What is Dynamic Containment and What Does it Mean for Battery Energy Storage in The UK?

on September 15, 2020
Energy-Storage-News

If COVID-19 has taught us anything about the future of the energy system, it’s that we’re in for a bumpy ride. With record high balancing costs, the rapid introduction of new services like Optional Downward Flexibility Management (ODFM) – which offers commercial-scale renewables generators remuneration for switching off – and problems with voltage, inertia and frequency, the UK’s electricity system operator National Grid ESO (NGESO) has faced many challenges over the summer that foreshadow the low carbon world of tomorrow.

As the electricity system transitions into a low carbon system, with renewables replacing large thermal generation, system inertia is set to fall. Lower system inertia causes system frequency to deviate from its usual 50Hz much quicker than before, (sometimes called ROCOF or rate of change of frequency) and NGESO needs new tools to operate effectively, and ultimately keep the lights on.

As part of this transition, existing services (such as Firm Frequency Response – FFR) will be replaced by newer, faster acting products, the latest of which is Dynamic Containment (DC). DC is the flagship product of a new suite of ancillary services (see Table 1) and is the first that NGESO plan to release, launching October 2020.

This piece intends to explore:

  • The new Dynamic Containment (DC) product
  • How the service will launch
  • The impact on battery energy storage assets

DC provides frequency response ‘post-fault’ i.e. after frequency breaches specific upper/lower limits, however a small response is also required inside those limits. Comparing DC to the existing FFR product, the response profile for DC effectively extends the existing FFR boundaries for which (little or) no response is required, whilst decreasing the response time required from assets. (see Figure 1 for a comparison of response profiles).

Launch brings new 500MW capacity auction and closer to real time procurement

Having initially been delayed in the face of COVID 19, Dynamic Containment will commence on October 1st, 2020 as part of a ‘soft launch’, with the full rollout of the service expected in 2021. So, what can we expect on 1st October and beyond?

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Fractal Energy Storage ConsultantsWhat is Dynamic Containment and What Does it Mean for Battery Energy Storage in The UK?

Even without Green Hydrogen, Energy Storage Could Help Accelerate Wind and Solar Development

on September 14, 2020

Green hydrogen has begun to score more attention as a large-scale, long-duration storage medium for wind and solar energy, leading to the much-anticipated “hydrogen economy” of the future. However, it is still in the early phases of commercial development. In the meantime, other types of energy storage are already on the market. A new report indicates that under favorable policies, energy storage could see rapid growth in the U.S. while helping to accelerate wind and solar development, too.

First, the good news about energy storage
As one example of strong interest in the interplay between energy storage and renewable energy, trade publications that used to focus exclusively on fossil energy have been pivoting toward the energy storage topic. Last month the news organization Oilprice.com, for example, covered a new white paper by the Energy Storage Association titled. The report indicates that improved policies would support 100 gigawatts in new storage for the U.S. as early as 2030.

That jump in storage capacity represents an important factor in the pace of decarbonization in the U.S. and globally. As one of its key points, the ESA paper argues that energy storage makes wind and solar more competitive, and therefore more attractive to investors. A more aggressive timeline for energy storage development would consequently give wind and solar development a push, too.

The figure of 100 gigawatts could actually turn out to be an underestimate, considering that the white paper does take green hydrogen into account. That’s fair enough, considering that the hydrogen society concept faces cost and technological barriers before it can become fully mainstreamed.

Instead, the white paper primarily factors in existing battery storage technology along with pumped hydropower, which currently accounts for the overwhelming majority of large-scale energy storage capacity in the US.

Some good news about green hydrogen
The 100-gigawatt goal represents a more ambitious outlook than an earlier projection, in which ESA anticipated only 35 gigawatts by 2025.

In terms of technology, though, 100 gigawatts may turn out to be a fairly conservative estimate.

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Fractal Energy Storage ConsultantsEven without Green Hydrogen, Energy Storage Could Help Accelerate Wind and Solar Development

Multi-Customer Microgrids: Rare, Difficult and the Future

on September 14, 2020

When the switch is flipped on the Redwood Coast Airport Renewable Energy Microgrid, it will become the first multi-customer microgrid in Northern California and one of only a handful active in the US.

This inventive project aims to be a model for creating resilient communities, but should it be successful some of its more innovative features, as well as numerous roadblocks and archaic regulations, may make replicating this microgrid in the future unnecessarily difficult.

Traditional microgrids — typically a single building or contained campus — are becoming more commonplace. But the gradual rise of multi-customer microgrid projects further blurs the line of where electricity customers end and the utility begins, challenging traditional roles and regulatory responsibilities.

