EI-FACT SHEET 2014 - 02 1 EI Fact sheet: Storage technologies for the power system Introduction Electricity is a real-time product. In this perspective, electricity is generated to match demand expectations, with the help of stockpiling at the fuel side of generation. Power plants may have substantial fuel reserves; from days to weeks for coal-fired ones up to years’ worth in a nuclear power plant. Remaining mismatch in supply and demand can (in principle) be bridged with a number of solutions, one of which is electricity storage, be it directly or indirectly. In some countries, indirect electricity storage -via hydropump stations- is well established, but in most countries, that type of electricity storage is only available to a limited extent. In Belgium, the available storage capacity in current electric power system (~5.8 GWh) represents less than an hour’s worth of typical demand (~10 GW). The storage of electricity represents a combination of three services: consuming electric power, accumulating the energy in some form, and finally producing electric power again. As energy is never destroyed, the storage of electricity employs some kind of conversion process, but with efficiencies less than 100%. The energy stored at a particular instant can be zero (when the storage device has been completely discharged), thereby limiting the ability to ‘produce’ power. Conversely, when the storage facilities are completely filled, it is impossible to for them consume more electric power. Drivers Renewable energy sources (RES) are being deployed rapidly in the European power system. As technologies such as wind turbines and solar photovoltaics now make up a substantial amount of the electricity generation, their inherent intermittency presents a challenge for the operation of the power system. Moreover, good sources of renewable energy are often found far away from population centers. To increase the flexibility, the generation patterns by such RES sources are forecasted; however prediction errors remain. As wind speed and solar irradiation cannot be controlled, typical generation technologies based on these sources provide instantaneous power, offering little opportunity to control the output except for curtailment. Often RES targets (e.g., the EU’s 20-20-20 targets) are expressed in terms of final-energy consumption, meaning that about ~ 34 % of the electric-energy consumption must be of renewable origin, in turn requiring very large installed power capacities (especially for PV). Overproduction must be “absorbed” somewhere, which is then “released” when RES produce little electricity. Storing such RES-generated electricity —otherwise squandered— is just one of the ways in which the integration of RES in the power system can be managed. Other techniques to take on the challenges KU Leuven Energy Institute related to integrating RES include active demand response, distribution and transmission grid upgrades or extension (perhaps with HVDC) and flexible operation of conventional power plants. A variety of storage possibilities exist, each with their particular characteristics (size in terms of stored energy, max power uptake and delivery, efficiency, cost, etc.). In addition, depending on the technology, response time, space requirements and landscape impact may also limit the amount of value that can be provided. A storage facility can be deployed where it is enabled by a matching combination of technological parameters, geological features and local grid capabilities. Large-scale storage systems may provide a number of services in the wholesale-market context. An arbitrage strategy can be performed to obtain positive cash flows by exploiting price differences in the electricity market. Furthermore, as part of a production portfolio, storage can be used for balancing and cost minimization. Moreover, storage systems may provide reserves and can have black-start capability. Finally, storage can be used to manage congestion issues in the grid. For example, consider a remote onshore wind farm connected to a relatively weak grid. Local conditions permit harvesting more wind energy by enlarging the farm, but the grid connection may lack the capability to handle more power. Upgrading the grid can take a long time. If a storage technology is found which can be deployed in the close vicinity of the wind farm, the farm can be expanded while avoiding excessive curtailment and having to wait for grid upgrades to come in place. Storage in distribution grids is currently rare, however this is expected to increase. The value of electric energy increases as it is transported from the transmission grid through the distribution grid down to the end user. Therefore, the cost of curtailment and losses is higher as well. Trying to avoid grid problems, “clever” grid tariffs or renewable energy support schemes may be designed with the aim of increasing selfconsumption of local generation such as PV. Storage can be used to increase self-consumption and as storage becomes more distributed, congestion issues, which are inherently local, could perhaps be better managed. Moreover, at the low voltage level, storage could be used to improve security of supply through islanding. Having said the above, it is important to remain vigilant for overall system effects: promoting storage at the local level might resolve local “problems” but may introduce side effects on a higher level. In any case, the ancillary services for the grids (on the distribution and transmission level) will have to be paid for by all users of the grid. EI Fact sheet: Storage technologies for the power system EI-FACT SHEET 2014 - 02 Scope This factsheet discusses a selected number of mechanical, chemical and electrochemical storage technologies. This document does not aim to provide a complete overview, nor does it choose a ‘best’ technology. It aims to introduce the operating principles, to discuss characteristics and to provide insights in how to match current and near-term storage technologies to applications in the power system. The market value of storage facilities on the wholesale and the local level is not considered in this factsheet. Technology overview Pumped