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Solar energy storage in German households: profitability, load changes and flexibility

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  • Kaschub, Thomas
  • Jochem, Patrick
  • Fichtner, Wolf

Abstract

The developments of battery storage technology together with photovoltaic (PV) roof-top systems might lead to far-reaching changes in the electricity demand structures and flexibility of households. The implications are supposed to affect the generation mix of utilities, distribution grid utilization, and electricity price. Using a techno-economic optimization model of a household system, we endogenously dimension PV system and stationary battery storage (SBS). The results of the reference scenario show positive net present values (NPV) for PV systems of approx. 500–1,800EUR/kWp and NPV for SBS of approx. 150–500EUR/kWh. Main influences are the demand of the households, self-consumption rates, investment costs, and electricity prices. We integrate electric vehicles (EV) with different charging strategies and find increasing NPV of the PV system and self-consumption of approx. 70%. With further declining system prices for solar energy storage and increasing electricity prices, PV systems and SBS can be profitable in Germany from 2018 on even without a guaranteed feed-in tariff or subsidies. Grid utilization substantially changes by households with EV and PV-SBS. We discuss effects of different incentives and electricity tariff options (e. g. load limits or additional demand charges). Concluding, solar energy storage systems will bring substantial changes to electricity sales.

Suggested Citation

  • Kaschub, Thomas & Jochem, Patrick & Fichtner, Wolf, 2016. "Solar energy storage in German households: profitability, load changes and flexibility," Energy Policy, Elsevier, vol. 98(C), pages 520-532.
  • Handle: RePEc:eee:enepol:v:98:y:2016:i:c:p:520-532
    DOI: 10.1016/j.enpol.2016.09.017
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