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• Methodology for assessment of generation-integrated and non-generation-integrated energy storage systems is developed. • Assessment covers economics, environment, and network constraints. • An efficient method of scheduling behind-the-meter storage is designed. • Storage alongside a community hydro scheme in North Wales is investigated. • Storage on a scale of 1 kWh per household can increase scheme membership by >30%. In this paper, we investigate how energy storage can be used to increase the value of community energy schemes through cost reductions, infrastructure support, increased scheme membership, and reduced carbon emissions. A linear programming optimisation framework is developed to schedule the operation of behind-the-meter energy storage such that costs are minimised, while keeping peak demands within allowable limits. This is also extended to model generation-integrated energy storage systems, where the storage is located in the flow of energy from primary source (e.g. wind) to a usable form (e.g. electricity). To demonstrate the potential of energy storage within a real community energy scheme, we present a case study of a community hydro scheme in North Wales, considering both battery storage and a reservoir-based storage system. It is found that either system can be used to substantially increase the membership of the scheme while avoiding impacts on the electricity network, but that storage remains prohibitively expensive when used for self-consumption of renewables and arbitrage. We also investigate the impacts of energy storage on the community's carbon emissions, showing that storage operation appears to provide very little additional reduction in emissions when grid average emissions factors are used. [ABSTRACT FROM AUTHOR]