Lower energy storage system cost seen to spur RE adoption

THE declining cost of energy storage systems (ESS) may facilitate the broader adoption of renewable energy (RE) sources, according to analysts.

The recent technological advancements have made solar and wind energy, integrated with ESS, “competitive with best fossil fuels,” said Paolo Pagaduan, renewable energy and just transition senior lead at Asian People’s Movement on Debt and Development.

“As BESS (battery ESS) technology continues to advance, we can expect further reductions in price,” he said in a Viber message last week.

ESS refers to a facility capable of absorbing energy directly from an energy source and storing it for a time period, and injecting stored energy when prompted, according to the Department of Energy (DoE).

Mr. Pagaduan said that ESS ensure uninterrupted power supply by storing energy and injecting it into the grid when the “sun isn’t shining” or the “wind isn’t blowing.”

“This process is almost instantaneous, maintaining a steady power flow, unlike traditional fossil fuel plants that require significant startup time and aren’t as stable as often claimed,” he said.

Data from the DoE showed that about 334 megawatts of capacity are expected from BESS this year.

Jose M. Layug, Jr., president of the Developers of Renewable Energy Advancement,

Inc., said ESS is critical to manage the variability of intermittent renewable energy sources.

“[ESS] can also ultimately serve as baseload generation also if and when it becomes more affordable,” Mr. Layug said.

Citing the data from the International Renewable Energy Agency, Mr. Layug said that BESS prices fell by 71% to $776 per kilowatt-hour between 2014-2020.

He said that ESS allows better integration of renewable energy in the grid and optimizes grid operations, as well as it is favorable to implement in islands for “decentralized electrification support.” —