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What is the Advantage and Disadvantage of Battery Energy Storage Solution

Author: Jesse

Mar. 10, 2025

Battery Energy Storage Systems (BESS) | What It Is & How It Works

Battery Energy Storage Systems (BESS) Definition

A BESS is a type of energy storage system that uses batteries to store and distribute energy in the form of electricity.

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These systems are commonly used in electricity grids and in other applications such as electric vehicles, solar power installations, and smart homes.

At its most basic level, a BESS consists of one or more batteries that store electrical energy for use at a later time. This stored energy can then be drawn upon when needed to meet various demands for power across different applications.

BESS can also provide advantages over other energy storage systems, including greater efficiency and flexibility, faster response times when powering equipment or devices, and lower costs overall.

How BESS Works

BESS relies on one or more batteries to store energy, which can then be used at a later time.

These batteries may be charged using excess electricity generated by wind or solar farms, for example, or by grid connection during periods of low demand.

Once the battery is full, it stores the electricity until it is needed.

BESS Technology

Battery Energy Storage Systems offers more than just a standard battery. It is fully packed with technologies allowing its system to capture charge and execute discharge. The following are the typical technologies it includes:

Inverters

Inverters are devices that transform direct current (DC) to alternating current (AC). AC is the type of electricity used in homes and businesses.

Control Components

The control components of a BESS manage the charging and discharging of the batteries and regulate the flow of electricity to and from the grid.

Integrated Sensors

Integrated sensors monitor the BESS's performance and conditions, providing valuable data to help optimize its operation.

Multiply Battery Modules

Multiple battery modules are composed of multiple batteries that work together to store and release energy.

Battery Energy Storage Systems Application

BESS is used in a variety of applications, including:

Peak Shaving

Peak shaving reduces the peak electricity demand by using stored energy to meet part of the demand. This can help reduce the overall cost of electricity and the need for new power plants or upgrades to the existing grid.

Microgrids

A microgrid is a small, independent power system that can operate either connected to or disconnected from the main grid.

BESS can provide backup power for a microgrid in an outage and can also help stabilize the grid by providing energy during peak demand periods.

Uninterruptible Power Supply

It is an electrical apparatus that supplies continuous power to critical loads during power outages.

BESS is often used in conjunction with a UPS, as it can help ensure that critical equipment continues to function without interruption during a power outage.

Types of BESS

There are various types of BESS available, depending on your needs and preferences.

Some common types include lithium-ion batteries, lead-acid batteries, flow batteries, and flywheels. Each type has its advantages and disadvantages in performance, lifespan, cost, and other factors.

Lithium-Ion Batteries

These batteries are one of the most popular types of BESS. They offer a high energy density and are relatively lightweight, making them easy to transport and install.

Lead-Acid Batteries

Lead-acid batteries are another common type of BESS. They are typically cheaper than lithium-ion batteries but have a shorter lifespan and are not as efficient.

Flow Batteries

Flow batteries are a newer type of BESS that offer a longer lifespan than traditional lead-acid or lithium-ion batteries.

They work by storing energy in an electrolyte solution, which can be redirected to different parts of the battery as needed.

Flywheels

Flywheels are another energy storage system that uses kinetic energy to store and release electricity.

Flywheels are typically used for short-term storage applications, such as load leveling or backup power generation.

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Advantages of BESS

There are several advantages to using BESS, including:

  • Provide a cost-effective way to store excess energy generated by renewable sources like wind and solar farms.
  • Can store excess electricity generated by renewable energy sources such as solar or wind farms, allowing it to be used at a later time when these sources are not available.
  • BESS can provide backup power during outages or extreme weather events, reducing the need for costly distribution upgrades or emergency generators.
  • Assist in load leveling and grid support, helping to balance fluctuations in electricity demand throughout the day and reduce congestion on the grid.
  • Bess can improve power quality by smoothing out voltage fluctuations that may otherwise disrupt equipment operations.
  • Many types of BESS are easy to install, making them a popular choice for businesses and homeowners looking for reliable energy storage systems.

