How To Apply Energy Storage Technologies In Commercial And Industrial Applications’ – By ENEA

How To Apply Energy Storage Technologies In
Commercial And Industrial Applications
Guillaume Kerlero & Luc Payen
ENEA

Presentation of today’s speakers
2
Guillaume Kerlero
Director at ENEA
Head of the Electric System
Practice
Luc Payen
Manager at ENEA
Energy storage expert

3
PROJECT SETUP AND
DEVELOPMENT
STRATEGY, INVESTMENT &
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We contribute to energy & environmental transition and to the development of energy access worldwide
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ENEA Team
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PROJECT SETUP AND
DEVELOPMENT
STRATEGY, INVESTMENT &
NEW BUSINESS
INNOVATION & TECHNOLOGY

4
Get to know ENEA
Our mission
Bringing our clients the knowledge and know-how
to grasp growth and differentiation opportunities,
be it in terms of markets, business models or
technologies.
Who we are
A team of passionate professionals with
international experience, strong analytical skills
and both engineering and business backgrounds.
A team of experts and executive corporate leaders
with successful careers in multinational
companies.
Working in international environments, and
particularly in Africa, enables ENEA’s consultants
to better understand other local contexts and is a
great source of inspiration to innovate.
Better solutions emerge from understanding all
energy stakeholders, from their clients priorities
to their regulatory and financialconstraints.
360° vision
Open-minded

5
Market & value for C&I energy storage is
finally booming in numerous locations
Why should you be interested in a storage project at one of your facilities?
1
2
Startups and large utilities now compete to
provide C&I facilities with turnkey solutions

C&I installed battery capacity is expected to increase almost tenfold up to 2022
6
Sources: GMT Research, Annual Storage Deployments (2016), Navigant Research (2016)
Installed battery capacities for C&I applications in the three main markets
0
100
200
300
400
500
600
700
800
900
2014 2015 2016 2017 2018 2019 2020 2021 2022
InstalledCapacity(MW)
USA Australia Germany

Plenty of companies offer energy storage solutions tailored for C&I customers
7

Sonnen, initially targetting households, launched a fully integrated and modular
battery system for C&I in 2016
8
C&I system Capacity: 24-240 kWh
Sonnen has today two product lines:
Residential: Sonnen Eco (4-16 kWh)
C&I : Sonnen Pro (24-240 kWh), primarily focused on the US
Ot now expands into Italy and Spain, with first announcements made around
residential customers, its core market:
From 2017-19, Sonnen will install 20,000 home storage systems in Italy to
create a decentralized energy community
In 2018, Sonnen announced that Webatt Energia, the largest home solar
supplier coalition in Spain, will purchase thousands of Sonnen batteries this year

STEM uses artificial intelligence to optimize energy use in real time
9
STEM’s network of 180 MWh includes customers such as:
STEM’s storage cabinets is coupled with a software uses real-time data to optimize energy use
+

The Engie group recently aquired two companies offering C&I
10
– In may 2016, Engie acquired Green
Charge, California-based storage
company focused on C&I installations
– Greencharge proposes turnkey
solutions in California over 10-year
agreements based on a shared savings
model
– In march 2018, Engie acquired SoCore
Energy, Chicago-based solar (& storage)
company
– This acquisiton helps Engie to enter the
North-Eastern American market
Greencharge (Now Engie Storage) Socore Energy

What do you need to know about storage for C&I applications?
11
The value streams and use cases
2 The Battery technologies (especially Li-ion)
3 The software behind the value of a battery (EMS)
1
4 The checklist for profitable C&I storage projects

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Schedule of events
12
• 0. Is C&I storage just a hype?
• 1. How to build a profitable storage use case ?
• Energy Storage value streams
• Energy Storage use cases
• 2. Energy storage technologies for C&I: Is it only Li-ion?
• 3. How not to screw your investment up: Choose the right EMS ?
• 4. Summing up Guidelines for your Storage project

