Energy storage systems for carbon neutrality: Challenges and opportunities

Huadong MO; Chaojie LI; Nina LIU; Bo ZHAO; Haoxin DONG; Hangyue LIU; Enrico ZIO

doi:10.1007/s42524-025-4190-3

Energy storage systems for carbon neutrality: Challenges and opportunities

Huadong MO^*
, Chaojie LI^*
, Nina LIU
, Bo ZHAO
, Haoxin DONG
, Hangyue LIU
, Enrico ZIO

^*Corresponding author for this work

Research output: Journal Publications and Reviews › RGC 21 - Publication in refereed journal › peer-review

23 Citations (Scopus)

1 Downloads (CityUHK Scholars)

Abstract

In recent years, improvements in energy storage technology, cost reduction, and the increasing imbalance between power grid supply and demand, along with new incentive policies, have highlighted the benefits of battery energy storage systems. These systems offer long life, low cost, and high energy conversion efficiency. While energy storage is gradually transitioning from demonstration projects to commercial operations, its technical and economic performance is still limited, and it lacks economies of scale. Research on the design and operational optimization of energy storage systems is crucial for advancing project demonstrations and commercial applications. Therefore, this paper aims to provide insights into system configuration and operational optimization. It first summarizes the optimal configuration of energy storage technology for the grid side, user side, and renewable energy generation. It then analyzes and reviews the economic optimization and cybersecurity challenges in power system operations. Finally, this paper discusses unresolved issues in energy storage applications and highlights important considerations for future implementation and expansion. © The Author(s) 2025.

Original language	English
Pages (from-to)	305-329
Number of pages	25
Journal	Frontiers of Engineering Management
Volume	12
Issue number	2
Online published	29 Mar 2025
DOIs	https://doi.org/10.1007/s42524-025-4190-3
Publication status	Published - Jun 2025
Externally published	Yes

Funding

Open Access funding enabled and organized by CAUL and its Member Institutions.

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 7 Affordable and Clean Energy
SDG 13 Climate Action

Research Keywords

battery energy storage
configuration planning
economics and security
energy storage technology
operation optimization

Publisher's Copyright Statement

This full text is made available under CC-BY 4.0. https://creativecommons.org/licenses/by/4.0/

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10.1007/s42524-025-4190-3

356445369.pdfFinal Published version, 3.52 MBLicence: CC BY

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title = "Energy storage systems for carbon neutrality: Challenges and opportunities",

abstract = "In recent years, improvements in energy storage technology, cost reduction, and the increasing imbalance between power grid supply and demand, along with new incentive policies, have highlighted the benefits of battery energy storage systems. These systems offer long life, low cost, and high energy conversion efficiency. While energy storage is gradually transitioning from demonstration projects to commercial operations, its technical and economic performance is still limited, and it lacks economies of scale. Research on the design and operational optimization of energy storage systems is crucial for advancing project demonstrations and commercial applications. Therefore, this paper aims to provide insights into system configuration and operational optimization. It first summarizes the optimal configuration of energy storage technology for the grid side, user side, and renewable energy generation. It then analyzes and reviews the economic optimization and cybersecurity challenges in power system operations. Finally, this paper discusses unresolved issues in energy storage applications and highlights important considerations for future implementation and expansion. {\textcopyright} The Author(s) 2025.",

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TY - JOUR

T1 - Energy storage systems for carbon neutrality

T2 - Challenges and opportunities

AU - MO, Huadong

AU - LI, Chaojie

AU - LIU, Nina

AU - ZHAO, Bo

AU - DONG, Haoxin

AU - LIU, Hangyue

AU - ZIO, Enrico

PY - 2025/6

Y1 - 2025/6

N2 - In recent years, improvements in energy storage technology, cost reduction, and the increasing imbalance between power grid supply and demand, along with new incentive policies, have highlighted the benefits of battery energy storage systems. These systems offer long life, low cost, and high energy conversion efficiency. While energy storage is gradually transitioning from demonstration projects to commercial operations, its technical and economic performance is still limited, and it lacks economies of scale. Research on the design and operational optimization of energy storage systems is crucial for advancing project demonstrations and commercial applications. Therefore, this paper aims to provide insights into system configuration and operational optimization. It first summarizes the optimal configuration of energy storage technology for the grid side, user side, and renewable energy generation. It then analyzes and reviews the economic optimization and cybersecurity challenges in power system operations. Finally, this paper discusses unresolved issues in energy storage applications and highlights important considerations for future implementation and expansion. © The Author(s) 2025.

AB - In recent years, improvements in energy storage technology, cost reduction, and the increasing imbalance between power grid supply and demand, along with new incentive policies, have highlighted the benefits of battery energy storage systems. These systems offer long life, low cost, and high energy conversion efficiency. While energy storage is gradually transitioning from demonstration projects to commercial operations, its technical and economic performance is still limited, and it lacks economies of scale. Research on the design and operational optimization of energy storage systems is crucial for advancing project demonstrations and commercial applications. Therefore, this paper aims to provide insights into system configuration and operational optimization. It first summarizes the optimal configuration of energy storage technology for the grid side, user side, and renewable energy generation. It then analyzes and reviews the economic optimization and cybersecurity challenges in power system operations. Finally, this paper discusses unresolved issues in energy storage applications and highlights important considerations for future implementation and expansion. © The Author(s) 2025.

KW - battery energy storage

KW - configuration planning

KW - economics and security

KW - energy storage technology

KW - operation optimization

UR - https://www.scopus.com/pages/publications/105003751801

UR - https://www.scopus.com/record/pubmetrics.uri?eid=2-s2.0-105003751801&origin=recordpage

U2 - 10.1007/s42524-025-4190-3

DO - 10.1007/s42524-025-4190-3

M3 - RGC 21 - Publication in refereed journal

SN - 2095-7513

VL - 12

SP - 305

EP - 329

JO - Frontiers of Engineering Management

JF - Frontiers of Engineering Management

IS - 2

ER -

Energy storage systems for carbon neutrality: Challenges and opportunities

Abstract

Funding

UN SDGs

Research Keywords

Publisher's Copyright Statement

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