ALT-BESS — Aging Models, LCA, and Advanced Tools for Stationary Energy Storage: Enhancing Battery Technologies and Supporting Global Decarbonization

The stationary application of batteries have attracted significant attention in Sweden due to their economic benefits, because of the gap between electricity prices and feed-in tariffs for renewables. It has led to a rapidly growing market for stationary applications that is profoundly impacting the entire value chain of battery technology. However, the environmental impacts and health conditions of batteries under various electricity market conditions have not been extensively studied, even though these factors could adversely affect the system's profitability. There is a lack of a validated, comprehensive tool that simultaneously considers the techno-economic, environmental, and health conditions of batteries in stationary applications. The aim of this project is to develop, validate, and assess a comprehensive tool tailored explicitly for the stationary application of batteries. This tool will be tested and validated using a real-life test bed established in a previous project.

Background

Batteries are vital to the energy transition, driven by demand from road transport electrification and renewable energy storage. The European Commission projects a €250 billion annual global market by 2025, with Sweden well-positioned to benefit due to its renewable energy resources, stable electricity systems, and robust research infrastructure. The Swedish government aims to build a sustainable battery value chain by promoting collaboration among government, academia, and businesses, investing in research and innovation, and addressing the demand for skilled human capital.

Two research projects exemplify successful collaboration in Sweden's battery sector:

PV-ESS Project : Focuses on integrating Battery Energy Storage Systems (BESS) in Swedish residential buildings, featuring a test bed at KTH Live-In Lab with a 186 kWh Li-ion battery supplied by Northvolt. It incorporates AI-based forecasting for optimized energy dispatch, considering Real-Time Pricing and peak demand fees.
LCA-SESS Project : Explores the trade-offs between economic and environmental goals in optimizing solar PV systems coupled with BESS. It uses mixed-integer linear programming to optimize dispatch strategies, minimizing costs or CO2 emissions.

To address gaps in tools for simultaneously optimizing economic, environmental, and aging factors of batteries, a new integrated model will be developed. This tool will combine AI-based optimization from the PV-ESS project and a techno-environmental model from the LCA-SESS project, with an innovative data-driven battery aging component.

The tool will be tested under real-life conditions at KTH Live-In Lab and applied to real estate business cases, providing tailored recommendations for stakeholders like battery manufacturers, building owners, and policymakers. By enabling informed decision-making, it will support Sweden's competitiveness in EU and international battery markets.

Aim and objectives

The new tool is expected to suggest operational strategies capable of reducing the environmental impact by up to 20% compared to current algorithms by optimizing the use-phase in relation to grid emissions. Additionally, the tool will validate aging models, enabling the proposal of an operational protocol that could extend battery lifespan by up to 20% while maintaining annual profits within a 5% margin.

A key goal of this project is to validate the tool by testing it under real commercial contracts, evaluating the operational protocols over at least 6 months period. Using the validated tool to replicate at least 3 business cases in real estate applications, considering 4 market scenarios, including other EU markets.