Energy storage systems can access various value streams
Behind the meter
Grid connected
Market services Energy arbitrage
Capacity mechanism
Production shaping
Network services
Congestion
management
Ancillary services
System balancing
Voltage support
Black start
Frequency regulation
Provision of services to
grid operators
grid operators
Valuation on wholesale power
markets
Optimization of power tariff
:
:
+:
+:
Voltage quality
Peak load shaving
Improvement of power quality :
Continuity of supply
Customer services

On-grid C&I storage systems usually target a few of them
Behind the meter
Grid connected
Market services Energy arbitrage
Capacity mechanism
Production shaping
Network services
Congestion
management
Ancillary services
System balancing
Voltage support
Black start
Frequency regulation
grid operators
grid operators
Valuation on wholesale power
markets
Optimization of power tariff
:
:
+:
+:
Voltage quality
Peak load shaving
Improvement of power quality :
Continuity of supply
Customer services

Peak load shaving reduces the peak demand and thus expensive grid demand charges
15
– In most countries, grid tariff are mostly based on max demand during peak hours.
– Decreasing the max demand of a site thanks to energy storage systems is one of
the easiest value stream for energy storage.
– From a customer point of view, reducing peak load can reduce bill from two
charges:
• Network charges , billed monthly
• System wide capacity mechanism, focused on yearly max demand
– C&I Storage market explosion in California relies mainly on this service, which can amount to almost 200 k$/year
– Some European markets have implemented a capacity mechanism in the electricity market, but with much lower value than in California
1 day
Power Peak capacity
Seconds Minutes Hours
Discharge duration
Fewseconds to several
minutes
Frequencyofuse
Daily to weekly
Response time
Secondsto minutes
Value stream description
Value potential
Technical characteristics
Value stream characteristics
Examples

Continuity of supply is useful for businesses located in bad grid areas
16
– Establishment Labs, a pharmaceutical facility in Costa Rica, asked Demand Energy to develop a system
that would reduce costs and increase security of supply
Discharge duration
minutes
Frequencyofuse
Daily to weekly
Response time
Secondsto minutes
– Unreliable grids can be an operational nightmare in several industries. They
usually have adopted a complex system and rely on both the grid and an local
genset, with heavy maintenance.
– New (solar +) storage systems have the possibility to provide continuity of supply
to C&I customers with an increase convenience.
Contractedpower Contractedpower
Hours Hours
Location
Availablein all countries
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
Response time
Milliseconds
Owner and end-user:
Establishment Labs
Project developer: Demand
Energy and Rio Grande
Renewables
Grid
276 kW solar
500 kW/ 1 MWh
battery
Grid
2 x 750
kVA back-
up Diesel
generators
EXISTING UPGRADE
Value potential
Examples

Voltage quality can also be a interesting value stream for some businesses depending on network
constraints and their load types
17
– A study analyzed the cost of voltage dips in different
industries in Italy and highlighted significant values,
which could be solved by energy storage
– For a textile industry with an average load of 100 kW,
a monthly storage dips would lead to a loss of 36
k€/MW/year
Value potential
Discharge duration
minutes
Frequencyofuse
Daily to weekly
Response time
Secondsto minutes
Location
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
– Different types of electricity signal faults can occur and have an effect on the quality
of the energy supply to consumers, leading to potential:
– Alteration in the functioning of certain electric devices
– Brownouts
– premature aging of certain electrical devices and long-term damage
– Energy storage make it possible to maintain the quality of the electrical signal
delivered to the consumer
Response time
Milliseconds
0 2 4 6 8 10 12 14 16
Food Industry
Textile
Paper
Refined Petroleum product
Chemicals and man made fibres
Plastic products
Glass and ceramic products
Metal Products
Electrical equipments
Automotive industry
Cost of voltage dips (€/kW.event)
IndustryTypes
Median
Mean
Location
Available in all countries
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
As a percentage of
total systemcapacity
Value stream description Value stream characteristics
Examples

