevertheless, these investments often suffer from insufficient remunerating frameworks, making it challenging for storage projects to be financially secure.