Effective storage systems are essential to the success of the energy transition.
This is because renewable energy sources, such as wind and solar, are naturally intermittent: the Sun doesn’t always shine, and the wind doesn’t always blow. These characteristics were traditionally seen as a weakness when making the case for renewable energy, but now, thanks to efficient storage systems, this problem has a solution.
We are witnessing the dawning of a new era for renewable energy, which is essential to the well-being of our planet and its inhabitants. On these pages we explain everything you need to know about energy storage and its vital role in the production of green energy.
What is energy storage?
Energy storage is defined as the capture of intermittently produced energy for future use.
In this way it can be made available for use 24 hours a day, and not just, for example, when the Sun is shining, and the wind is blowing. It can also protect users from potential interruptions that could threaten the energy supply.
As we explain later on, there are numerous types of energy storage, but the main one is battery storage. As is the case with electric vehicles, mobile phones and torches, batteries store the energy and make it available on demand, but on a larger scale. And the development projections for storage are promising.
According to a 2017 IRENA (the International Renewable Energy Agency) Report, Electricity Storage and Renewables, the potential doubling of the growth of renewables – between 2017 and 2030 – will require a tripling of the stock of electrical energy available in storage systems: from 4.67 terawatt hours in 2017 to a range between 11.89 and 15.72 TWh in 2030.
An Ally for Renewables
Storage systems are fundamental to the future of renewable energy. They store electricity and make it available when there is greater need, acting as a balance between supply and demand and thus helping to stabilize the grid.
Year after year, new materials and cutting-edge technological solutions are being introduced, providing greater efficiency, lower costs and a design-to-recycle approach, in order to obtain a more sustainable product.
History
A brief history of ingenuity and evolution
Energy storage and renewable energy might sound like modern concepts, but they have been with us for centuries. Medieval society harnessed wind power in the form of windmills, while energy storage goes back to the days of ancient Egypt.
How energy storage works
When the frequency of the electrical grid falls because of heightened demand, the storage system is able to deliver stored energy in just a few seconds; if the frequency increases due to a drop in demand, the system charges with the excess energy. This double function is fundamental to the stabilization of electrical grids.
Never again without energy: the benefits of energy storage
The benefits of energy storage are, like renewable energy itself, unlimited: lower costs, zero CO2 emissions, with untold benefits for both the environment and humanity. And, as is the case with renewable energy, BESS can create jobs. According to an article that was published on LinkedIn in October 2023 “The growth of the BESS industry has led to the development of new employment opportunities in manufacturing, installation, and maintenance.”
BESS is a “win-win situation” in every respect.
Increasingly Common and Affordable
The large-scale production of battery systems enables storage to take hold faster, thereby guaranteeing higher levels of performance.
Toward the Energy Transition
With storage systems, renewables can shift gears, thereby speeding up the energy transition in preparation for the future.
Ancillary Services
Storage also leads to new services for electrical system security (static reserve, regulation of frequency, voltage and restarting) that had previously been the exclusive domain of conventional sources.
Applications
Energy storage systems be applied both on a large and a small scale. They can either feed the grid or they can be used in small-scale, residential, so-called "behind the meter" solutions.
Electricity storage in the USA
The energy storage market in the United States is growing rapidly. According to Statista it surpassed $1.6 billion in 2020 and is expected to reach $8.2 billion in 2025. The sector was given a boost by the 2022 Inflation Reduction Act (IRA).
In March 2024, Carla French, the principal director at the Department of Energy’s Office of Policy, addressed the Energy Summit USA 2024 in Austin, Texas. She told the audience: “Before IRA, our national labs were projecting about 50GW of energy storage buildout by 2040. Post-IRA, our analysis, and pretty much everyone else’s, is now projecting more than 200GW by 2040.”
Frequently asked questions about battery storage systems
By 2050, nearly 50% of the electricity fed into the grid will be generated from renewable sources. However, their intermittent nature means that solutions must be found to match electricity production with demand. In this respect BESS (Battery Energy Storage Systems) are highly effective. They use batteries (mostly lithium-ion) to store energy and then release it as needed. Here are a series of answers to the main questions about these devices.
Frequently asked questions on energy storage in USA and Canada
As renewable energy continues to grow in the US and Canada, so does the demand to install utility-scale battery energy storage systems (BESS). The market’s demands for system flexibility combined with decreasing costs in battery technology is leading BESS to play a more important role than ever in the energy market. By 2023, an additional 3.6 GW of large scale battery storage is planned to be operational in the US.