Frequency regulation imposes strong requirements but ensures substantial remuneration
18
– Principle: offering flexible charging or discharging in the events of network
imbalances (e.g. generator failures etc.) which lead to frequency variations on the
network.
– Transmission system operators can benefit from this service
– Frequency containment reserve (FCR) is the first frequency regulation scheme used in Europe for maintaining frequency deviation within an acceptable range
– Automatic Frequency Restoration Reserves (aFRR) is used in Europe to restore frequency level to the 50 Hz target frequency
– Primary frequency control is used in Australia and automatically activated in the event of significant frequency deviations
Value potential
Frequency Control Ancillary Services
1 min
Frequency
50 Hz
Load shedding
threshold
49.85 Hz
Target Frequency
Discharge duration
minutes
Frequencyofuse
Daily to weekly
Response time
Secondsto minutes
Location
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
Examples

On-grid Energy arbitrage represents an easily accessible value stream
19
– Storage access energy arbitrage revenues by charging when electricity prices are
low and discharging when they are high.
– This value stream can be accessed through organized electricity markets, via
bilateral contracting or through tariff optimization
– Behind the meter batteries can access higher arbitrage revenues but projects will
be limited to sites’ size
– All wholesale electricity market players can benefit from the service
– In central Europe, the valuation of this service can be based on contracts traded on the EPEX spot market, which enables the standardized
exchange of products at hourly intervals.
– This stream has been the historical value stream of pumped hydro systems
Value potential
Examples
Discharge duration
Few hours to tens of hours
Frequency of use
Dailyto weekly
Response time
Dozens of minutes
1 day
charge
dischargePrice
Location
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
As a percentage of

Off-grid Energy arbitrage (PV+Storage vs Diesel) is the most profitable value stream
20
– Solar PV production penetration can be further increased in offgrid systems thanks
to the addition of storage, in two steps:
• Manage variability of production
• Store daily energy for nightly consumption
– The first service is very valuable as solar can easily be cheaper than 150$/MWh,
and Diesel higher than 300$/MWh.
– The Degrussa Mine is the best known project with 10 MW Solar, 6 MW storage for an
average load of 13 MW, overpassing the usual 30% solar penetration limit thanks to
energy storage
Value potential
Discharge duration
Few hours to tens of hours
Frequency of use
Dailyto weekly
Response time
Dozens of minutes
Location
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
As a percentage of
Location
Revenue potential
>1
>10
>100
k€/MW/year
Market size
5%
10%
20%
Value stream description Value stream characteristics
Examples

Schedule of events
21
• Energy Storage value streams
• Energy Storage use cases
• 3. How not to screw your investment up: Choose the right EMS ?

0
100
200
300
400
500
A supermarket in Italy connected to a reliable grid
22
Location: Italy
Max load: 450 kW
Electricity cost: 148 €/MWh (non-household)
PV LCOE: 60-90 €/MWh (large scale)
Grid tariff:
Fixed: 83%
Energy: 17%
Arbitrage potential: Medium
Grid reliability: No power interruptions
CONTEXT
kWel Daily load kWel
Annual load
Ja
n
Apr Jul Oct Jan
0
100
200
300
400
500
00:00 00:0012:00
What energy storage services should the factory target? Why? Is it likely to be profitable?

A slaughterhouse in Cost Rica connected to an unreliable grid
23
Location: Costa Rica
Max load: 1100 kW
Electricity cost: 210 €/MWh (industrial)
PV LCOE: 110 €/MWh (industrial)
Grid tariff: NC
Arbitrage potential: moderate
Grid reliability: poor
Generation mix: grid-connected
CONTEXT
0
200
400
600
800
1000
1200
Annual load
Ja
n
Apr Jul Oct Jan00:00 00:0012:00
0
200
400
600
800
1000
1200

