Evaluating clean energy alternatives in hybrid power systems (HPS) is critical within sustainable development and zero-carbon policies. Considering the synchronization issues between energy generation and consumption, determining the optimal operating performance of battery energy storage systems (BESS) will likely increase support and interest in HPS investments. In this study, HPSs using shared BESSs for prosumers in a common bus distribution network are optimally sized with a minimum cost objective in a multi-year sensitivity analysis. Most importantly, the optimal C-rate and maximum depth of discharge (DODmax) operation are determined to match the supply-demand balance and maximize the HPS benefit at lower end-of-life (EOL) limits. The impact of increases in EOL limits on the technical, economic, and environmental feasibility of HPS and BESS aging is also evaluated. At the same time, all operations are performed considering four different sub-degradation models using the Arrhenius strategy and Rainflow Counting algorithm. The results show that increasing the C-rate reduces CO2 by up to 19% while increasing BESS equivalent cycles and cycling degradation by 28.26% and 10%, respectively. HPS performance is maximized based on optimum BESS operating at 80% DODmax. Based on the obtained results, it is also emphasized that the impact of BESS operating performance on HPS feasibility and aging analysis will be valuable for many stakeholders.