Compressed air energy storage multi-stream value assessment on the french energy market

The compressed air energy storage (CAES) technology is considered as an attractive bulk energy storage solution next to the pumped hydro storage, whose development potential is very limited, especially in Europe. Nowadays, the promotion of CAES in the power system will essentially depend on the economic viability of the investment project in certain economic and regulatory environment. This paper performs a global evaluation of 2^nd generation gas CAES plants on the French electricity markets, incorporating both regulated and deregulated sources of revenue.