The Role of Long-Duration Energy Storage in Deep Decarbonization: Policy Considerations

WRI.org

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  • A recent growth in targets for ambitious clean energy use and net zero greenhouse gas emissions has increased interest in the role of utility-scale storage, including long-duration energy storage, to achieve deep decarbonization of the power sector.
  • In future deep-decarbonization scenarios, energy storage holds the potential to address multiday weather-related events that lower the production of renewable energy, as well as seasonal differences in renewable energy resource availability that can last for weeks.
  • Today’s storage technologies provide only hours of storage, though with design and operational changes, compressed air energy storage and pumped hydro storage capacity could be stretched into days.
  • Other, less mature storage technologies may evolve to provide long-duration storage that compensate for seasonal variations in renewable energy supply, for example, technologies that create hydrogen through low-carbon processes.
  • Recent storage deployments in the United States have been driven by state storage mandates, utility investment, frequency regulation markets and declining battery costs.
  • Policymakers can play an important role in driving innovation, encouraging cost reductions and assessing the benefits of storage to provide greater options for maintaining reliability in future decarbonized grids through research and development, demonstration projects and regional studies. New approaches to financing, planning and procurement could reduce barriers to the adoption of long-duration storage technologies.

 

Beyond Declining Battery Prices: 6 Ways to Evaluate Energy Storage in 2021

greentechmedia.com

Balance of systems, software, supply chain constraints, and reliability and performance guarantees all weigh on total costs.

Batteries make up only a slice of energy storage system costs. (Credit: Ameren)

Batteries make up only a slice of energy storage system costs. (Credit: Ameren)

The energy storage market in the United States is booming, with 476 megawatts of new projects installed in the third quarter of 2020 alone, up 240 percent over the second quarter, according to industry analysts at Wood Mackenzie. 2021 is expected to be another record-breaking year for storage, but with technological innovation accelerating across the market, renewable energy asset owners need to carefully select safe and reliable systems to protect their storage investments. As the market accelerates, these are a few of the essential questions asset owners should be asking.

1. Evaluate pricing beyond the cell

When analysts speak about declines in storage pricing, they are referring to battery pricing, which continues to decline every year. Bloomberg New Energy Finance’s latest report states that current lithium-ion pricing stands at about $137 per kilowatt-hour and will drop as low as $100 per kWh by 2023.

However, purchasers of energy storage systems may see substantially higher prices for their projects, depending on a range of factors. For example, the lowest pricing for lithium-ion batteries is generally available for either a major supply contract or for very large-scale deployments of 500 megawatt-hours and above. Since most projects today are not that large, that $137 per kWh figure will be closer to $150 to $170 per kWh, and perhaps as high as $200 to $210 per kWh on the battery-pack level, depending on the size of the project.
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Southern California Edison Contracts Huge Storage Portfolio to Replace Gas Plants

Greentechmedia.com

The California utility’s 770-megawatt battery storage procurement, among the largest ever seen, faces a tough deadline in August 2021.

NextEra Energy will build three large solar-backed storage systems for Southern California Edison.

NextEra Energy will build three large solar-backed storage systems for Southern California Edison.

Utility-Scale Energy Storage Will Enable a Renewable Grid

ScientificAmerican

A roadblock to sustainable energy solutions is coming unstuck

Utility-Scale Energy Storage Will Enable a Renewable Grid
Credit: Vanessa Branchi

The way the world gets its electricity is undergoing a rapid transition, driven by both the increased urgency of decarbonizing energy systems and the plummeting costs of wind and solar technology. In the past decade electricity generated by renewables in the U.S. has doubled, primarily from wind and solar Tiếp tục đọc “Utility-Scale Energy Storage Will Enable a Renewable Grid”

Could water solve the renewable energy storage challenge?

IIASA
Seasonally pumped hydropower storage could provide an affordable way to store renewable energy over the long-term, filling a much needed gap to support the transition to renewable energy, according to a new study from IIASA scientists.

© Alin Neamtu | Dreamstime.com

© Alin Neamtu | Dreamstime.com

Seasonal pumped hydropower storage (SPHS), an already established yet infrequently used technology, could be an affordable and sustainable solution to store energy and water on an annual scale, according to new IIASA research published in the journal Nature Communications. Compared with other mature storage solutions, such as natural gas, the study shows that there is considerable potential for SPHS to provide highly competitive energy storage costs.

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Global energy storage market to surge to 15 GW by 2024

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Declining Renewable Costs Drive Focus on Energy Storage

NREL

Jan. 2, 2020

The AES Corporation, based in Virginia, installed the world’s largest solar-plus-storage system on the southern end of the Hawaiian island of Kauai. A scaled-down version was first tested at NREL. Photo by Dennis Schroeder, NREL

An oft-repeated refrain—the sun doesn’t always shine, and the wind doesn’t always blow—is sometimes seen as an impediment to renewable energy. But it’s also an impetus toward discovering the best ways to store that energy until it’s needed.

Declining costs in available technologies have propelled interest in energy storage forward like never before. The price of lithium-ion batteries has fallen by about 80% over the past five years, enabling the integration of storage into solar power systems. Today, nearly 18% of all electricity produced in the United States comes from renewable energy sources, such as hydropower and wind—a figure that is forecast to climb. And as communities and entire states push toward higher percentages of power from renewables, there’s no doubt storage will play an important role.

Compared with the same period a year earlier, the United States saw a 93% increase in the amount of storage deployed in the third quarter of 2019. By 2024, that number is expected to top 5.4 gigawatts, according to a forecast by market research firm Wood Mackenzie Power & Renewables. The market value is forecast to increase from $720 million today to $5.1 billion in 2024. Driving such growth is an increased focus on adding renewable energy sources to the nation’s grid. Tiếp tục đọc “Declining Renewable Costs Drive Focus on Energy Storage”

Top 5 Developments Enabling Shift to 100 Percent Renewable Energy

Renewableenergyworld – A growing number of companies, cities, states and countries are aiming for, and achieving, a goal of obtaining power from 50 percent, 75 percent or even 100 percent renewable energy, thanks, in part, to a set of major developments that are enabling the resource shift, according to a new report from Clean Edge.

Commissioned by SolarCity, the report Getting to 100 discusses what is driving the transition to increasing levels of renewable energy consumption and identifies the successes and challenges of both governments and companies in targeting, and/or achieving, 100 percent renewable energy goals.

According to the report, these five developments are supporting the trend toward higher penetrations of renewable energy:

  • A resilient grid
  • A rise in net zero buildings and smart connected devices
  • Energy storage availability and affordability
  • Proliferation of utility-scale renewables
  • Cost-effective status of distributed solar across geographies

Distributed Solar Becomes Cost-Effective Across Geographies

The proliferation of ever-cheaper distributed solar generation – residential, commercial and community – is a key driver toward the 100 percent renewable energy goal, according to the report.

“The cost curves are undeniable,” the report said. “The plummeting prices of solar panels have been well-documented, but the industry has recently been attacking balance-of-system costs and so-called soft costs (such as marketing, customer acquisition, permitting, and installation) as well.” Tiếp tục đọc “Top 5 Developments Enabling Shift to 100 Percent Renewable Energy”