Battery energy storage systems (BESSs) and the economy-dynamics of microgrids: Review, analysis, and classification for standardization of BESSs applications

Existing literature on microgrids (MGs) has either investigated the dynamics or economics of MG systems. Accordingly, the important impacts of battery energy storage systems (BESSs) on the economics and dynamics of MGs have been studied only separately due to the different time constants of studies. However, with the advent of modern complicated microgrids, BESSs are bridging these two domains. Thus, there is a need to study how these two are related in conjunction with each other. Looking at both the economics and dynamics of MGs and exploring their links will help researchers develop joint Econo-dynamics models, notably in the context of digital twin technology, that could be the future trend toward net-zero emission systems. This paper reviews, analyses, and classifies BESSs applications based on their time constants. The classified BESS applications are: 1) synthetic inertia response; 2) primary frequency support to compensate for the slow response micro-sources; 3) real-time energy management for covering intermittent renewables; 4) economic dispatch for improving steady-state performance, and 5) slack bus realization. Research gaps and future trends have been discussed throughout the paper and are summarized in the future trend section.