Location of projects: Optimal location of projects can increase profit margins by positioning in areas with higher concentration of RES and grid congestion. Battery projects offer significant
Energy storage technology is one of the critical supporting technologies to achieve carbon neutrality target. However, the investment in energy storage technology in China faces
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Therefore, increasing the technology innovation level, as indicated by unit benefit coefficient, can promote energy storage technology investment. On the other hand, reducing the unit investment cost can mainly increase the investment opportunity value.
A firm choosing to invest in energy storage technology is equivalent to executing the value of the investment option . In this study, the investment opportunity value of an energy storage technology is denoted by F (P), that is, the maximum expected net present value when a firm invests in an energy storage technology.
Overall, this study is a further addition to the research system of investment in energy storage, which compensates for the deficiencies in existing studies. The Chinese government has implemented various policies to promote the investment and development of energy storage technology.
Additionally, the investment threshold is significantly lower under the single strategy than it is under the continuous strategy. Therefore, direct investment in future energy storage technologies is the best choice when new technologies are already available.
