Dive Brief:
- AES Energy Storage believes lithium-ion batteries is the go-to technology for grid storage for the next decade.
- The stored power can be supplied at costs that are more affordable than a gas peaking facility, company officials say.
- Earlier this year, AES launched its Advancion storage product, a new modular lithium-ion battery billed as a "complete alternative to peaking power plants."
Dive Insight:
AES told GreenTech Media the new batteries are cost effective because they can store and provide hours of energy to meet peak demand, and the systems have a lifespan of a decade or more.
The company has about 200 MW of lithium-ion storage projects installed, but the majority are not capable of providing the sustained energy necessary for peaking needs. Instead, they are used for frequency regulation. But of its 1,000 MW currently being developed, almost half can power the grid for up to four hours.
"We can do a two-hour product at less than $1,000 a kilowatt," said Chris Shelton, president of AES Energy Storage. "We’re less expensive than a gas-fired power plant."