More than the sum
Implemented as a technology demonstration project, the ratepayer-funded microgrid in Humboldt County is part of California’s EPIC program to “accelerate the transformation of the electricity sector to meet the state’s energy and climate goals.”

The Redwood Coast renewable microgrid stretches over seven acres, connects multiple non-adjacent customers, and has both utility-side and behind-the-meter components, making it a unique endeavor even among microgrids. The anchor tenants are the regional airport and a US Coast Guard air station. A handful of surrounding commercial customers are also connected into the system.

The microgrid includes a solar farm with 2 MW of grid-tied capacity that can participate in competitive markets and 250 kW of net-metered capacity that will power the airport. Redwood Coast Energy Authority (RCEA) will own and operate the solar facility and maintain a 2 MW/8 MWh battery energy storage system and dynamic EV charging infrastructure that can participate in demand response programs.

The local utility, Pacific Gas & Electric (PG&E), will own and operate the microgrid circuitry and equipment, and oversee operations of the microgrid in island mode when the regional grid is inoperable or the utility implements a public safety power shutoff. This is one of a few EPIC-funded microgrids by PG&E and the state’s other investor-owned utilities that will come online in the coming months.

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Fractal Energy Storage ConsultantsMulti-Customer Microgrids: Rare, Difficult and the Future

What Schneider Electric’s Recent Move Reveals about the Microgrid Market

on September 14, 2020

To understand the movement of the microgrid industry, its instructive to watch it’s large players, particularly, right now, Schneider Electric. The company has been navigating the industry’s tributaries for the last five years and seems to be signaling it sees an ocean ahead.

The signal came in the form of Schneider’s mid-August announcement of a new company it has formed with Huck Capital, a San Francisco-based private equity firm focused on clean energy. What’s noteworthy is the partnership’s customer base. It’s targeting microgrids for small to medium-sized buildings, those with an electrical load under 5 MW. Schneider has identified this as a massive market, representing 90% of buildings in the US and Canada.

Pursuing this customer base marks a demarcation from Schneider’s Alphastruxure play, a company it launched last year with the Carlyle Group to bring microgrids to airports, ports and other large infrastructure projects, such as the John F. Kennedy airport modernization. Where Alphastruxure pursues the big and few, the new company wants to serve many.

So with the formation of the new company, yet to be named, Schneider suggests that it sees a big expansion in the pool of likely microgrid candidates. Not so long ago that pool was much smaller, limited mostly to campuses and military bases.

To be clear, Schneider is not the only company going after the small-to-medium building market. Many others, particularly smaller niche players or those with specialized technologies, have been installing microgrids within this size scape, among them Bloom Energy, Enchanted Rock and Powersecure.

Renewables first
But the move by Schneider is significant because of the company’s size and market clout — Schneider has 135,000 employees worldwide and annual revenue of over $27 billion. The company has used its sizable resources to both navigate its way through the microgrid market and nudge it forward.

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Fractal Energy Storage ConsultantsWhat Schneider Electric’s Recent Move Reveals about the Microgrid Market

FERC Order May Undermine Renewables, Energy Storage in New York’s Capacity Markets

on September 10, 2020
Greentech-Media

The Federal Energy Regulatory Commission has rejected the latest proposal from New York’s grid operator to allow renewable energy and batteries to compete against fossil fuels in its wholesale capacity market. That may give the state’s regulators and policymakers more reason to consider alternatives to federally regulated energy markets.

In a Friday order, FERC’s Republican majority denied grid operator NYISO’s proposal to restructure what it terms its “buyer-side market power mitigation rules” to allow wind, solar, batteries and other carbon-free resources to compete against fossil-fueled power plants in its Installed Capacity Market.

NYISO’s latest proposal came after FERC’s February decision to deny its first plan to alter those buyer-side mitigation (BSM) rules in ways that would free those state-supported clean resources from being forced to use administratively determined minimum bids that are likely to be too high to allow them to clear the market.

NYISO said the new rules are needed to reform its capacity market structure to align with New York’s Climate Leadership and Community Protection Act. The CLCPA demands that New York get 70 percent of its electricity from renewables by 2030 and reach 100 percent zero-carbon emissions by 2040.

To reach those goals, the state is mandating 6 gigawatts of distributed solar by 2025 and 9 gigawatts of offshore wind by 2035, as well as 3 gigawatts of energy storage by 2030. Most of that is needed in New York City and its surrounding downstate population centers — the same regions where NYISO’s existing BSM rules could effectively bar them from participating in its capacity market.