An off-grid mine in Australia relying on diesel and solar electricity generation
24
Location: Western Australia
Max load: 15 MW
Electricity cost: 345 €/MWh (diesel generation)
PV LCOE: 80 €/MWh (large scale)
Grid tariff: No grid connection
Arbitrage potential: High
Grid reliability: No grid connection
Generation mix: 19 MW diesel, 10.6 MW PV
CONTEXT
0
5
10
15
20
00:00 12:00 00:00
MWel Daily load MWel Annual load
0
5
10
15
20
0 100 200 300 400
Jan Apr Jul Oct Jan

Schedule of events
25
• 1. Introduction to storage services
• 2. Energy storage technologies for C&I
• Energy based storage
• Power based storage
• Storage use cases
• 3. How to choose an EMS ?
• 4. Guidelines for your Storage project

Schedule of events
26
• 3. How not to screw your investment up? Choose the right EMS!

Energy storage encompasses diverse technologies and processes
27
Charge Storage Discharge
Electrostatic
° °C
Electrochemical
Inertial
Gravity fed
Electromagnetic
Chemical
Thermal
Fuel
°C
Electrical energy
Thermal energy
Industrial by-product
°C °C
°C °C

Li-ion is today the standard technology for energy storage and competitive
technologies require strong differentiators
28
Estimated
Energy Cost*
Low Medium High Very
high
Cost reductions
Forget
“Silver Bullet”
Targeted application
Based on expected costs
High
Low
Medium
Based on
expected
performances
*per kWh
Level of innovation
Li-ion

Schedule of events
29

Numerous contenders are trying to break into the market
30
Based on
expected
performances
Metal –air
(Zn, Li, Al)
Flow batteries
high
Estimated
Energy Cost*
High
Medium
Low
*per kWh
Level of innovation
Hydrogen
Fuel Cell
Li super
capacitors
Flywheels
Energy
Technology Function
Power
Li-ion
Double Layer Capacitors

31
Based on
expected
performances
Metal –air
(Zn, Li, Al)
Flow batteries
high
Estimated
Energy Cost*
High
Medium
Low
*per kWh
Level of innovation
Hydrogen
Fuel Cell
Li super
capacitors
Flywheels
Energy
Technology Function
Power
Li-ion

Lithium-ion represents over half of all operational electro-chemical storage capacity
today, and 90+% of new projects
32
Source: IRENA Electricity Storage Costs, 2017
Operational Energy storage power
capacity by technology, mid-2017
4%
2% 3%
0%
59%
2%
8%
3%
0%
19%
0%
10%
20%
30%
40%
50%
60%
70%
Percentofmarketcapacity
0
10
20
30
40
50
60
70
80
90
100
1990 1995 2000 2005 2010 2015 2016
MWh
NiCD NiMH Li-ion Other (flow, NAS, etc.)
Growth of global battery market
(excluding lead-acid)

Lithium is a large class of batteries with many sub categories
33
Li-ion liquid battery operation
Lithium Battery
Systems
Lithium-metal
Lithium-ion
Liquid electrolyte:
Li-metal liquid
Polymer electrolyte:
Li-metal polymer
Liquid electrolyte:
Li-ion liquid
Polymer electrolyte:
Li-ion polymer
Different families…
… for a similar
functionning
R&D
Main technology
family used today

Lithium-ion batteries also have many sub categories
34

Lithium-ion: why does Li-ion dominate the C&I market today ?
35
*LCOS based on total warranted kWh of output
Main advantages
High specific energy
High energy/power density
High rate/power discharge capability
Low self-discharge rate
Excellent efficiency
Long lifetime
Strong resiliency
Main challenges
Moderate to high cost relative to other
batteries
Safety/fire risk
$
$
$300-500/kWh
Target at $120/kWh
by 2030
3000-10000 cycles
10 years
90% (AC to AC)
0 to 45◦C
150-250 Wh/kg 60 W/kg
$16– 110* cts/kWh
%
Great value for money
Safety risks compensated by
strong operational advantages

Feedback from the automotive industry highlights differences on battery lifespan
among different manufacturers
36
Tesla cars have a reduced capacity
degradation
Nissan Leaf battery are exposed to
accelerated wear out
Keep in mind that car batteries require much fewer cycles than
stationnary applications
Number of years

