Dive summary:
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The nation’s largest battery storage resource connected to the California Independent System Operator (CAISO) network in June, adding 62.5 MW of storage to the operator’s system, CAISO announced Monday.
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The resource is the first phase of the LS Power Group Gateway energy storage project in San Diego County. The entire 250 MW project is expected to start operations in August, at which time it will reportedly be the world’s largest battery storage system.
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The development represents “a turning point for storage in our system,” CAISO President and CEO Steve Berberich said in a press release. CAISO expects other large implementations, such as 300 MW from Vistra Energy’s Moss Landing project – to go online for years to come.
Dive Vision:
Around 170 battery storage systems of more than 1 MW are currently operating in the United States, but the 62.5 MW first phase of the Gateway project is already the largest in the country, CAISO said in a press release.
Storage resources are becoming more competitive, but the facilities are really being driven by carbon reduction and clean energy goals, Mohit Chhabra, chief scientist for the Defense Council’s Climate and Clean Energy Program, told Utility Dive Natural resources.
“So, states that have those strong policy mandates, like California, is where you will see them appear regularly,” he explained.
CAISO’s network currently has just over 216 MW of commercial operating storage capacity, but the operator expects the figure to rise to 923 MW by the end of the year if all planned projects meet their deadlines. – six times the 136 MW that were online in early 2020. According to Berberich, achieving California’s goal of a carbon-free grid by 2045 could require up to 15,000 MW of battery storage.
“For many years, we have understood the promise of storage to remove excess supply from the network in the middle of the day and deliver it at the end of the day when the need is great. With some of these high-capacity projects online, 2020 will be the transition year for battery storage to play a critical role in integrating renewable energy in the future, “he said in the press release.
About 1,000 MW of storage capacity is slated to go live in California over the next two to three years, Jin Noh, policy manager for the California Energy Storage Alliance, told Utility Dive – noting “the next phase of market growth”.
“I think it will be a test, and we are going to go through some growth issues and learn better how to actually operate these storage resources on the market, as much of that operational experience to date has been somewhat more limited,” he said.
Many of the projects that are coming online now have already been contracted, according to Noh; the Gateway project for example It is included in a recently announced 423 MW acquisition package by Pacific Gas & Electric, as well as in a 770 MW storage acquisition by Southern California Edison.
But many other projects that are beginning to enter the queue are positioning themselves for future acquisition needs, he added, since the projects generally require a lead time of five to six years.
The battery project is a “big step” to ensuring the storage capacity California needs, said Julia Prochnik, executive director of the state’s Long-Term Energy Storage Association, in an emailed statement.
“Investing in a diverse mix of energy storage solutions, including short and long-term technologies, is essential to meeting the state’s clean energy goals. It is also an important tool for Californians to get back to work while building a network. more reliable power for the future, “he added.
Jason Burwen, vice president of policy for the Energy Storage Association, said in a statement that the announcement reflects the relentless movement of energy storage toward conventional power system operations.
“It is also important to note that this project is a separate battery storage system. While there may be benefits to integrating storage directly with generation as a ‘hybrid resource’, the LS Power storage system at CAISO is a reminder of that effective network operations can use the flexibility of storage as a standalone asset, “Burwen said.