Disadvantages of BESS

While there are many benefits to using BESS, some potential drawbacks should be considered. These include:

  • Higher upfront costs compared to other energy storage solutions.
  • Issues with performance and lifespan are associated with certain types of BESS, such as lithium-ion batteries or flywheels.
  • Increased need for maintenance and monitoring, especially if a qualified technician does not install the BESS.
  • The reliability of BESS is typically lower than that of traditional power generation sources like fossil fuels or nuclear power plants.

Key Takeaways

Battery energy storage systems, or BESS, are a type of energy storage solution that can provide backup power for microgrids and assist in load leveling and grid support.

There are many types of BESS available depending on your needs and preferences, including lithium-ion batteries, lead-acid batteries, flow batteries, and flywheels.

While BESS does have some advantages, such as its ability to store excess energy generated by renewable sources like wind or solar farms, they also have some drawbacks, including higher upfront costs and potential issues with performance or lifespan.

To choose the right BESS for your needs, it is important to consider cost, efficiency, and reliability when making your decision.

FAQs

1. What is a BESS?

A BESS is a type of energy storage system that can be used to store excess energy from renewable sources.

2. How does BESS work?

BESS typically consists of one or more batteries that use kinetic energy to store and release electricity as needed.

3. What are the different types of BESS available?

There are many different types of BESS available, including lithium-ion batteries, lead-acid batteries, flow batteries, and flywheels.

4. What are some advantages of using a BESS?

Some key advantages of using a BESS include reducing costs by storing excess energy generated by renewable sources, improving power quality by smoothing out voltage fluctuations and providing backup power during outages or extreme weather events.

5. What are the disadvantages of using a BESS?

These include higher upfront costs, issues with performance or lifespan, and an increased need for maintenance and monitoring.

The pros and cons of batteries for energy storage - IEC e-tech

One of the ongoing problems with renewables like wind energy systems or solar photovoltaic (PV) power is that they are oversupplied when the sun shines or the wind blows but can lead to electricity shortages when the sun sets or the wind drops. The way to overcome what experts in the field call the intermittency of wind and sun energy is to store it when it is in oversupply for later use, when it is in short supply.

Various technologies are used to store renewable energy, one of them being so called 'pumped hydro'. This form of energy storage accounts for more than 90% of the globe's current high capacity energy storage. Electricity is used to pump water into reservoirs at a higher altitude during periods of low energy demand. When demand is at its strongest, the water is piped through turbines situated at lower altitudes and converted back into electricity. Pumped storage is also useful to control voltage levels and maintain power quality in the grid. It's a tried-and-tested system, but it has drawbacks. Hydro projects are big and expensive with prohibitive capital costs, and they have demanding geographical requirements. They need to be situated in mountainous areas with an abundance of water. If the world is to reach net-zero emission targets, it needs energy storage systems that can be situated almost anywhere, and at scale.

IEC Standards ensure that hydro projects are safe and efficient. IEC Technical Committee 4 publishes a raft of standards specifying hydraulic turbines and associated equipment. IEC TC 57 publishes core standards for the smart grid. One of its key IEC  Standards specifies the role of hydro power and helps it interoperate with the electrical network as it gets digitalized and automated.

Li-ion batteries are improving

Batteries are one of the obvious other solutions for energy storage. For the time being, lithium-ion (li-ion) batteries are the favoured option. Utilities around the world have ramped up their storage capabilities using li-ion supersized batteries, huge packs which can store anywhere between 100 to 800 megawatts (MW) of energy. California based Moss Landing's energy storage facility is reportedly the world's largest, with a total capacity of 750 MW/3 000 MWh.

