Daimler ditches home storage to concentrate on utility scale ESS market

Daimler ditches home storage to concentrate on utility scale ESS market

Daimler ditches home storage to concentrate on utility scale ESS market 420 236 Energy Storage Journal

 

Mercedes-Benz Energy, a 100% subsidiary of Daimler, announced the launch of a 9MW/10MWh project on June 20 that will operate on the German energy markets — a month after exiting the residential energy storage markets.

The utility-scale battery storage plant was put into operation through a partnership involving the German vehicle OEM, energy contractors Getec Energie, and the technology company The Mobility House.

Almost 2,000 battery modules have been collated to form a live replacement parts store for the fleet of third generation electric vehicles in a plant in Elverlingsen in South Westphalia.

However, with a 10MWh output the modular battery storage plant will be used to access the energy market, including supplying primary balancing power.

The project is the third of its type in Germany and follows a 12.8MWh second life battery storage plant in Lünen and the 17.4MWh replacement parts storage facility in Hanover.

The projects aims to maximize the life of the batteries by cycling them while in storage ahead of being used in EVs while simultaneously engaging in the business model of providing grid services.

Earlier this year Daimler announced it was to stop its involvement in the residential storage markets. It was offering lithium ion 2.5kWh and 20kWh systems.

The company told ESJ on the side lines of ees Europe exhibition last week that the decision was made because it was felt the battery packs were ‘over engineered’ and there was little benefit to basing home energy storage systems on automotive batteries, in the medium or long term.

Instead, the representative said that the company would concentrate its storage business model on using second life battery packs from their EVs.

The Elverlingsen project highlights Germany’s shift from fossil fuel to renewables as it’s built on the site of a former coal-fired power station — built in 1912 — that has been shut down.