Energy and Smart Building Technology Market Trends · advanced battery and electromechanical...
Transcript of Energy and Smart Building Technology Market Trends · advanced battery and electromechanical...
Energy Storage
Jeremy Towler
Senior Manager
Energy and Smart
Technologies
April 2016
2 Excellence in Market Intelligence
Wide range of storage technologies
and capabilities
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Source: UK Power Networks
Dis
ch
arg
e d
ura
tion
1kW 100MW 10MW
Seconds
1GW 10kW 100kW
Min
ute
s
Ho
urs
1MW
Power rating
Flow Batteries Metal-Air Batteries
Pumped Hydro
Compressed Air Energy
Storage
Sodium-
Sulphur Battery
ZEBRA Battery High Energy
Super Caps
Lithium-Ion Battery
Lead Acid Battery
Nickel-Cadmium Battery
Nickel-Metal Hydride Battery
High Power Fly Wheels
High Power Super Caps
Superconducting
Magnetic Energy
Storage
Advanced Lead Acid Battery
3 Excellence in Market Intelligence
The market for different types
of energy storage
Pumped hydro well established - accounts for majority
– Relatively inefficient - converts electricity to kinetic
energy, to potential energy, then back to electricity
– Generally only works in hilly terrain
– Denmark pioneered “green power island” - sea water
pumped out of areas, then let back through turbines
Others involve conversion to compressed air, or to heat
Depends on ability to generate cheap, large-scale battery
storage
Potential to use vehicle batteries (e.g. smart cars) to feed
power back to the grid at peak demand times
Can store energy from ‘home’ PV systems, and to avoid
drawing on the main grid.
Thermal store
Pumped hydro
Flywheel
Medium scale
battery
Compressed air Power to Gas
Liquefied air Large scale
battery
4 Excellence in Market Intelligence
Range of applications
4
Dis
ch
arg
e d
ura
tion
1kW 100MW 100kW 10MW
Seconds
1GW 10kW
Min
ute
s
Ho
urs
1MW
Power rating
Uninterruptable
Power Supply Grid Support
Energy
Management
Voltage support
Power quality
Uninterruptible power supplies
Frequency control
Voltage support
Transmission stability
Peak shaving
Load levelling/following
Load factor increase
Capacity deferral
Bulk energy
trading
Arbitrage
Primary reserve
Secondary reserve
Blackstart
Source: UK Power Networks
5 Excellence in Market Intelligence
Mapping storage technologies to
range of services
5
Dis
charg
e d
ura
tion
1kW 100MW 10MW
Seconds
1GW 10kW 100kW
Min
ute
s
Hours
1MW
Power rating
Flow Batteries Metal-Air Batteries
Pumped Hydro
ZEBRA Battery High Energy
Super Caps
High Power Fly Wheels
High Power Super Caps
Uninterruptable
Power Supply Grid Support
Energy
Management
Compressed Air Energy
Storage
Sodium-
Sulphur Battery
Lithium-Ion Battery
Lead Acid Battery
Nickel-Cadmium Battery
Nickel-Metal Hydride Battery
Superconducting
Magnetic Energy
Storage
Advanced Lead Acid Battery
Source: UK Power Networks
6 Excellence in Market Intelligence
Sources of revenue for
electrical storage
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100MW 10MW
Seconds
1GW
Dis
ch
arg
e d
ura
tion
Min
ute
s
Hours
Income from regulated sources
Income from non-regulated sources
Uninterruptable
Power Supply Grid Support Energy
Management
Reduced reliance
on income from
regulated
businesses
Reliance on income from
services to regulated businesses
Reduced reliance
on income from
regulated
businesses
Source: UK Power Networks
7 Excellence in Market Intelligence
Storage technology power costs
and maturity
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Source: UK Power Networks
Pum
ped H
ydro
Sto
rage
Com
pre
ssed A
ir
Energ
y S
tora
ge
8 Excellence in Market Intelligence
Smart Appliances
Smart Devices Building Automation
Building Energy Mgt.
Smart Homes
Demand Response
Smart Grid Management
Smart Metering
Smart Cities / Smart Government
Smart Transport
Smart Distr. Energy
Smart Education
Smart Government
Smart Health
Smart Publ. Security
Smart Telecoms
Smart HVAC
DR
Energy Storage + Renewables
Smart Buildings
The smart interconnected world
requires energy storage Smart Devices
Smart Grid
Smart Fire & Security
Energy Storage + Renewables
9 Excellence in Market Intelligence
Energy storage will be integral
to smart grids Demand Response
• Curtail/shift demand to remove peaks/troughs, flexible
generation, storage and usage of energy.
• Manual demand response (DR) / automated demand
response (ADR)
Building Energy Management Systems (BEMS)
• Computer software-based system to help manage building
technical services (HVAC, lighting etc.) and their energy
consumption
Smart Meter
• Collect/ communicate consumption data at regular intervals
• Monitoring, billing, analysis, display
• Adjust prices according to the time of usage
Energy Storage
• Store electricity for short/medium term using range of
technologies: Pumped water, batteries, flywheel, hydrogen etc.
10 Excellence in Market Intelligence
Battery storage one of the most
discussed technologies
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• Commercialized batteries: lead-acid and sodium-sulphur.
• Many new technologies under demonstration, prototype,
laboratory and at concept stage
• Cost is main issue - industry working hard to drive it down.
• Development of new battery technologies in terms of
‘cyclability’, lifecycle cost, energy density (size), safety,
operating temperature, degradation, etc.
• Demonstration stage: zinc bromine, advanced lead-acid,
vanadium redox, nickel-metal hydride, lithium-ion.
• Prototype stage: lithium ion, iron chromium, ZEBRA.
