Techno-Economic Analysis of Non-Wire Alternative (NWA) Portfolios Integrating Energy Storage Systems (ESS) with Photovoltaics (PV) or Demand Response (DR) Resources Across Various Load Profiles

The Non-Wire Alternative (NWA) approach has gained attention as a strategy to replace or defer traditional grid infrastructure upgrades by leveraging integrated solutions combining Energy Storage Systems (ESSs) with Distributed Energy Resources (DERs). The overall feasibility and economics of distributed flexibility solutions can be enhanced by leveraging the synergies among various DERs for NWA deployment. This study presents the results of a techno-economic analysis of an NWA portfolio that integrates Photovoltaic (PV) generation and Demand Response (DR) resources with ESSs. Three representative load profiles are analyzed under different load growth scenarios: a balanced mix of industrial, commercial, and residential loads; residential-dominant loads; and commercial/industrial-dominant loads. The analysis shows that the combined deployment of PVs and DRs significantly reduces the required ESS capacity. Furthermore, economic analysis based on Benefit–Cost Analysis (BCA) demonstrated that combining ESSs with either PVs or DRs enhances economic efficiency compared with an NWA portfolio that relies on ESSs alone, particularly under low-capacity factor conditions. However, the effectiveness of a DR or PV varies depending on the load profile. DR is less effective when the peak load durations are prolonged, whereas PV offers limited economic benefits under residential loads with the evening peak demand. These techno-economic results highlight the importance of tailoring NWA portfolios to specific load conditions to maximize both technical performance and economic value.