  The power system needs more transmission capacity to deal with the increasing
integration of renewable energy resources. The battery energy storage systems
(BESSs) are effective to enhance the grid capacity and relieve the transmission
congestion. A comprehensive revenue analysis of BESSs is critical for market
participants to install such systems in a market-based power system. Taking PJM
as an example, this paper carries out a thorough revenue analysis for the
entire system. Highly profitable nodes in the system are revealed and
characterized for BESS participants. A comparison study of stationary and
transportable BESSs shows the transportable energy storage can produce higher
potential revenue in the energy and regulation markets. Based on the results of
the revenue analysis and characterization of commercial pricing nodes, an
optimal placement algorithm is proposed for finding the profitable sites for
market participants to install BESSs in the system and the algorithm is
validated with real PJM market data.
