Installing a solar power system on the roof is one thing. But making the most of the energy it generates is another. Many systems feed excess energy back into the grid, while at other times energy is drawn from the grid.
Optimizing self-consumption solves this problem: by making smart use of a battery, as much of the surplus PV energy as possible is used locally right away.
What is self-consumption optimization?
Self-consumption optimization is a power management strategy in which the battery monitors the connection to the main meter in real time. As soon as there is a surplus of PV production, the battery charges. As soon as there is a shortage—for example, in the evening or on cloudy days—the battery discharges to cover consumption. The goal is simple: to transfer as little energy as possible to and from the grid, and to use as much of the generated electricity as possible ourselves.
This is not a trading product. Market prices or imbalance positions are not taken into account. Control is based purely on the real-time power balance at the connection point.
When is it useful?
Optimizing self-consumption is most valuable when there is both a significant energy surplus and significant energy demand. This is typically the case for facilities with a large PV system and a continuous consumption profile, such as a farm, an industrial site, or a large-scale consumer with solar panels on the roof. During the day in summer, there is a lot of production, while consumption continues into the evening and night.
When is it less useful? If there is hardly any surplus—because consumption is always higher than PV production—the battery has no surplus to charge. And if there is hardly any consumption, there is no shortfall to compensate for. In both cases, the battery cannot realize its potential using this strategy.
What are the benefits?
Optimizing self-consumption yields savings in three areas:
1. Transmission costs
Reduced grid consumption means lower transmission costs. This is the most direct and certain benefit.
2. Energy Tax & Surcharges/Discounts
If the battery is included in the same contract as the PV system and electricity consumption, the customer also benefits from reductions in energy tax and grid fees for the energy used on-site.
3. kWmax costs
If the monthly peak power is actually reduced—which is the case when peak shaving is active as a supplement—the kWmax costs also decrease.
Peak shaving as a supplement
In addition to optimizing self-consumption, peak shaving can be added. This involves reserving a portion of the battery capacity for peak periods: if consumption threatens to exceed the contracted connection capacity, the battery automatically discharges to prevent this from happening. Peak shaving can always be used, regardless of whether PV is present.
Types of Contracts
The battery’s role in the energy contract directly affects revenue and operational complexity.
With solar + consumption on PAP and the battery on SAP, the benefits include savings on transmission costs and a simple contract structure. The battery does not affect nominations. Disadvantage: there is no benefit regarding energy tax or storage/discharge.
With solar + consumption + battery on PAP, the customer does benefit from energy tax advantages, and everything is arranged in a single contract. The disadvantage is that any nominations must be adjusted to the expected battery profile—deviations can cause imbalance costs.
Comparison with other strategies
| Optimization of self-consumption | Day-ahead optimization | aFRR | |
| Primary objective | Using surplus electricity for personal use | Price Arbitrage | Grid balancing for TenneT |
| Market revenue | No | Yes | Yes |
| Cost savings | Yes | Limited | No |
| Response time | Real-time | Daily schedule | Within 30 seconds |
What can Covolt do for you?
- Covolt configures self-consumption optimization based on your connection capacity and energy profile.
- The Covolt Horizon Control Box monitors power flows in real time and immediately regulates the battery if a limit is about to be exceeded.
- With the Covolt myHorizon app, you can always see how your battery has been performing.
- Covolt takes into account connection limits, safety margins, and optional assets such as charging stations and PV curtailment.
Want to know more?
Please contact us, and we’ll be happy to explain it to you!
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