A lithium battery energy storage system with a continuous discharge time of 10 hours may be more cost-competitive than pumped storage

According to foreign media reports, the US Department of Energy (DoE) recently announced a new energy storage strategy aimed at accelerating the transition of energy storage technology from the laboratory to the market. Its 'Energy Storage Challenge' plan focuses on the large-scale processing of energy storage systems in the United States, while realizing localization to ensure the safety of the energy storage supply chain. The US government also hopes to develop and process local energy storage technologies to meet domestic market demand by 2030. In addition, the US Department of Energy also released two supporting reports related to energy storage technology and the market: 'Evaluation of Cost and Performance of Grid-Scale Energy Storage Technology in 2020' and 'Energy Storage Market Report in 2020'. This report provides six use cases to determine the application, advantages and functional requirements of energy storage systems in 2030 and beyond. Its energy storage strategy can determine cost and performance goals. These include: the levelized cost of the long-term fixed energy storage system is US$0.05/kWh, and the baseline cost in 2030 will be reduced by 90% compared to 2020. The U.S. Department of Energy stated that achieving this leveled cost target will enable the commercial feasibility of energy storage systems for various uses, including meeting the load during peak power demand periods and preparing for rapid charging of electric vehicles. And to ensure the reliability of critical service applications. By 2030, for electric vehicles with a range of 300 kilometers, the manufacturing cost of battery packs will be US$80/kWh, which is 44% lower than the current cost of US$143/kWh. The U.S. Department of Energy stated that achieving this goal will promote the launch of cost-competitive electric vehicles and facilitate the processing, performance and safety of stationary battery energy storage applications. Cost and performance This 117-page technical cost and performance evaluation report found that important grid-scale energy storage technologies (including pumped storage facilities) cost an energy storage system with an installed capacity of 100MW and a continuous discharge time of 10 hours. Estimated to be 262 USD/kWh. The report said that the most important cost factor is the cost of pumped storage at US$76/kWh. The report also determined the cost of a battery energy storage system with a grid-regulated installed capacity of 100MW and a continuous discharge time of 10 hours in 2020: lithium iron phosphate batteries (US$356/kWh). Lead-acid batteries (US$356/kWh). NMC ternary lithium battery (366 USD/kWh). Vanadium flow battery ($399/kWh). The report pointed out that for grid-scale energy storage systems using lithium batteries and lead-acid batteries, batteries account for 40% of the total installation cost of energy storage systems. Compressed air energy storage system (CAES) is currently the lowest cost energy storage technology ($119/kWh), but the deployment of this energy storage system should be close to the natural cave to reduce the overall project cost. This assessment report pointed out that by 2030, the energy storage system with an estimated installed capacity of 100MW and a continuous discharge time of 10 hours will become the most cost-effective energy storage system. The sharp drop in the price of hydrogen energy storage may make energy storage systems compete with compressed air energy storage systems in terms of cost in the future. In addition, by 2030, lithium battery energy storage systems with a continuous discharge time of 10 hours may be more cost-competitive than pumped storage facilities. Disclaimer: Some pictures and content of articles published on this site are from the Internet. If there is any infringement, please contact to delete. Previous: 2020 lithium battery IPO observation