Optimized profitability of LFP and NMC Li-ion batteries in residential PV applications

Abstract

This paper analyses the economic profitability provided by different types of Li-ion batteries when used in residential solar applications under a Model Predictive Control that optimizes the operation of the system. The control methodology takes profit of actually commercial time-of-use rates to minimize the operation costs. Also, the analysis takes into account the progressive degradation of the batteries involved by using state-of-the-art semi-empirical ageing models. The study is performed by means of annual simulations that use actual consumption curves for three different households and real PV production batteries, with extended lifetime warranties and prices below 600 e/kWh, under optimized operation and use even when only energy arbitrage and peak shaving services are considered.