37
Based on
expected
performances
Metal –air
(Zn, Li, Al)
Flow batteries
high
Estimated
Energy Cost*
High
Medium
Low
*per kWh
Level of innovation
Hydrogen
Fuel Cell
Li super
capacitors
Flywheels
Energy
Technology Function
Power
Li-ion

Fluidic Energy: AZ, USA
Start-up founded 2006
Metal air is a young but developing family of technologies
38
Eos: NY, USA
Start-up founded 2008
Zinium: Paris, FR
EDF partner founded 2014
Metal air boasts very high
potential for energy density
Zinc Air is the most mature of the family
with already different product lines
0
2000
4000
6000
8000
10000
12000
14000
Fe Air Zn Air Mg Air Al Air Li Air Na Air K Air
Theoreticalenergydentisy(Wh/kg)

Metal-air batteries are composed of a metal anode with air acting as the cathode
39

Zinc-air batteries offer a low cost per kWh and an intrinsic safety but face yet a limited
lifetime and yield
40
Main advantages
High specific energy
Non flammable electrolyte
Low cost per kWh
Zinc’s availability
No temperature management required from
0 to 50°C
Main challenges
Lifetime reduction due to:
– Zinc dendrite formation
– Zinc dissolution
Low power capabilities leading to long
discharge duration
Air electrode contamination
$
$
$200/kWh Target at $100/kWh
5000 cycles
15 years
50-75%
0 to 50°C
300-350 Wh/kg
Target at 300-
400 Wh/kg
400 Wh/L
$4-5.3 cts/kWh
%
A low cost technology and long-term security

41
Based on
expected
performances
Metal –air
(Zn, Li, Al)
Flow batteries
high
Estimated
Energy Cost*
High
Medium
Low
*per kWh
Level of innovation
Hydrogen
Fuel Cell
Li super
capacitors
Flywheels
Energy
Technology Function
Power
Li-ion

Flow batteries operate by pumping anolyte and catholyte solutions through a cell
where ion exchange occurs across a membrane
42
Flow battery systems
Pure flow (no active
materials stored in cell)
Hybrid flow (some active
materials stored in cell)
Redox flow (liquid-only
active materials)
Other pure flow (gas and
liquid active materials)
Vanadium redox
Hydrogen bromine
Zinc bromine
Organic redox
Polymer redox
… for a similar
functionning

Flow batteries have significant potential for scaling
43
Kemwatt – dozens of kW to several MW
Primus Power : one of current leaders of Flow
batteries
Redox flow
ZnBr cycle
Redox flow
Organic molecules (e.g. quinones) in alkaline solutions

Flow batteries have a long lifetime with sustained performance, but lower efficiency
than lithium-ion
44
Main advantages
Easy scalability
Independent power and energy adjustments
Long lifetime with sustained performance
Low self-discharge
Wide temperature range
Main challenges
Chemical handling with potential leakage of acidic
solutions
Need for sensors, pumping and flow management
increases maintenance costs
High cost of some materials
Relatively low efficiency
$
$
Organic Vanadium
Target $100/kWh $900-1400/kWh
10000 5 000
Target 15 to 20
years
15 y
60% 65-78%
0 – 40 °C 0-40°C
NC
10-20 Wh/kg
15-25 Wh/L
$4.5 cts/kWh 40 cts/kWh
%
A better yield for higher costs But strong challenges on operations

45
Based on
expected
performances
Metal –air
(Zn, Li, Al)
Flow batteries
high
Estimated
Energy Cost*
High
Medium
Low
*per kWh
Level of innovation
Hydrogen
Fuel Cell
Li super
capacitors
Flywheels
Energy
Technology Function
Power
Li-ion

Hydrogen fuel cells: current development and future growth
46

Hydrogen fuel cells: operation
47
Electrolyzer Fuel Cell
Storage System
(compressor,
liquefier)
Inverter
Storage
(geological, reservoir)
Electric
charge
Oxygen Water
Electric
discharge
H2H2

