Emission-Aware Operation of Electrical Energy Storage Systems

TL;DR

This paper introduces a novel emission performance credits framework enabling energy storage systems to participate in carbon markets by real-time emission tracking and carbon-aware dispatch, supporting broader emission reduction goals.

Contribution

It proposes the first practical mechanism for real-time marginal emission calculation and emission credit trading for energy storage systems at the prosumer level.

Findings

ESS can effectively participate in carbon mitigation.

The framework accurately tracks operational emissions.

Simulation shows potential for broad ESS participation.

Abstract

Since the beginning of this century, there has been a growing body of research and developments supporting the participation of energy storage systems (ESS) in the emission reduction mandates. However, regardless of these efforts and despite the need for an accelerated energy transition, we have yet to see a practical framework for operational carbon accounting and credit trading for energy storage systems. In this context, this paper proposes an emission performance credits (EPCs) framework that allows ESS, down to the prosumer level, to participate in the carbon market. Thus, a mechanism is proposed, for the first time, to calculate the grid's real-time marginal emission intensity (MEI). The MEI is then used to optimize the cumulative operational emission of ESS through carbon-aware dispatch. Consequently, the framework tracks the operational emissions and converts them into EPCs, which are then sold to regulated entities under compliance programs. Simulation results support the potential of ESS, regardless of their size, to participate in the broader carbon mitigation objectives.