(1) Peak valley electricity price arbitrage

The majority of user side energy storage exists in the form of light storage in conjunction with low-power photovoltaic applications. The most direct way for users to increase energy storage capacity and achieve value is through arbitrage of peak and valley electricity prices. Users can charge their own energy storage batteries at a cheaper valley price during low load periods, and switch some or all of the load to be powered by their own energy storage batteries during peak load periods. The profit it can obtain can be estimated by the sum of peak electricity price, valley electricity price, and energy storage cost. The size of profits depends on the difference in peak valley electricity prices and the size of battery costs.

(2) Improving the utilization rate of self built photovoltaic power generation

Photovoltaic power generation has periodicity and can only output during suitable daytime lighting conditions. By installing energy storage batteries, the photovoltaic power generation can be stored and used in a timely manner, eliminating the limitation of asynchronous time between photovoltaic power generation and residential electricity consumption, greatly improving the utilization rate of photovoltaic power generation.

(3) Ensure the stability of power grid operation

In the past two years, the self built photovoltaic installed capacity of residents in China has grown rapidly, and the penetration rate of photovoltaic power generation without energy storage has increased, which will inevitably affect the stability of the power grid. If the output of photovoltaic power generation is too large, there will inevitably be a phenomenon of reverse power flow in local areas of the power grid, which will increase the difficulty of power grid scheduling and affect the safety of power grid operation. By installing energy storage batteries on the user side, a buffer layer can be formed on the low-voltage side to absorb some photovoltaic power generation with excessive output, making it easier for the dispatch department to control the power flow and ensure the stability of the power grid operation.