Optimized Energy Storage Solutions for Your Business Projects

Grid-scale battery storage is one option for integrating renewable energy, but not always essential. Many systems can achieve high renewable penetration without storage by leveraging other flexibility sources like grid interconnections, demand management, and flexible generation. The need for batteries depends on factors like generation mix, demand patterns, and existing infrastructure. Often, alternatives like pumped hydro or transmission upgrades may be more cost-effective.

Key Characteristics of Battery Storage Systems:

Power Capacity (kW/MW): Maximum instantaneous discharge rate from full charge.

Energy Capacity (kWh/MWh): Total stored energy available.

Storage Duration (hours): Time a battery can discharge at full power before depletion (e.g., 4 MWh / 1 MW = 4 hours).

Cycle Life: Number of charge/discharge cycles before significant degradation.

Self-Discharge: Energy loss over time due to internal reactions (critical for long-duration storage).

State of Charge (%): Current energy level, affecting grid service availability.

Round-Trip Efficiency (%): AC-AC or DC-DC energy output vs. input, including losses (AC-AC matters most for utilities).

Key Services Provided by Battery Energy Storage Systems (BESS):

1. Energy Arbitrage
Charge during low-price periods, discharge during peak demand for profit.

Reduces renewable energy curtailment by storing excess generation.

2. Operating Reserves & Ancillary Services
Frequency Regulation: Instantaneous response to grid frequency fluctuations.

Ramping & Load-Following: Balances supply-demand mismatches in real time.

Spinning/Non-Spinning Reserves: Backup power during outages.

3. Grid Infrastructure Deferral
Delays costly transmission/distribution upgrades by managing peak demand.

Mobile BESS units can be relocated as grid needs evolve.

4. Black Start Capability
Restarts power plants after grid outages without diesel generators.

Provides other services (e.g., arbitrage) during normal operations.

Market & Reliability Benefits
U.S. Markets: Some services (e.g., frequency regulation) are monetized; others (e.g., black start) are emerging.

Growth: Utility-scale BESS deployments are expanding across these applications.

Battery storage can be strategically placed in three key locations, each offering distinct advantages:

1. Transmission Network
Best for: Grid-scale stability, ancillary services (frequency regulation, reserves), and deferring costly transmission upgrades.

Benefits:

Replaces gas peaker plants.

Reduces congestion from renewable generation or demand spikes.

Supports bulk power system reliability.

2. Distribution Network (Near Load Centers)
Best for: Localized demand management, power quality, and resilience.

Benefits:

Avoids land-use/emissions issues (unlike gas peakers).

Reduces grid losses & defers distribution upgrades.

Enhances community resilience (e.g., backup power during outages).

3. Co-located with Renewables (Solar/Wind Farms)
Best for: Smoothing variable output, reducing curtailment, and maximizing renewable energy use.

Benefits:

Stores excess generation for later use.

Lowers interconnection costs by providing grid-friendly output.

Key Considerations for Siting
Value Stacking: A single BESS can provide multiple services (e.g., arbitrage + frequency regulation), but location impacts revenue potential.

Cost-Benefit Analysis: Weigh interconnection costs, market opportunities, and grid needs (e.g., congested areas favor distribution siting).