An Optimal Approach to the Pre-Implementation Value Assessment of Smart Energy Systems; A 'Green' Hydrogen Case Study

Smart energy systems can be used to generate additional financial value by providing flexibility to the electricity network. It is fundamental to the effective economic implementation of these systems that an assessment can be made in advance to determine available value in comparison with any additional costs. The basic premise is that there is a distinct advantage in using similar algorithms to an actual smart energy system implementation for value assessment and that this is practical in this context, which is confirmed in comparison with simpler modelling methods. Analysis has been undertaken, using a ‘green’ hydrogen system case study, of the impact of various simplifications to the value assessment algorithms used to speed computation time without sacrificing the decisionmaking potential of the output. The results indicate, that for localised energy systems with a small number of controllable assets, an rolling horizon optimisation model with a significant degree of temporal and component complexity is viable for planning phase value assessment requirements, and would be a similar level of complexity to a computationally suitable implementation algorithm for actual asset control decision making.