What is frequency regulation with energy storage?
The balance between supply and demand (renewable and non-renewable) must always be maintained to keep the grid frequency stable at a nominal frequency of 50 Hz. Frequency regulation with energy storage projects is a major opportunity for the energy industry. Transmission system operators need to compensate for fluctuations and provide short-term frequency regulation with energy storage to stabilize the grid frequency at 50 Hz. When the frequency is too high (greater than 50 Hz), negative frequency regulation is required, and when the frequency is too low (less than 50 Hz), positive frequency regulation is performed. There are two types of frequency regulation with energy storage: positive frequency regulation and negative frequency regulation. Decentralized power system operators can connect their systems to a "virtual energy system" called a virtual power plant (VPP). When the grid frequency needs to increase, the system can adjust the frequency with energy storage to meet the grid demand (positive load balancing). This process can be done by emergency backup generators or decentralized combined heat and power units that are continuously running. When the grid frequency is too high, the system can flexibly adjust to reduce the amount of electricity it feeds into the grid (negative load balancing). Grid operators set activation times for each unit in accordance with national regulations. By joining such a virtual energy market, operators can earn additional revenue while shortening their investment payback period.
