May 16, 2019: Long duration storage is set to take a larger share of the energy storage market as the trend toward greater renewable energy penetration on the grid and declining lithium ion battery costs continues.
Nitzan Goldberger (pictured), Energy Storage Association’s state policy director, told ESJ that she saw the trend for long-duration storage continuing as the price of batteries fell.
She said: “For bulk system supply, four-hour duration is increasingly the norm, and over the medium term you are likely to see that trend increase somewhat as costs continue to decline and storage penetrations begin to increase beyond initial deployments.”
Goldberger believes longer duration storage will likely be used for infrastructural purposes such as storage-as-transmission or as part of a resilience strategy for power customers and microgrids.
North America, Western Europe and Asia Pacific are forecast to account for almost 90% of global, long-duration storage deployment up to 2027, Navigant Research’s Long Duration Energy Storage report found in January.
The majority of these deployments — between four to eight hours — will be lithium ion, stated the report.
Deployment in long duration energy storage mirrors the growth of renewable energy assets that cause issues with grid stability and efficiency because of their variable output
Brett Simon, senior analyst, energy storage, behind-the-meter at Wood Mackenzie, told ESJ that shorter duration assets of one to three hours would continue to be deployed, particularly in behind-the-meter applications, with some distribution infrastructure support to deal with higher demand-side resource penetration.
He said: “When it comes to duration, it depends on how developers define long and short-term duration. Everyone seems to say different things; some people consider short duration to be less than an hour, some anything less than four hours for people involved in things like hydrogen storage.
“Over time we are seeing average discharge durations increase: back in 2015 the average BTM duration was about two hours, today we are at two-and-a-half on average and by 2024 residential storage will be approaching three hours and the C&I sector will be over three hours most certainly.”