That’s a problem for New York’s clean energy goals for two reasons. First, it will deprive renewable and storage projects of the ability to earn capacity revenue and undermine their cost-effectiveness and ability to raise financing. Second, it could prevent downstate New York from accessing the relatively lower-cost capacity those resources could provide, forcing it to rely on existing fossil-fueled generators and increasing capacity costs passed on to utilities and their customers.

It’s also unclear why BSM rules, created to prevent companies that both own generators and buy capacity from entering uneconomically low bids from those generators to artificially drive down their own capacity costs, should apply to new zero-carbon resources.

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Fractal Energy Storage ConsultantsFERC Order May Undermine Renewables, Energy Storage in New York’s Capacity Markets

NYISO Allows Full Participation For Energy Storage in Wholesale Power Markets

on September 10, 2020
Utility-Dive

Energy storage resource participation in wholesale as well as retail markets will help New York State realize the goals of its Climate Leadership and Community Protection Act goals, Dewey said.

“NYISO is blazing the trail for dual-use of storage in wholesale and retail service,” Jason Burwen, vice president of policy for the Energy Storage Association (ESA) said in an email. “We commend NYISO on implementing Order 841 to facilitate regular participation of energy storage in its markets.”

NYISO believes that the revenue opportunities from participating in the wholesale electricity market will attract energy storage developers to the state. “We’re aware there’s a lot of developer money sitting on the sidelines waiting for markets to open up,” Dewey said.

NYISO’s efforts to open up the wholesale market to energy storage could offer an example for RTOs and ISOs in other regions to follow, according to Dewey. “I think we’re ahead of the curve, so I’m sure there are a lot of eyes on us to see how well it works.”

Wholesale markets need to adapt to achieve states’ clean energy policy goals, William Acker, executive director of the New York Battery and Energy Storage Technology Consortium said in an email. Acker described New York’s climate and clean energy goals of achieving 70% renewable energy and 3 GW of energy storage by 2030, and a carbon-free grid by 2040 as “nation-leading.”

“Since storage sits at the intersection of state policy and wholesale market operations, its ability to reduce costs of service and lower emissions depends on how conflicts over clean energy policy are resolved,” Burwen said.

Energy storage resources include batteries, compressed air storage, flywheels, and pumped storage and can help grid operators meet demand, handle the variability of intermittent resources like solar and wind, and possibly delay the need for transmission upgrades, according to NYISO’s announcement.

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Fractal Energy Storage ConsultantsNYISO Allows Full Participation For Energy Storage in Wholesale Power Markets

Electric-Car Startup Lucid to Follow Tesla Into Energy Storage

on September 10, 2020
Bloomberg

Lucid Motors Inc., the electric-vehicle startup that has yet to build a production car, is following Tesla Inc.’s footsteps into the energy-storage business.

The Newark, California-based company is developing home batteries — similar to Tesla’s Powerwall — and utility-scale devices, Chief Executive Officer Peter Rawlinson said in an interview. They will have the same battery-cell modules the company is installing in its debut EV.

“There is a multiplier effect: They are cost-effective to make,” so they can be used in stationary storage systems, Rawlinson said.

His comments came ahead of the unveiling Wednesday of the production version of Lucid’s Air electric sedan, which the company says has an EPA estimated range of 517 miles and claims is the fastest-charging EV ever. The Air also will have two-way, vehicle-to-grid charging that allows owners to power their homes in the event of a blackout.

The energy-storage systems are an extension of the same technology but may require lower-performance cells than the cars, Rawlinson said. Lucid has an agreement with LG Chem Ltd. for the cells in its battery packs. The company aims to have a prototype of a commercial system installed at its headquarters by the start of next year that will store power generated from solar panels on the facility’s roof and provide electricity during peak hours.

Lucid is also in preliminary talks with Saudi Arabia’s Public Investment Fund about an industrial-scale energy-storage system, Rawlinson said. The goal is that Saudi Arabia could store solar-generated power in Lucid’s batteries, helping the country to shift from dependence on oil and diversify its economy. The fund — which invested more than $1 billion in Lucid in 2018, giving it a much-needed injection of cash and credibility — declined to comment when asked about any energy-storage discussions.

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Fractal Energy Storage ConsultantsElectric-Car Startup Lucid to Follow Tesla Into Energy Storage

Construction Begins on Energy Storage System Relying on Gravity

on September 9, 2020
Tech-Xplore

Gravity has been the center of wonderment for physicists, mathematicians and thinkers of all kinds for centuries.

In the early 1600s, astronomer Galileo dropped balls from the Tower of Pisa and declared that gravitational acceleration is the same for all objects. Decades later, Isaac Newton expanded on those thoughts and devised his theory of gravity, that all particles attract all other particles with a force directly proportional to the square of the distance between their centers.

