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Cost-Effectiveness of Distributed Generation Technologies 5.2.8 Storage Results For storage we examined two sizes of storage systems: a 1 MW and a 25 kW lithium-ion system. The larger 1 MW system was set to maximize benefits by load shifting during the year using 8,760 avoided costs provided by E3. The 25 kW system was set up to maximize benefits of distribution deferral using 8,760 avoided costs. The current SGIP rules require storage to be combined with an eligible technology (currently wind and fuel cells). In the SGIPce model we treated storage as a stand-alone technology in order to determine the cost impacts of storage systems. Storage at 1 MW Size Figure 5-37 shows the PCT results for the 1 MW storage system in PG&E’s territory under the Base Scenario. Without an incentive the technology has a negative MIRR of -15.3% and a PCT of 0.52. With the current incentive of $2.00/Watt, the MIRR is 4.6% and the PCT is 0.69. The evaluation team then ran the model with varying incentives to reach MIRR of 10% to 15%. No incentives were found to be suitable to reach an MIRR of 10% without exceeding the cost of the measure, therefore no incentives greater than the current incentives were evaluated. Itron, Inc. 5-60 Results and ObservationsPDF Image | Cost-Effectiveness of Distributed Generation Technologies
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