Energy storage is a fairly generic term that is quite often associated with storing energy for uses related to the Electric Grid and the creation of energy.
Energy Storage has almost a dozen value streams that can be monetized now or in the future. The two biggest and most obvious value streams are that it can provide extra capacity in times of high demand, and it can provide extra demand in times of excess capacity. In both cases, it provides stabilizing value to the grid and more efficient use of generating assets.
See the chart below for an overview of the use cases that batteries can offer to grid related stakeholders
Value Streams for Grid related storage:
Major categories for Storage opportunities
- Grid scale
- Commercial Scale
- Residential Scale
Examples of opportunities to avoid costs and losses
- Demand charge reduction
- Time of use bill reduction
- Energy Arbitrage-stores when prices are low and sells when prices are high.
Examples of opportunities for Income
- Demand response
- Frequency regulation
- Reserve markets