Hydro Storage Pumped Hydro Storage (PHS) systems store electricity through a mechanical conversion. An electric motor pumps water from a reservoir to another reservoir at higher elevation to store energy. The energy is released by reversing the process, thereby operating like a classic hydro plant. PHS represents over 99 % of the worldwide installed capacity (> 127 GW) of electricity storage. This technology is mature and losses are moderate; the cycle efficiency is of the order of 65 % - 80 % depending on the case. The energy-storage capacity of PHS is a function of height difference between and volumetric capacity of the reservoirs. Typically, substantial civil engineering work is required to obtain sizable energy-storage capacities. Furthermore, in the western world, a lot of the ‘easy’ locations may already have been captured. Except for converting current hydro plants to PHS, the potential is severely limited by the requirement of specific geological features. Consequently, hydro plants and PHS typically are not found close to population centers. Therefore, it is difficult for this technology to help avoid congestion-related issues at times of peak use of the transmission grid. System-level services can however be provided at reasonable cost. For example, a price-arbitrage strategy can be performed, and black-start capabilities as well as reserves can be offered. PHS systems offer power ratings of up to several GWs for a few tens of hours (typically). Usually, PHS is limited to large-scale applications. Improved PHS technologies are being developed, to increase the flexibility in terms of services and land use. Classically, reverting from generation to pumping mode in PHS costs time because dewatering the turbine room is required. Furthermore, in pumping mode the operating power of a pump-turbine is fixed. Variable-speed technologies enable more flexibility and improve the 2 dynamic behavior of PHS. On the other hand, using the sea as a reservoir can minimize land use. Furthermore, energy-island concepts have been developed on paper, where the second reservoir is an artificial atoll. Surface area may represent a smaller issue as on land, but large height differences are more difficult to obtain. Battery Energy Storage Systems (BESS) Battery Energy Storage Systems (BESS) consist of batteries to store electricity and a converter to exchange energy with the grid. The batteries consist of reversible electrochemical cells fixed in packs and modules, mechanically designed to allow for efficient cooling as well as to protect against (accidental) damage. The charging and discharging characteristics of the chemistry under consideration determine the power rating. Charging and discharging power ratings are often of different value. Using conventional battery technology, BESS can be considered solid-state systems, as they have no moving parts1. Efficiencies and dynamics are high, but the required investment can be substantial and the technology is considered to be of lower maturity than PHS. A wide range of battery chemistries is considered for grid application. Three categories are discussed: conventional low-temperature batteries, high-temperature batteries, and batteries with circulation of the chemically active components (flow batteries). Pb-Acid and Li-ion Common low-temperature battery chemistries are Pb-acid and Li-ion. The Pb-acid chemistry is well known and relatively inexpensive; however, its energy and power densities are low. Li-ion encompasses a wide range of chemistries, offering different trade-offs of energy density, power density and cost. In general though, Li-ion is more efficient but also more expensive than Pb-acid. However, prices have decreased from more than 1000 $/kWh a few years ago to below 500 $/kWh because of economies of scale being explored with the rollout of electric vehicles. Within the Li-ion chemistry family, Lititanate and LiFePO4 chemistries are most often considered for distribution grid applications, because of their improved power, efficiency, cycle-life and thermal stability characteristics. BESS systems with Li-ion or Pb-acid have been demonstrated up to a few tens of MWs with 15 min to about 10 h of storage capacity. High temperature batteries Currently, the most commonly used battery technology in the distribution grid2 is sodium-sulfur (NaS), a kind of hightemperature chemistry. This storage technology is deployed globally at more than 200 locations, with a total of more than 300 MW, 1.9 GWh. It consists of molten salts of sodium and sulfur, materials that are available at low cost. This chemistry The heating, ventilation and air conditioning system may contain moving parts. 2 Also in general in the electric power system 1 KU Leuven Energy Institute EI Fact sheet: Storage technologies for the power system EI-FACT SHEET 2014 - 02 offers long cycle-life, high efficiency and a good energy density. However, the heating system represents a cost and causes losses. NaS BESS are operated in e.g. Japan, US, Germany and France. NaS is used to provide frequency regulation services on islands or to decrease variability in the output of wind-power plants. Typical installed commercial systems have ratings from 1 MW up to 34 MW, with about 6 h of storage capacity. Other high temperature battery chemistries such as with NaNiCl2 are commercially available, but the maturity in grid applications is lower. Flow batteries Flow batteries (also known as redox-flow batteries) use chemical components dissolved in a liquid electrolyte. These components are then pumped through an electrochemical cell stack. The electrolytes are stored in tanks, away from the cell stack. This separation of the active materials minimizes selfdischarge losses. Therefore, this technology offers the potential of much longer-term storage than conventional batteries. The tank size determines the energy content of the system, thereby decoupling the energy content and power rating of the system. The cycle-life and scalability are high, but the maturity is low, the energy density is low and the complexity is high because of the pumps and control systems. Limited commercialization has taken place with zinc-bromide (ZnBr) flow battery systems. Another technology (VRB) is based on vanadium-vanadium redox reactions. Flow battery system ratings typically are of a few (tens) of MW for a few hours. Interaction between batteries for mobile and stationary applications The batteries of electric vehicles could be used as gridconnected storage through concepts often referred to as Vehicle-to-Grid (V2G). The reader is referred to the KU Leuven EI fact sheet on electric vehicles for more information. Compressed Air Energy Storage (CAES) Compressed Air Energy Storage (CAES) stores electricity by compressing air and storing it in a high-pressure containment. It is mainly applicable in large-scale bulk applications. To generate electricity again, the compressed air is expanded over a turbine coupled to a generator. When air is compressed, its temperature increases. This heat, next to the increased pressure, represents part of the energy stored. If the compressed air cools down after pressurizing, the thermal is energy is lost and the system efficiency decreases. To make up for the heat loss, a fuel, typically natural gas, is used to reheat before and during expansion taking place. Therefore, such CAES technology is considered similar to a gas turbine, where the compression and expansion stages are decoupled in time. The volume of the storage reservoir KU Leuven Energy Institute 3 determines the storage capacity. Furthermore, the pressure in the reservoir may vary substantially as a function of the energy content, which limits the turbines in the recovery of the stored energy. Natural storage reservoirs are used, such as salt caverns, former mines and former natural gas sites. Consequently, the application of this technology is limited by geography. Only a few commercial systems exist. For example the 321 MW CAES in Huntorf, Germany is operating since 1978 and uses salt caverns. CAES system ratings are in the range of hundreds of MWs for a few hours to a day. CAES is competitive with PHS in terms of scale and storage duration. Newer CAES technologies try to improve the efficiency, negate the need of additional fuel, and negate the need of underground geological features3. The efficiency can be improved by storing heat, for example using adiabatic CAES technology (mostly referred to as AACAES —Advanced Adiabatic Compressed Air Energy Storage). CAES with aboveground storage reservoirs are developed using manufactured pressure reservoirs. Flywheels Flywheels store electricity by converting it to mechanical kinetic energy. When the flywheel is turning, it continually loses energy, largely because of friction losses.To minimize such losses, magnetic bearings are used and the flywheel is operated in a partial vacuum. Nevertheless, flywheels are designed for seconds to a few tens of minutes worth of capacity. Consequently, they are used in applications were high power exchange is more valuable than high energy-storage capacity. This technology is mostly for limited-size applications and short-duration purpose. For example, a 20 MW flywheel power plant is in operation in the USA (NY state) and is used for primary frequency regulation. Power to gas (P2G) Power-to-gas (P2G) technology stores energy in a chemical form, by converting electricity to methane. Technologically, methane can be fed into the gas grid, were ample storage capacity is available. However, the synthetic methane will have to compete with the available natural gas streams in the market. P2G builds upon electrolysis technology, which uses electricity and water to generate hydrogen gas.The hydrogen formed, in combination with a source of CO2 and electricity is then chemically converted to CH4 in a process called “methanation” (via the so-called Sabatier reaction). This technology has a high potential, but maturity of the process is low and costs are uncertain. The efficiency of P2G is relatively low at about 60 %, but it is the sole electricity storage technology that offers seasonal storage capabilities. A 2 MW P2G unit recently started operation in Falkenhagen, Germany. In some schemes, the methanation step (i.e. the combination with CO2) is skipped and hydrogen is fed into the natural-gas grids. Mixing H2, however, is only possible in (very) limited quantities. See e.g. http://www.me.umn.edu/~lixxx099/papers/Mohsen_Li_ ACC12_modelingCAES.pdf 3 EI Fact sheet: Storage technologies for the power system EI-FACT SHEET 2014 - 02 4 Conclusion Fig. 1 illustrates techno-economic storage technology parameters. PHS technology is mature and dependable and due to its relatively low cost it will remain the most common storage technology for a long time. BESS with NaS batteries operate commercially, and numerous demonstration projects with other chemistries are developed to prove market readiness despite higher investment required. P2G is the only technological path that offers long-term storage capability, but currently the maturity is low. Operators may use these storage technologies to offer a range of services in the liberalized electricity market. The market may provide a number income streams that offer opportunities to upgrade current storage assets or to build new ones. Depending on the availability of such income streams, stakeholders develop business cases and make investments. Potential investors can choose from a range of storage technologies with varying degrees of maturity. Investment studies must consider multiple services and markets and take an application-focused approach. Legend PHS CAES ZnBr VRB Li-ion Pb-acid NaS Flywheel Fuel cell P2G Cycle life (-) 1000 10 000 100 000 Calendar life (a) 10 20 30 Roundtrip efficiency (%) 60 70 80 90 100 Power rating kW MW GW Cost (USD/kW) 0 1000 2000 3000 4000 5000 0 1000 2000 3000 4000 5000 Cost (USD/kWh) Charge/discharge duration minute Figure 1: Comparison of techno-economic storage technology parameters. The symbols indicate the typical value; the lines indicate variation in cited values. hour day week season Maturity low KU LEUVEN ENERGY INSTITUTE Celestijnenlaan 300 box 2421 B3001 Heverlee www.kuleuven.be/ei KU Leuven Energy Institute high Energy density (Wh/l) 1 10 100 1000 EI Fact sheet: Storage technologies for the power system