Integration of Hydropower and Battery Energy Storage Systems into Manufacturing Systems - A Discrete-Event Simulation

The integration of on-site renewable energy generation into manufacturing systems can contribute to lower CO2-emissions and reduced energy costs for manufacturing companies. The main challenges for integrating on-site renewables arise from their volatile nature, paired with the variable energy demand of manufacturing processes. Battery Energy Storage Systems (BESS) can be used to synchronize energy generation and demand. This paper investigates the integration of an on-site micro hydropower-plant and a BESS into a chair-manufacturing plant using discrete-event simulation. The simulation model tracks the energy demand of the manufacturing process and models the allocation of the energy between the manufacturing process, the hydro-powerplant, the BESS and the grid. The results show cost reduction potentials of up to 55% and emission reduction potentials of up to 63% by integration of the hydropower-plant. The integration of the BESS can bring no further improvements regarding economic indicators. Further emission reductions could be achieved. A trade-off between economic and ecologic goals can be noted. The results clearly advocate the integration of renewable energies into manufacturing. While no clear recommendation for the integration of BESS can be made, further investigation of the application of BESS in combination with more volatile renewable energies (e.g., PV, Wind) is suggested.