• Laboratory stage : zinc-air, advanced lithium ion, and
other lithium based types.
• Idea-concept stage: nano supercapacitors, new
electrochemical couples (metal-air, Na-ion, Mg-based,
etc.).
11 Excellence in Market Intelligence
Vehicle & building battery storage
market about to take off
Battery storage has been prohibitively expensive
Lead and lithium batteries now commercially available for c. €1,000
($1,200) per KwH.
PV with battery storage can have lower unit price than mains
electricity.
Many German manufacturers now offering solutions.
April 2015 US Tesla launched Powerwall - battery storage aimed at
the residential market.
7kWh unit for $3,000
10kWh unit will retail for $3,500
Further costs will be incurred for the battery management
system and the installation itself
June 2015, Mercedes launched 2.5KwH home battery - up to 8 can
be used in combination, providing 20KwH
Batteries from Tesla and Mercedes target residential market - technology moving into the built environment from elsewhere.
“The potential for significant cost reduction of some battery technologies provides real opportunity for significant deployment in multiple applications. In particular, Li-ion batteries prices are expected to reduce by over 60 percent and flow battery prices by over 40 percent by 2020.” (Study for the Australian Renewable Energy Agency, July 2015)
12 Excellence in Market Intelligence
Hydrogen fuel cells available
for smart phones
In August 2015, Intelligent Energy announced a
prototype hydrogen powered fuel cell which can power
an iPhone for up to one week
Embedded within the phone, it emits small quantities of
water vapour
The company already supplies fuel cells for a range of
consumer electronics
17 Excellence in Market Intelligence
Commercial and industrial
energy storage markets
Annual C&I energy storage expected to grow from $970 million in
2016 (~500MW power capacity ) to $10.8 billion by 2025 (9 GW)
Industrial building segment expected to be largest, deploying
~9.3 GW cumulative new capacity over coming decade, followed
by office and education buildings
Despite substantial market growth and momentum in past two
years, C&I energy storage market remains in its infancy.
Challenges: poor understanding and undervaluation by
stakeholders; but regulatory reforms and tech. advances will
bring C&I energy storage into mainstream.
Growing number of technologies now being deployed, including
advanced battery and electromechanical storage technologies
Lithium ion (Li-ion) batteries remain leading form of energy
storage for new projects and most popular tech. for the growing
distributed energy storage system (DESS) and behind-the-meter
(BTM) market segments.
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18 Excellence in Market Intelligence
Energy storage strategies for
utilities and automotive
Cost-effective advanced energy storage
tech. providing utilities and grid operators
with new tools to improve system reliability
and lower costs.
Utilities - one of the most important drivers
for energy storage to scale globally.
Utility-owned energy storage systems
(ESSs) account for 27% of the global
pipeline - nearly 9,000 MW of new utility-
owned energy storage capacity expected to
be deployed by 2020.
Automotive is fastest growing segment in
the global ESS market.
Attributed to increasing use (in developing
and developed economies) of electric
vehicles (Evs).
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19 Excellence in Market Intelligence
Energy storage strategies for
utilities and automotive
Rapid investment growth to develop battery
systems has enabled advanced low cost,
energy-efficient batteries for grid storage and
EVs.
Has caused surge in use of Li-ion batteries for
energy storage.
Li-ion batteries preferred for microgrids with
renewable energy sources owing to their deep
discharge life cycle, high energy, and power
density.
High energy-to-weight ratios allow these
batteries to store large amount of energy in a
small space.
Remote off-grid storage, industrial peak
shaving, and frequency regulation should also
increase their deployment for energy storage.
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20 Excellence in Market Intelligence
Global market players
The major companies in energy storage systems market comprise battery
technology providing companies and include:
– GS Yuasa Corporation (Japan)
– Samsung SDI Co. Ltd. (South Korea)
– Hitachi Limited (Japan)
– Exide Technologies (U.S.)
– L.G. Chem. Limited (South Korea)
– Various others.
Another major technology i.e. pumped hydro energy storage dominated by
companies such as:
– Toshiba Corporation (Japan)
– ABB Limited (Switzerland)
– Siemens A.G. (Germany)
– Voith (Germany)
– Alstom (France)
– Dominion Energy (U.S.)
– Various others.
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21 Excellence in Market Intelligence
Energy storage market timeline - thermal storage
fastest in achieving a large scale replication
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2010 5 10 15 20 25 30 35 40
years
Therm
al sto
rage Flywheel
CAES
Liquid air storage
Battery
Advanced
Pumped hydro
Hydrogen & Other (power to gas)
Short term Long term
Super capacitors
Medium to
long term
Short term – can be widely
deployed today
Long term – will take 10 to 40
years development
Medium to long term – will take 3
to 20 years development
22 Excellence in Market Intelligence
Identifying the higher potential
storage markets
Criteria for spotting the higher potential energy
storage markets in the world – in countries:
Where renewable integration is very high which
wish to avoid curtailment and intermittency
In which there is an open energy market which
can provide attractive return on investment
In which there is a shortage of peak demand and
shortage of energy. (However, this problem is
more commonly found in developing countries,
but these countries may not have the funding for
investment)
Locations lacking demand side management
23 Excellence in Market Intelligence
Thank you!
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Jeremy Towler BBA (GSBA Zurich).
Betriebsoekonom dipl. oek.
Senior Manager
Energy and Smart Technologies
Old Bracknell Lane West, Bracknell, Berkshire RG12 7AH
D : +44 (0)1344 465573 F : +44 (0)1344 465626
M : +44 (0)77 2527 8637 E : [email protected]
W : www.bsria.co.uk
More information at
https://www.bsria.co.uk/market-intelligence/