Hydrogen Fuel Cell : a relatively mature but still expensive technology
48
Main advantages
Easily scaled with independent power and energy
adjustments
High energy density
Little degradation over time
Relatively mature technology
Main challenges
Chemical handling with potential leakage of
acidic solutions (depending on
technologies)
High initial cost of investment
Very low efficiency
$
$
$30/kWh $1000/kW
60 000 hours
30 years
25-35% (AC to AC)
-30 to 50◦C
430 Wh/kg 1300 Wh/L
0,4 €/kWh
%
High energy density and long lifetime
But high investment cost and
chemical handling

Battery lifetime and efficiency are the most important parameters for C&I applications
49
Current state
Li ion
Current state
Zn-air
Current state
VNR
Current state Hydrogen
5000-10000 5000 10000 60 000 hours
10 years 15 years 20 years 30 years
90% 50-75% 75-85% 25-35%
-5 - 45°C 0 - 50°C 0 - 40°C -30 - 50°C
90-200 Wh/kg 300-350 Wh/kg 10-20 Wh/kg 430 Wh/kg
%

Schedule of events
50

Other technologies target higher power capacities and niche markets
51
Based on
expected
performances
Zinc-air
Flow batteries
high
Estimated
Energy Cost*
High
Medium
Low
*per kWh
Level of innovation
Hydrogen
Fuel Cell
Li super
capacitors
Flywheels
Energy
Technology Function
Power
Li-ion

The two main power storage families today are Flywheels and supercapacitors
52
– Flywheels are based on kinetic energy to
store usually around a dozen minutes of
energy (can be up to 4 hours for some
systems)
– Supercapacitor is an electro-chemical based
system and store electrical energy at an
electrode–electrolyte interface
– A supercapacitor is a double-layer capacitor
that has very high capacitance but low
voltage limits
Flywheels Supercapacitors

… for a similar functionning
Supercapacitors are today a promising technologies
53
Li-ion hybrid
capacitor
Supercapacitors
Double-layer Capacitors
(electrostatic charge storage)
Pseudocapacitors
(electrochemical charge
storage)
Activated carbons
Carbon
nanotubes/graphene
Carbon aerogels
Conducting Polymers
Metal Oxides
Hybrid Capacitors
(electrostatic & electrochemical
charge storage)
Double-layer capacitor

Double layer capacitors main issue concern their self discharge rate today
54
Main advantages
High efficiency
Fast response time
High cycle life
Little maintenance
Main challenges
High self-discharge
$
$
$350-550/kW
100 000 – 500 000 hours
2-10 years
80-85% (AC to AC)
-50 to 70◦C
0.5-2 kW/kg
Not applicable
%
Relatively low cost But high self-discharge

Lithium super capacitors have a very high power density and an almost infinite cycle
life
55
Main advantages
Low self-discharge
High power density
High efficiency
No risk of thermal runaway
Main challenges
Industrialisation
$
$
NA
>100 000 hours
15 years
90-95% (AC to AC)
-30 to 80◦C
1-10 kW/kg
Not applicable
%
High power density and lifetime With low self-discharge
**LCOS based on total warranted output and on the
assumption of 80% cycling efficiency

Flywheels offer a long lifetime with little degradation
56
Main advantages
Long lifetime with little degradation
Low maintenance
Environmentally friendly
Not affected by temperature
Main challenges
High self-discharge
Danger of equipment failure
Noise
Complex machinery
$
$
$600-900/kW
100 000 – 175 000 hours
20 years
75-85% (AC to AC)
-25 to 60◦C
3-5 kW/kg
Not applicable
%
Long lifetime with low maintenance
But high self-discharge and
complex machinery

