Full Title: Cost and Benefit Analysis of Energy Storage Resource Deployment in Illinois
Author(s): The Power Bureau
Publisher(s): The Power Bureau
Publication Date: August 29, 2024
Full Text: Download Resource
Description (excerpt):
A capacity shortage occurs when a regional power grid cannot meet peak electricity demand on the hottest summer days or the coldest winter nights. The regional power grids that serve Illinois project capacity shortages to occur in the near term. For Illinois, this outlook indicates a lower level of system reliability and increased costs for Illinois consumers. To mitigate the negative impacts of capacity shortages in Illinois, legislation to support the deployment of energy storage resources in Illinois is under consideration.
The legislation proposes to provide incentives for the installation and operation of energy storage resources. These energy storage resources would serve to i) collect electricity during periods of excess generation (e.g., “off-peak” hours during weekday evenings and early morning hours), and ii) deliver that stored energy to the regional power system during period of high energy demand (e.g., “peak” hours during weekday daytime hours). Additionally, to the extent the legislation results in the acquisition of long-duration energy storage systems, energy can be stored for use across many hours or days, to help handle grid stress events that last for extended periods.