63% of Planned Battery Storage in US to Be Co-Located With Solar

Sep 30, 2021 11:41 AM ET
  • Of the 14.5 gigawatts (GW) of battery storage power capability planned ahead online in the United States from 2021 to 2024, 9.4 GW (63%) will be co-located with a solar photovoltaic or pv (PV) nuclear power plant, based on information reported to us as well as released in the Annual Electric Generator Report.

An additional 1.3 GW of battery storage space will be co-located at sites with wind generators or fossil fuel-fired generators, such as all-natural gas-fired plants. The remaining 4.0 GW of intended battery storage space will certainly be located at standalone websites. This was the crucial thrust of a report by Vikram Linga, for the United States Energy Information Administration (EIA).

Historically, the majority of U.S. battery systems have been found at standalone websites. Of the 1.5 GW of operating battery storage capacity in the USA at the end of 2020, 71% was standalone, and 29% was located onsite with various other power generators.

Many standalone battery energy storage websites have actually been intended or constructed in power markets that are governed by regional transmission organizations (RTOs) and also independent system drivers (ISOs). RTOs and ISOs can enforce basic market regulations that set out clear earnings streams for energy storage space projects in their areas, which advertises the implementation of battery storage systems. Of the utility-scale battery systems introduced ahead online from 2021 to 2024, 97% of the standalone battery capacity and also 60% of the co-located battery ability remain in RTO/ISO areas.

Over 90% of the planned battery storage space capacity outside of RTO and ISO regions will certainly be co-located with a solar PV plant. At some solar PV co-located plants, the batteries can bill straight from the onsite solar generator when electrical energy demand and costs are low. They can after that release electrical energy to the grid when power need is higher or when solar generation is unavailable, such as during the night.

Although variables such as cloud cover can impact solar generation, solar generators specifically can properly couple with battery storage space because of their fairly routine everyday generation patterns. This predictability functions well with battery systems due to the fact that battery systems are restricted in how long they can release their power capacity prior to needing to recharge. If coupled with a wind generator, as an example, a battery system might go days prior to having the chance to totally recharge.

An additional benefit of pairing batteries with eco-friendly generators is the capability to make the most of tax motivations such as the Investment Tax Credit (ITC), which is available for solar projects.

Solar Installers, Manufacturers