Abstract:

Battery electric vehicles (BEVs) become popular to replace the fossil-fueled vehicles (FFVs) worldwide to reduce fossil resources depletion and pollution emissions. The lithium-ion batteries of BEVs are generally replaced when their capacity decays below 80% of the rated capacity. In this way, a large number of retired electric vehicle batteries (REVB) will be produced in a short time and cause new environmental pollution if REVB are not treated properly. To address this problem, one of the major solutions is to realize the echelon utilization of REVB based on the requirements of different application scenarios. Therefore, this study investigates the economic benefits of REVB participating in different Danish electricity markets. The objective function maximizes the profit in the different markets with considering REVB life loss cost in the operational process. Rainflow counting method is employed to accurately estimate the REVB life loss cost, leading to a strong nonlinearity of the optimization problem. Afterward, simulated annealing based particle swarm optimization (SAPSO) method is used to solve the nonlinear problem and find the optimal operational strategies of the REVB. Finally, a case study with considering different situations is provided to analyze the economic benefits of applying REVB in different markets. The study offers new business opportunities for energy storage and new energy industries and can help realize sustainable development in order to enhance the quality of people's lives and the environment.