the role of energy storage in the energy transition 22 october … · 2018-10-24 · corentin...
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CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
The role of energy storage in the energy transition22 October 2018
by Corentin Baschet, Clean Horizon Consulting
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting 2
An overview of Clean Horizon
Since its creation in 2009, Clean Horizon has been a consultancy 100%
dedicated to energy storage
Technical consulting
Our activities
Market analysis
▪ Off the shelf reports
▪ Customized analyses
▪ Update from the Field
subscription
▪ Storage projects database
▪ Owner’s engineer
▪ Energy storage project sizing
▪ Due diligence
▪ Grid impact studies
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting 3
Storage deployment and technologies
Storage applications across the electricity supply chain
Applications diversify as the market grows
Agenda
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
Storage deployment is increasing globally at an
expontential rate: x3 from 2015 to 2018
4
Large-scale energy battery storage announced or contracted (2011 – 2018)
0
5
10
15
20
25
30
0
500
1 000
1 500
2 000
2 500
3 000
2011 2012 2013 2014 2015 2016 2017 2018(ongoing)
Ave
rage
Siz
e (M
W)
Pow
er (
MW
)
Large-Scale Battery Systems (Announced or Contracted)
Total (MW)
Average Size (MW)
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
Legend:
In utility-scale energy storage, Li-ion is by far the most
widely used technology
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2,8%
1,9%
86,1%
7,9%
0,1%1,2%
Lead-acid
Vanadium Flow
Li-ion
Sodium-Sulfur
Zinc Bromine
Other
Share of battery technologies installed for utility-
scale (>500 kW) energy storage projects, as of May
2018, (based on MW installed)
Legend:
TOTAL DEPLOYMENTS1 OVER 2003-2018:
2485 MW
Share of battery technologies installed in 2017 for
utility scale energy storage projects,
(based on MW installed)
TOTAL DEPLOYMENTS1 IN 2017:
378 MW
1,3%
98,5%
Lead-acid
Vanadium Flow
Li-ion
Sodium-Sulfur
Zinc Bromine
Other
Source: Clean Horizon’s Energy Storage Source
Note: 1. relates to projects actually installed and commissioned
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting 6
Here are some market leaders’ products
Companies providing integrated systems
LG chem provides
integrated racks
which include
modules and BMS /
BMU
SDI provides
integrated racks
which include
modules and BMS /
BMU
SDI offers racks in
several
configurations (e.g
horizontal or
vertical)
Tesla3LG Chem1
Samsung SDI2 BYD4
Tesla provides
integrated DC
“pods” which
contain the battery,
as well as the
inverter connecting
up to 10 “pods” to
the LV bus.
BYD provides
integrated
containers with
batteries, power
conversion, and
SCADA
Source: 1. http://greenpowerco.com.au/products/batteries/lg-chem/lg-chem-rack-system-r1000-m4860p2b/ 2. https://www.canadianmanufacturing.com/technology/canadian-
energy-firm-powers-up-north-americas-largest-battery-182821/ 3. https://insideevs.com/tesla-powerpack-craft-beer-come-together-sierra-nevada-brewing-company/
4. https://www.businesswire.com/news/home/20121105006882/en/UPA-Installs-500KWh-Environmentally-Friendly-Containerized-Battery-BYD
Companies providing racks
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting 7
Storage deployment and technologies
Storage applications across the electricity supply chain
Applications diversify as the market grows
Agenda
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
Storage has many applications across the electricity
supply chain resulting in different storage sizing
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Capacity mechanism
Grid investment deferal
(DSO procurement)
Hybrid diesel + renewables + storage for an off-grid site
Application
Value chain
GenerationTransmission
& DistributionBehind the meter
Storage duration <1h Storage duration >1h
Frequency control
Load shifting
Renewable energy
integration
Grid congestion
management
Microgrid / Offgrid
California AB2514 &
Aliso Canyon
"Global ajustement
charge" en Ontario
PPA for PV plus
storage in Arizona
Legend:
Electricity bill
reduction
Enhanced Freq Resp
Freq Control & AS
Freq Containmt Reserve
No specific requirement
Residential storage
agregation
Solar self consumption
Capacity mechanism Capacity mechanism
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
Most of the 2.5 GW deployed today provide frequency
regulation as a main application
99
▪ Frequency
control is the
main
application for
67 % of the
projects
deployed
▪ Other
applications are
more localized
(Electricity bill
reduction in the
US and Korea,
Load shifting in
California…)
Repartition of the operational large scale battery storage per main application and per continent
(in MW)
0
200
400
600
800
1000
1200
1400
1600
1800
FrequencyControl
RenewableEnergy
Integration
Load ShiftingElectricity BillReduction
GridCongestion
Management
Microgrid CapacityMechanism
Legend:
Africa
Asia
Oceania
Europe
North America
South America
Frequency control is by far the main application of most of the operational projects
40
151
1664
86
249
58
221
Main application
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting 10
Storage deployment and technologies
Storage applications across the electricity supply chain
Applications diversify as the market grows
Agenda
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
An additional 3.8 GW has been announced and shows
that the markets for storage are evolving fast as
applications diversify
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Repartition of the announced large scale battery storage per main application and per
continent
(in MW)
0
100
200
300
400
500
600
700
800
900
1000
Legend:
Africa
Asia
Oceania
Europe
North America
South America
544
430
633
23
408
20
926
796
Storage main application
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
In Great Britain, the Leighton Buzzard project provides both
frequency regulation (FFR) and grid investment deferal
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The Leighton Buzzard project (Smarter Network Storage) was funded by the UK government as a trial
to defer substation upgrade in South West of the country in 2014
Size 6 MW / 10MWh
Technology Li-ion
Substation demand
In MVA
The project is now operated by an aggregator and provides ancillary services to the grid such as Frim
Frequency Response (FFR)
Limejump now operates the storage system to
respond dynamically to grid frequency deviations.
The system is paid for availability in €/MW/h
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
The Neoen and Tesla 100 MW / 129 MWh project in South
Australia does arbitrage on top of ancillary services
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The battery also does some arbitrage on the energy markets with the remaining capacity: in January, the battery
system earned over 1 million AUD in two days
In South Australia, Tesla and Neoen installed a 100 MW / 129 MWh storage system mainly to provide frequency
regulation to the grid
The contract between Neoen and the state is not public but it
seems from the battery behaviour that
▪ 70 MW / approximately 39 MWh is dedicated to provide
frequency regulation (market called FACS, contract with SA
government – not public)
▪ 30 MW / approximately 90 MWh is used to do arbitrage on the
wholesale market
Sources: https://reneweconomy.com.au/tesla-big-battery-moves-from-show-boating-to-money-making-93955/
https://hornsdalepowerreserve.com.au
CONFIDENTIAL - Copyright © 2018 Clean Horizon Consulting
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Corentin Baschet, MSc
Clean Horizon
+33 7 81 34 15 30
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