With increased global focus on transitioning to cleaner sources of energy like solar and wind, stationary energy storage is poised to play a pivotal role in maximizing the utilization of renewable energy. Stationary energy storage refers to large-scale battery systems or other technologies that store generated electricity and can discharge it when renewable energy sources are unavailable. By bridging the gaps between energy generation and consumption, stationary storage ensures a reliable flow of power.
Need for Stationary Energy Storage
While renewable energy technologies like solar panels and wind turbines have significantly advanced, one of their major limitations is intermittency - the fact that they only generate electricity when the sun is shining or wind is blowing. This poses challenges in matching supply with demand round the clock. For utilities and grid operators to seamlessly integrate higher amounts of variable renewable energy into the grid, reliable energy storage solutions are needed. Some other reasons driving the need for stationary storage include:
- Managing output fluctuations from renewable energy plants: Solar farms and wind parks see production vary during a day or with shifting wind speeds. Storage helps balance these fluctuations.
- Time-shifting energy: Storage helps dispatch renewable energy when it is most valuable for the grid by storing excess daylight generation for use after sunset. Similarly, off-peak wind power can be stored for use during peak hours.
- Ensuring grid reliability: By rapidly responding to imbalances in supply and demand, storage enhances grid stability and reliability especially with rising renewable penetration. It provides vital balancing services.
- Deferring infrastructure upgrades: Strategically placed storage can help utilities avoid or delay expensive network upgrades like transmission lines as renewable capacity increases in their service areas.
Storage Technologies
There are several storage technologies currently available or under development for large-scale stationary applications. Some of the most notable ones are:
Lithium-ion Batteries: Lithium-ion battery technology, driven by tech industry innovation, has revolutionized portable electronics and electric vehicles. Its scalability and improving cost-competitiveness is making it ideal for front-of-meter utility-scale storage projects. Several multi-MWh battery installations worldwide use this versatile technology.
Flow Batteries: Flow batteries store electrical energy in chemical solutions contained within external tanks connected to a power conversion system. Features like long operational lifetimes, multi-hour storage and minimum self-discharge has resulted in their use across various stationary storage projects globally, especially from manufacturers like Sumitomo Electric and Gildemeister.
Pumped Hydroelectric Storage (PHS): PHS uses off-peak or surplus electricity to pump water to a higher elevation reservoir and then releases it to lower reservoirs through turbines during peak periods or shortage to generate electricity. With over 95% of global storage capacity, PHS remains an economic solution for grid-scale backup despite its limitations in geographic deployment.
Compressed Air Energy Storage (CAES): CAES facilities compress air and pump it into underground caverns or aquifers during off-peak hours. This air is then heated with natural gas before being expanded through gas turbines to generate electricity on demand. As one of the oldest storage technologies, ADELE project in Germany is demonstrating next-generation adiabatic CAES.
Applications of Stationary Storage
Renewables Integration: Battery storage is playing a catalytic role in scaling up variable renewable energy sources by ensuring grid stability. Notable examples include Hornsdale Power Reserve's role in South Australia's 50% renewables grid and sodium-sulfur battery projects enhancing solar-plus-storage adoption in Asia.
Transmission Infrastructure Deferral: Strategically sited in transmission constrained areas, stationary batteries can reduce grid congestion and help delay costly wire upgrades. This has been demonstrated through projects by AES, Stem and NextEra.
Microgrid Applications: Off-grid communities and critical facilities are leveraging storage to maximize local renewables use while ensuring reliability through solutions developed by companies like Tesla, Greensmith, ENGIE and Sonnen.
Demand Charge Management: Commercial and industrial customers are increasingly using behind-the-meter storage for applications like peak shaving to lower high demand charges levied by utilities as evidenced by programmes by SimpliPhi Power and GS Y
Major energy research organizations project worldwide stationary storage installations to rapidly grow over 30% annually till 2030 as policies and cost declines accelerate deployments. The global stationary storage market valued at $2.3 billion in 2019 is expected to surpass $26 billion by 2030 according to BloombergNEF. While lithium-ion will continue dominating short-duration applications, technologies like flow batteries and PHS are poised to gain share in multi-hour duration projects essential for renewable energy integration into the grid. As more countries strategize 'Just Energy Transition' to decarbonize power systems, energy storage will be core to modernizing infrastructure and maximizing the value of variable renewable resources making the sector vital for a sustainable energy future. With conducive policies and technology advancements, stationary energy storage is set for exponential growth in this decade.
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