Optimization of Data Center Battery Storage Investments for Microgrid Cost Savings, Emissions Reduction, and Reliability Enhancement

This paper presents a methodology for optimizing investment in data center battery storage capacity. Utility grid managers spend significant resources toward predicting and matching available power generation capacity to demand in real time. It is therefore essential for the success of the power industry that economic dispatch, energy efficiency, and grid security be maintained as power requirements change. This is especially challenging for microgrids during periods of peak demand due to limited available capacity. Data centers possess a unique requirement for short-term battery power supply where cost savings, emissions reduction, and reliability enhancement can be achieved through investment in additional battery capacity. To maximize these benefits, an optimization methodology is presented through a case study for an existing data center and microgrid. Here, we discuss a case study demonstrating the effectiveness of the proposed approach. For the selected mid-size data center, our results indicate monetize monthly savings of up to 10 000$ and 0.5% reduction in loss of load probability while simultaneously reducing carbon footprints. The results of this work are directed toward large data centers at university and corporate campuses, microgrids, and military installations.