The price of li-ion batteries has tremendously fallen over the last few years and they have been able to store ever-larger amounts of energy. Many of the gains made by these batteries are driven by the automotive industry's race to build smaller, cheaper, and more powerful li'ion batteries for electric cars. The power produced by each lithium-ion cell is about 3,6 volts (V). It is higher than that of the standard nickel cadmium, nickel metal hydride and even standard alkaline cells at around 1,5 V and lead acid at around 2 V per cell, requiring less cells in many battery applications.

Li-ion cells are standardized by IEC TC 21, which publishes the IEC  series on secondary li-ion cells for the propulsion of EVs. TC 21 also publishes standards for renewable energy storage systems. The first one, IEC '1, specifies general requirements and methods of test for off-grid applications and electricity generated by PV modules. The second, IEC -2, does the same but for on-grid applications, with energy input from large wind and solar energy parks. 'The standards focus on the proper characterization of the battery performance, whether it is used to power a vaccine storage fridge in the tropics or prevent blackouts in power grids nationwide. These standards are largely chemistry agnostic. They enable utility planners or end-customers to compare apples with apples, even when different battery chemistries are involved,' TC 21 expert Herbert Giess describes.

IEC TC 120 was set up specifically to publish standards in the field of grid integrated electrical energy storage (EES) systems in order to support grid requirements. An EES system is an integrated system with components, which can be batteries that are already standardized. The TC is working on a new standard, IEC '5'4, which will specify safety test methods and procedures for li-ion battery-based systems for energy storage.

IECEE (IEC System of Conformity Assessment Schemes for Electrotechnical Equipment and Components) is one of the four conformity assessment systems administered by the IEC. It runs a scheme which tests the safety, performance component interoperability, energy efficiency, electromagnetic compatibility (EMC) and hazardous substance of batteries.

Concerns raised over safety and recycling

However, the disadvantages of using li-ion batteries for energy storage are multiple and quite well documented. The performance of li-ion cells degrades over time, limiting their storage capability. Issues and concerns have also been raised over the recycling of the batteries, once they no longer can fulfil their storage capability, as well as over the sourcing of lithium and cobalt required. Cobalt, especially, is often mined informally, including by children. One of the most important producers of cobalt is the Democratic Republic of Congo. The challenge of energy storage is also taken up through projects in the IEC Global Impact Fund. Recycling li'ion is one of the aspects that is being considered.

Lastly, li-ion is flammable and a sizeable number of plants storing energy with li'ion batteries in South Korea went up in flames from to . While causes have been identified, notably poor installation practices, there was a lack of awareness of the risks associated with li-ion, including thermal runaway.

IEC TC 120 has recently published a new standard which looks at how battery-based energy storage systems can use recycled batteries. IEC '4'4, aims to 'review the possible impacts to the environment resulting from reused batteries and to define the appropriate requirements'.

New battery technology

Other battery technologies are emerging, including solid state batteries or SSBs. According to B'to'B consultancy IDTechEx, these are becoming the front runners in the race for next-generation battery technology. Solid-state batteries replace the flammable liquid electrolyte with a solid-state electrolyte (SSE), which offers inherent safety benefits. SSEs also open the door to using different cathode and anode materials, expanding the possibilities of battery design. Although some SSBs are based on li'ion chemistry, not all follow this path. The problem is that true SSBs, with no liquid at all, are very far from market launch, even if they look like a promising alternative at some point in the future.

According to IDTechEx, 'The adoption of SSBs faces challenges, including high capital expenditure, comparable operational costs and premium pricing. Clear value propositions must be presented to gain public acceptance. The market may embrace SSBs, even if they contain small amounts of liquid or gel polymers, as long as they deliver the desired features. Hybrid semi-solid batteries could provide a transition route, offering improved performance. In the short term, hybrid SSBs, containing a small amount of gel or liquid, may become more common.'

The race is on for the next generation of batteries. While there are yet no standards for these new batteries, they are expected to emerge, when the market will require them.

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