Figure 23 : LCOE of Grid-storage BESS vs Gas-turbine peaking plant for flexible capacity [ Ref . 7 ]
capital , operating costs , fuel , and maintenance over a technology ’ s useful life and is very useful for comparing the prices of technologies with different operating characteristics .
With growing electricity demand and toplevel Governmental concerns over carbon dioxide emissions and climate change , there is growing national and international pressure for ‘ green ’ means of electricity production and usage . On a world-wide scale , 13 billion tonnes of CO 2 are released annually from electricity generation and 7 billion tonnes annually through transportation [ Ref . 11 ]. The electricity and transportation sectors are now more committed to adding more sustainable energy sources and , in both sectors , these efforts rely on energy storage . For the electricity sector , BESS can help to : 1 . accommodate variable electricity from renewable solar photovoltaic generation ; 2 . maintain capacity for peak demand ; and 3 . maintain frequency regulation . For the transportation sector , advanced batteries make electric and partially electric vehicles adoption more competitive compared to petrol-engine vehicles .
Grid-storage BESS Rapidly decreasing technology costs could make grid-storage BESS a dominant option over gas
for flexible capacity by 2025 – 2030 as shown in Figure 23 .
Grid-storage BESS is set to play an increasingly important role in integrating solar photovoltaic renewable variable generation as part of the future Malaysian electricity grid infrastructure fossil fuels-renewable energy mix portfolio . The main role of BESS will be to deal with peak demand capacity issues and as part of Smart Grid applications . BESS in Smart Grid applications can help with system frequency regulation and guaranteed peak power services .
Grid-storage BESS enables peak load shifting , higher utilisation of existing grid infrastructure , and efficient balancing of small fluctuations in power output , as well as providing temporary power in the event of outage . However , for these benefits to be realised , energy storage must be cost competitive with other methods of addressing these issues , such as gas turbine power generation used for peak power applications and demand-side management for DR applications ( that is getting consumers and businesses to voluntarily reduce usage during peak demand periods ). It is estimated that by 2025 , grid-storage BESS could have a moderate economic impact of USD45 billion to USD70 billion annually , principally from frequency regulation and peak load shifting applications .
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