Philosopher Thomas Carlyle calculated, “It is a mathematical fact that the casting of a pebble from my hand alters the center of gravity of the universe.” Cosmologist Stephen Hawking declared, “Because there is a law such as gravity, the universe can and will create itself from nothing.”

And physicist Paul Dirac observed: “Pick a flower on Earth and you move the farthest star.”

Last week, a British energy startup company placed its own stamp on the history of gravity by beginning construction of an energy storage system powered by—gravity.

As the company says on its web site: “Our patented technology is based on a simple principle: raising and lowering a heavy weight to store and release energy.”

The company, Gravitricity, will manipulate massive weights in a tall shaft to store and deploy energy as needed. The shafts will rise nearly one mile high and the weights will range between 500 to 5,000 tons. Huge winches will raise and lower the weights, and the shafts will be pressurized to boost energy output.

According to Gravitricity officials, peak power generation can reach between 1 and 20 megawatts, with continuous output of up to eight hours. Maximum wattage power can be achieved in less than a second, officials say, making the system ideal as a back-up power solution.

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Fractal Energy Storage ConsultantsConstruction Begins on Energy Storage System Relying on Gravity

The Evolving Energy Grid Demands High Energy Storage, and Power Output

on September 9, 2020

The electricity grid is undergoing its first evolution since the invention of the power transmission system, and energy storage devices, particularly mechanical energy storage devices, will play a solid role in this evolution.

Decarbonization, renewable energies, and energy storage devices are all factors involved in the current evolution of the electricity grid. In the last decades the integration of renewable energies, pushed by the necessity to decarbonize the electricity sector, led energy storage devices to become increasingly important to stabilize the electricity grid.

The increased adoption of variable renewable energy led the electricity grid operator to adopt energy storage systems to smoothen the variability of renewable sources.

Li-ion batteries, currently dominating the storage sectors in all of its aspects. From portable electronics to MW scale storage systems, Li-ion batteries will struggle in the future to address the MW scale power and daily storage duration, when Mechanical Energy Storage systems will enter the market.

In the brand-new report “Potential Stationary Energy Storage Technologies to Monitor”, IDTechEx has investigated these emerging technologies. With a simple working mechanism, Mechanical Energy Storage systems are addressing the bigger spectrum of the energy storage devices: large power output, and long storage time.

This new class of storage systems include older and newer technologies. It includes elderly technologies like compressed air energy storage, already installed in the 1980s, and some of the younger gravitational energy storage, like in the case of Highview Energy, and Energy Vault recently backed with millions of dollars.

These interesting devices are now entering the electricity market with demonstration projects, to prove the technical concept. The constant integration of variable energy sources will require additional storage devices to stabilize the electricity grid, where the Mechanical Energy Storage device could play a fundamental role.

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Fractal Energy Storage ConsultantsThe Evolving Energy Grid Demands High Energy Storage, and Power Output

Plant-Based Supercapacitor Keeps Costs Low and Energy Storage High

on September 9, 2020

Supercapacitors have the potential to pave the way for electric vehicles that charge in minutes rather than hours, overcoming one of the barriers to widespread adoption and being good for drivers and the environment. In a step towards such a reality, scientists at Texas A&M University have demonstrated a plant-based supercapacitor with excellent energy storage potential.

With an ability to charge almost in an instant and discharge huge amounts of power as its needed, supercapacitors are an energy storage technology with massive potential. And we have seen a number of interesting advances made in building the devices out of sustainable materials, including upcycled plastic bottles, hemp and and even discarded cigarette butts.

The team at Texas A&M University looked to make use of a natural polymer that gives plants and trees their rigidity called lignin. This is produced in huge amounts as a waste product by the paper manufacturing industry, and we have actually seen some interesting breakthroughs in efforts to recycle the polymer into other products, such as stronger concrete and biopastes for 3D printing.

The authors of the new study, however, hope to use it to supercharge the performance of a material used in supercapacitor electrodes called manganese dioxide. Nanoparticles of this compound offer a number of benefits over other solutions, but the electrochemical performance is where they tend to fall down.

“Manganese dioxide is cheaper, available in abundance and is safer compared to other transition metal oxides, like ruthenium or zinc oxide, that are popularly used for making electrodes,” says study author Hong Liang. “But a major drawback of manganese dioxide is that it suffers from lower electrical conductivity.”

Previous research had indicated that lignin combined with metal oxides could boost the electrical performance of supercapacitor electrodes, but the team wanted to investigate how it could enhance the function of manganese oxide specifically. So they designed a supercapacitor in which these two components formed the key building blocks.

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Fractal Energy Storage ConsultantsPlant-Based Supercapacitor Keeps Costs Low and Energy Storage High