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Optimisation of photovoltaic and battery systems for cost-effective energy solutions in commercial buildings

Author

Listed:
  • Laksahapsoro, Brantyo
  • Bird, Max
  • Acha, Salvador
  • Shah, Nilay

Abstract

This study investigates the optimisation of photovoltaic (PV) and battery energy storage systems (BESS) for commercial buildings in the UK, addressing the need for cost-effective energy solutions and the challenge of ensuring financial viability. A mixed-integer linear programming (MILP) model is developed to simultaneously optimise the design and operation of PV-BESS systems, focusing on minimising the 15-year net present cost. In doing so, the model comprehensively assesses a wide range of relevant factors, including electricity market dynamics, weather conditions, technology performance and costs, energy demand, and building-specific characteristics. The optimisation model is demonstrated through a case study informed by an actual commercial building in the UK. The results indicate that a combination of mono-crystalline silicon PV modules and lithium iron phosphate (LFP) batteries yields the optimal solution, providing about 46% of the building's annual energy demand. The optimised system successfully achieves a balanced trade-off between cost and technical performance, offering a sensible payback period of 5.5 years and a 15-year NPV of £303.8k, resulting in 20% cost savings compared to the business-as-usual (BaU) scenario. The sensitivity analysis shows that high electricity prices lead to better financial outcomes, while higher energy storage costs reduce system viability. This work provides a practical framework for evaluating the design, operation, and financial viability of PV-BESS systems, while delivering actionable insights to support the broader adoption of these technologies.

Suggested Citation

  • Laksahapsoro, Brantyo & Bird, Max & Acha, Salvador & Shah, Nilay, 2025. "Optimisation of photovoltaic and battery systems for cost-effective energy solutions in commercial buildings," Applied Energy, Elsevier, vol. 392(C).
  • Handle: RePEc:eee:appene:v:392:y:2025:i:c:s0306261925006373
    DOI: 10.1016/j.apenergy.2025.125907
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