Energy storage or battery storage systems allow businesses to store energy when they don’t need it, and use it at a later time. It can be used to store both grid electricity and electricity from renewables, such as onsite solar PV.
Battery storage gives organisations better control over their energy use – which offers multiple benefits:
Reduces costs: electricity can be stored at times of low demand and then used at peak times to avoid expensive grid charges, including TNUoS and DuoS charges.
Increases the value of onsite generation: output from renewable sources can be inconsistent, but battery storage allows businesses to use 100% of their generated energy, at times that suit business demands.
Improves resilience: stored energy can be used as a back-up power supply for critical processes, and reduce reliance on the grid.
Provides income: third-party aggregators combine multiple small-scale storage assets to create a “virtual power network” that serves the grid – a portion of the earnings is passed on to the storage owners.
System costs and paybacks vary depending on the business, usage needs and size – but generally cost between £1,000 and £1,500 per kWh installed and paybacks occur in the range of 5 – 15 years.