Policy Evaluation and Enhanced Operational Strategies for PV-Linked ESS in Korea: Practical Applications and Insights from Real-World Data

Abstract

With the intensification of the global commitment to renewable energy, South Korea’s rapid expansion in renewable capacity necessitates efficient operational strategies to address the inherent variability of these energy sources. Despite the implementation of policies aimed at integrating energy storage systems (ESS) with renewable generation, such as providing additional renewable energy certificates (RECs), the measures undertaken remain relatively ineffective. Thus, this study evaluates the shortcomings of existing policies and proposes an innovative operational strategy tailored to Korea’s energy landscape. The strategy is implementable immediately using existing facilities, without requiring any new equipment, and facilitates profits of up to 12.45% greater compared with those generated using the original approach. Moreover, the results are nearly as effective as an ideal scenario wherein the PV generation and system marginal price are accurately known. Additionally, the decreased economic feasibility of ESS owing to the discontinuation of subsidies is highlighted and solutions are proposed to mitigate the problem. This underscores the urgent need for improved regulatory measures and enhanced operational strategies. The proposed approach highlights the potential to considerably reduce inefficiencies and operational costs, thereby contributing to more sustainable energy management practices within Korea.