Lifetime Estimation of Grid-Connected Battery Storage and Power Electronics Inverter Providing Primary Frequency Regulation

Battery Energy Storage Systems (BESSs) are a new asset for Primary Frequency Regulation (PFR), an ancillary service for improving the grid stability. The system operators determine the implementation and remuneration of PFR. However, assessing the revenue stream is not enough to define the business case, as also the components’ lifetime has to be estimated. Previous studies of lifetime estimation for BESSs performing PFR considered only the electrochemical storage, disregarding the power electronics (PE). Nonetheless, researchers have shown the importance of estimating PE wear due to the operation when applied in renewable energy generation and microgrids. This paper presents a lifetime analysis of BESSs providing PFR considering IGBT modules, electrolytic capacitors and electrochemical storage degradation. The lifetime information is used to estimate BESS's Net-Present-Value (NPV), evaluating the benefits of deploying PE-based BESS in the European grid. A comparison between different countries, Germany, the Netherlands, and the U.K., is performed, considering the PFR implementation and remuneration differences. The analysis shows that the BESS management strategy can extend its lifetime and that the component that exhibits the shortest lifetime is the electrochemical storage. The PE components are subject to low wear due to the low power utilization and, therefore, small thermal swings while performing PFR. In conclusion, the provision of PFR by means of BESS has been found to be profitable in all three countries. However, in the Netherlands, the potential NPV has been estimated to be 47% and 76% higher than in Germany and the U.K., respectively.