Abstract: Under the background of a new round of energy revolution and power system reform， every link of power source， network and load puts forward diversified application requirements on energy storage technology. Realizing the initial stage of commercialization and large-scale development is the two-stage development goal of the energy storage industry during the 13th Five-Year Plan period. From the perspectives of investment， income， and operation， this paper analyzes the typical business model of energy storage in the early stage of market application. Combined with energy storage application business model， the mathematical model of life cycle optimization planning of energy storage under the owner's investment model and contract energy management mode are established. Considering the capacity attenuation characteristics of electrochemical energy storage， its life cycle assessment method and optimization algorithm are analyzed. The validity and feasibility of the proposed model and method are verified by case analyses. Finally， the influence of the decommissioning point of energy storage battery， battery cost and cycle life on planning results of energy storage system are discussed.

Key words: energy storage system, business model, optimization planning, life cycle assessment