development of energy storage systems. The current state of energy storage systems in Ukraine is studied. The capacity of the segment of energy storage systems in the energy market, due to the need to meet the requirements of the European Energy Community on the flexibility of the integrated energy system, renewable energy sources and the objective need to use such systems as system service providers. The sufficiency of market and state incentives for the broad application and development of energy storage technologies in the conditions of quasi-competitive and full-scale electricity market of Ukraine is determined, taking into account the perspective tendencies of energy development. The cost and benefit analysis of investment projects for installation and operation of energy storage systems for three most common and prospective types of applications for the Ukrainian electricity market: participation in the market of ancillary system services, participation in the balancing market and system constraints reduction (renewables) is conducted. The sensitivity of project indicators of these types of applications is analyzed depending on the number of parameters: variations in specific capital expenditures, green tariff rates, market prices "day ahead" and market conditions of system services. It is substantiated that in Ukraine the energy storage systems are the most promising as the providers of system services for primary regulation of frequency and power, a sufficient reserve of which is one of the conditions for integration of the Ukrainian power system into the European energy system ENTSO-E, ancillary services through auctions for the provision of primary regulation services with a long-term time horizon. Regarding the prospects for the development of decentralized energy system, it is proved that the development of decentralized storage systems consisting of industrial facilities, substations and other low-capacity energy facilities has great potential with reformatting the energy system architecture to "smart grid" standards to form fundamentally new economic incentives for the development of energy storage systems.
An Economic Evalution of Demand-side Energy Storage Systems by using a Multi-agent based Electricity Market