Self discharge and efficiency are the two main performance criteria for power storage
57
Current state
Flywheels
Current state
Double layer Capacitors
Current state
Lithium Capacitors
Cycle life 100 000 – 175 000 100 000 – 500 000 >100k
Calendar life 20 y 2 – 10 y 10 years
Round-trip efficiency 75-85% 80-85% 90-95%
Temp. requirements None None None
Safety concerns Equipment failure Fire risk Fire
Scalability 100 kW – 20 MW 1 kW – 1 MW Unknown
Power density 3-5 kW/kg 0.5 - 2 kW/kg 1 – 10 kW/kg
Discharge duration Seconds to minutes Seconds to minutes Minutes
Response time Milliseconds Milliseconds Milliseconds
Self discharge 10%/hour 14%/month 5%/3 months

Schedule of events
58

0
100
200
300
400
500
A supermarket in Italy connected to a reliable grid
59
Location: Italy
Max load: 450 kW
Electricity cost: 148 €/MWh (non-household)
PV LCOE: 60-90 €/MWh (large scale)
Grid tariff:
Fixed: 83%
Energy: 17%
Arbitrage potential: Medium
Grid reliability: No power interruptions
CONTEXT
Annual load
Ja
n
Apr Jul Oct Jan
0
100
200
300
400
500
00:00 00:0012:00
What energy storage technology could best fit its needs ?

A slaughterhouse in Cost Rica connected to an unreliable grid
60
Location: Costa Rica
Max load: 1100 kW
Electricity cost: 210 €/MWh (industrial)
PV LCOE: 110 €/MWh (industrial)
Grid tariff: NC
Arbitrage potential: moderate
Grid reliability: poor
Generation mix: grid-connected
CONTEXT
0
200
400
600
800
1000
1200
Annual load
Ja
n
Apr Jul Oct Jan00:00 00:0012:00
0
200
400
600
800
1000
1200

An off-grid mine in Australia relying on diesel and solar electricity generation
61
Location: Western Australia
Max load: 15 MW
Electricity cost: 345 €/MWh (diesel generation)
PV LCOE: 80 €/MWh (large scale)
Grid tariff: No grid connection
Arbitrage potential: High
Grid reliability: No grid connection
Generation mix: 19 MW diesel, 10.6 MW PV
CONTEXT
0
5
10
15
20
00:00 12:00 00:00
MWel Daily load MWel Annual load
0
5
10
15
20
0 100 200 300 400
Jan Apr Jul Oct Jan

Schedule of events
62
• What is an EMS?
• How are EMS offers structured?
• What are the best options

Schedule of events
63
• What is an EMS?
• What are the best options

Storage is being used in more and more complex projects to optimize consumption
64
Emerging use cases
Tertiary/industrial auto-consumption
Collective auto-consumption
Private closed network
Multiple sources of flexibility:
Battery storage
Electric vehicle batteries
Thermal flexibility
How is storage managed and controlled? What is the value?
Cold storage

Energy storage projects involve many components and thus many stakeholders
65
Data transmission
Commands
EMS
(Energy Management Systems)
SCADA
(Supervisory Control And Data
Acquisition)
Battery management
system
Power conversion system
Storage racks and cells
AC network
Market sales (energy,
reserves, capacity, etc.)
Management
and
monitoring
tools

The EMS is the brains of the energy storage system to optimize profit
66
The EMS considers forecast data and technical parameters to achieve optimal
network operation by controlling production, storage, and consumption
Data accuracy is crucial to the quality of the optimization
1
2
+ =
Interface Hardware Software platform
and algorithms
Optimization of
storage system
(economics, energy,
etc.)

Schedule of events
67
• What is an EMS?
• What are the best options?

