Note: At the time of this discussion, Faith Martinez Smith was a Policy Analyst at ClearPath, managing the organization’s energy storage, geothermal, and hydropower portfolios.
Grid-scale energy storage is critical for decarbonizing our economy and merits high-profile attention from our policymakers. Storage is technology agnostic—it can be used with any generation technology, provides ancillary services, and can reduce demand charges. As climate change policy continues to take center stage, the commercialization of U.S. energy storage technologies can play a pivotal role in enabling higher integration of variable renewable resources (wind and solar power) and addressing grid reliability. Thus far, the storage sector has not received the policy or financial support needed for rapid grid-scale deployment. This must be corrected if we are to adequately address grid reliability and the variability of renewable resources. This is why it is encouraging that the U.S. Department of Energy (DOE) recently announced the Energy Storage Grand Challenge (ESGC), which is meant to turbocharge energy storage technology development.
The Energy Storage Grand Challenge will create research, development, and demonstration (RD&D) opportunities and eventually spur commercialization of new energy storage technologies. Currently, energy storage initiatives are spread across DOE in multiple program offices; the grand challenge will coordinate these efforts to push energy storage technologies to market. In tandem, the Pacific Northwest National Laboratory will host the Grid Storage Launchpad, which is meant to combine all relevant energy storage RD&D projects at the lab to catalyze commercialization opportunities.
The challenge follows a firm pathway forged by other “moonshot” initiatives to drive down costs and improve technology development. We at ClearPath believe the challenge will help drive grid scale-storage technologies to market as we seek to decarbonize our economy—starting with the electric power sector. For example, there are promising long-duration storage technologies, such as modified pumped storage, thermal energy storage systems, and novel mechanical storage that could directly benefit from increased funding under this program. The grand challenge has the potential to help provide technical assistance and potentially provide much-needed funding opportunities for pilot and demonstration projects.
For more information on the Energy Storage Grand Challenge, including workshop dates, recent news, and developments, please click here.
Question 1: What storage technologies do you think the grand challenge should focus on?
Short-term storage (batteries, etc.) are pretty well covered already. But long-term and seasonal storage is a challenge.
I definitely agree, but would add one caveat: there is always room for improvement. Over time there may be cheaper chemistries or more accessible materials. For example, I believe most… Read more »
Not sure I understand why we should focus on the types of storage you are looking for from the Storage Grand Challenge. The energy storage market is soaring according to… Read more »
I definitely agree! It is essential to not focus simply on a “moon shot” goal or plan – we have to act now! I do see the market changing to… Read more »
I do agree that an all distributed structure will not constitute the entire new electricity system, but I probably see it playing a larger part than you do. Storage is… Read more »
I do agree it will play a huge role across multiple sectors – just from my personal experience growing up in an incredibly rural place heavily reliant upon the fossil… Read more »
A very important long-term storage technology that should be investigated is the production of hydrogen gas from electrolysis of water where the process is powered by excess wind, solar, or… Read more »
Hydrogen has phenomenal potential to be a viable solution not only in the electric power sector, but I also believe it has transferability in the transportation (including maritime) and agriculture… Read more »
Thanks for your response, Faith. I am not working with hydrogen production/applications now, just keeping up with the potential for it through my readings/research. I would be happy to connect… Read more »
The preferred storage technology has been pumped storage hydro however, environmental and local opposition has frustrated the development of new PSH plants. Gravity Power has patented gravity-based technology that it… Read more »
Question 2: What are the current barriers to deployment that the grand challenge should address?
Renewable energy generation plus storage must compete with heavily-subsidized dirty fossil fuel energy generation. One of the biggest subsidies is that fossil fuel users do not pay for the climate… Read more »
It definitely is discouraging to see successful industries being subsidized, including fossil fuel generation. Do you think there are barriers to existing or future renewable energy technologies, specifically geothermal energy… Read more »
The greatest barrier to deployment is physics. Grid-scale energy storage is part and parcel—and a necessary element—of the all-renewables fantasy. And politicians are as hoodwinked as millions of their constituents… Read more »
I definitely think there are some fantastic solutions using zero or low carbon technologies like advanced nuclear (SMRs for example). I also think an “all renewables” approach makes little sense… Read more »
Question 3: What policy would best support the deployment and adoption of energy storage technologies?
The best policy would align financial incentives with climate realities. A steadily rising carbon fee would make fossil energy more expensive and renewable energy relatively less expensive. This would drive… Read more »
I definitely agree that there should be financial incentives to combat climate change, but I’ve never looked through the lens of a carbon fee or tax to positively impact energy… Read more »
It is certainly possible to incentivize certain storage technologies and you will likely get what you incentivize. But there are alternatives to storage, such as demand response and dispatchable renewables,… Read more »
I definitely think it is essential to set goals to ensure we remain under +2ºC warming scenario. I believe the ESGC could provide funding opportunities to bring these nascent technologies… Read more »
“Traditional energy” (i.e., fossil fuel-based energy) is, in reality, the most expensive form of energy when all costs, including the “external costs” are accounted for. And these external costs are… Read more »
I personally agree with you more than you know – I know it is too late to reach most warming scenarios, I know the reality of external costs first hand.… Read more »
Faith, I would be happy to connect offline, but I also recommend you read the paper that Jim Hansen and I wrote about the Fee and Dividend policy. That policy… Read more »
financing will likely evolve as a more prominent part of battery storage projects, as new technologies develop and lenders become more comfortable with the risk/return analysis for such projects. Bashar… Read more »
Financing is key – we must make these technologies financeable. I think the ESGC in combination with the LPO of the DOE could help de-risk these new technologies.
Storage is all about economics. Heat storage today is a factor of 3 to 4 less costly than electric storage (batteries, pumped hydro, etc.) with the potential to be more… Read more »
For the last 20 years, my company has blended energy storage with renewables for buildings, infrastructure, microgrids, and utility-integrated systems. There are three thrusts I would hope the challenge would… Read more »
Long term energy storage is in my view a solved problem from a technological point of view. Electricity can be used to make hydrogen, and from hydrogen we can make… Read more »
Something to keep in mind is that there are a number of distinct markets for energy storage. The short term electrical energy storage of a few hours duration is just… Read more »
There are two areas of opportunity where the potential benefits are far greater than they are for all the others. There are risks, of course, but most “low risk” opportunities… Read more »
The need for ‘energy storage’ can be eliminated through both top-down and bottom-up approaches. My website padrak.com/vesperman links to the “Gallery of Clean Energy Inventions” exhibit. It displays profiles of… Read more »