This page allows the user to create any number of assumption sets. An assumption set defines battery physical and financial characteristics, market elasticity and FCAS utilisation. These assumptions are deliberately kept simple and aim to reflect the detail of assumptions typically used in financial models that may then be used to develop a business case for financing. Our Production Grade vAdvisor includes dynamic price elasticity, multiple price forecasts, variable characteristics (such as cycle cost) and regulation FCAS utilisation forecasts.
Edit Assumptions
Fill in or Edit a set of assumptions. Then click Save Assumptions. As you save assumptions you will create a list of assumptions which you select from when running a solve.
Cycle cost and cycle cost percentage
Cycle cost represents the break even value required to achieve your business case. However market opportunities and perceived opportunities in the medium to long term require you to adjust the cycle cost in order to maximise the life value of your asset(s). Also your investor requirements may limit your expected operating profile. If you don’t adjust your cycle cost then you will cycle your battery more or less than planned. Rather than change the cycle cost to represent the optimal market opportunity price you preserve the cycle cost value and use the cycle cost percentage to add a premium or discount to the cycle cost. Hence if a cycle cost percentage of 10% is used then the a premium of 10% is added to the cycle cost.
A reasonable set of battery assumptions is shown below. Note that by setting “cycle cost percentage” to zero means that no adjustment is made to the base cycle cost of $80/MWhr.