A variety of players have developed energy management systems
68
• « Pure Players, » independent EMS
• Integrators and equipment suppliers
• More recently, electricity retailers

Independent EMS players generally come from the software industry and focus on
innovation
69
Value Proposition:
Startups, often from the world of software and optimization,
offer a multi-platform, turnkey system
Solution purchased directly by the system operator or the
integrator of a consortium
Advantages :
System without legacy or
core business
Software independent
Development costs spread
over many projects
Disadvantages :
Fixed costs and transaction
costs for small systems
Lack of contractual
guarantees
Startup may be young for
high CAPEX projects
Non-exhaustive list

Case Study: SHOEi foods- industrial
70
By integrating solar energy with storage, ShoEi
Foods significantly reduced its required network
power subscription (MW)
The EMS allows ShoEi foods to better understand
its energy footprint, identify production and
consumption trends, and handle its daily peak
energy consumption
Savings : $72,000 per year
ShoEi Foods USA, Inc. is an agro-industry
leader with more than 500 hectares of prunes
and nuts
A solar and storage integration solution was
proposed by Cenergy Power to increase
profitability compared to a solar-only
installation
Company ShoEi Foods
Country USA
Industry Agro-industry
Battery Capacity 72 kW
EMS supplier Stem
Project Developper Cenergy
Overview
Storage and EMS
ShoEi solar and storage installation in California

Integrators and equipment suppliers try to find synergies for the client, especially via
project contracts
71
Value Proposition:
A fully integrated option for contractual ease
The expertise of experienced industry players
Advantages :
Integration can reduce fixed
and transaction costs
Able to provide better
guarantees
Disadvantages :
Not specialized in
optimization or market
positioning
Integration can force users to
incorporate some older
systems
Not necessarily designed to
be multi-energy Non-exhaustive list

Case Study: Langa’s project in Corsica (Corte and Castifao)
72
Company CRE / EDF SEI
Country France
Industry Integrated
Utilities
Battery Capacity 1 MWh
EMS Supplier Schneider Electric
Project Developper Langa
Storage and EMS
Overview
Storage and solar field
Langa Solar was selected for the
development of a 1 MWp solar park in a CRE
call for tender
Langa Solar selected Schneider and Saft to
supply the battery energy storage system
(battery, power electronics, and EMS)
The EMS is able to consider the injection
constraints set by CRE’s call for tender
(predictable production) to optimize profit

Electricity retailers aim to gain retail market share through retail + EMS bundling
73
Value Proposition:
Direct performance control, ability to intervene directly
in the system to optimize energy supply costs
Reduced transaction costs
Advantages :
Ability to adapt product for
innovative business offerings
Complete offer and
responsibility for the entire
service
Disadvantages :
Skills outside of operators’
core business
Development costs
distributed across a limited
number of projects
Black box vision from the
customer

Schedule of events
74
• What is an EMS?
• What are the best options?

Choose the right EMS that fits your company’s strategy
International coverage: Decrease your own transaction costs if your company has
an international presence
Business model: Profit sharing or fixed licence costs
Liabilities vs innovation: Check the amount of responsability linked to the EMS
contracts

Schedule of events
76
• 1. Introduction to storage services
• 2. Energy storage technologies for C&I
• 3. How to choose an EMS ?
• 4. Guidelines for your Storage project

What is important in a storage project?
Understand the value streams you can access
2 Get the best technological system
3 Optimize the value of your projects
1

1. Value streams and use cases
ENERGY SECURITY
SUSTAINABILITYCOST SAVINGS
What services are available in
your country?
What are the regulatory risks
associated with each?
B. How to assess the value streams ?A. What is driving your project ?

2. Get the best technological system
B. Beside storage, have I considered the full picture?A. Which storage technology ?
Capabilities of the power
electronics (backup power etc.)
Quality of integration: Expertise
on the whole system can be as
important as expertise on the
cell part
Is Li-ion fit for my needs? What
family of technology would best
be suitable?
What are the performance
guarantees of my supplier?
What are the associated
feedback from past users?

3. Securing the value of your projects
B. Value your system through your EMS providerA. Size and plan your system
Choose your system supply
strategy (integrated including
EMS or separated)
Negotiate the terms of your
contracts with the EMS provider
Enjoy the value of flexibility
Complex optimizations are
required to properly size a C&I
storage system
Most integrators and EMS
providers will provide a first
view on potential system size
An independent eye on the
proposed sizing can be valuable

How To Apply Energy Storage Technologies In Commercial And Industrial Applications’ – By ENEA

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