Electrification of the transport sector will not only propel up power demand but also spur a surge in global copper consumption. Electric vehicles (EVs) alone are forecast to consume more than 3.7 million tons of copper every year through 2030, and the anticipated 20 million EV charging points are seen propelling up copper demand by 250% over 2019-levels.
U.S. technology innovator Tesla has launched a huge battery, called Megapack, claiming it would be more cost-effective and faster to install than any fossil-fuelled power plant. The pilot utility-scale Megapack battery will be installed on behalf of the Pacific Gas and Electric Company (PG&E) for the Moss Landing project in California.
Electrification of transport has propelled up demand for batteries, increasing the risk that battery metals – cobalt, lithium, and nickel – will face a supply crunch by the mid-2020s. If automotive manufacturers realize their pledge to “go completely electric” by 2050, demand for battery metals would skyrocket – as would the electricity-use of these vehicles.
In a world first, Siemens Gamesa has commissioned an electric thermal energy storage in Hamburg-Altenwerder. The system can store 130 MWh of energy for up to one week – target is storage capacity in the Gigawatt-hour range. Storage helps decouple electricity generation and use, reducing the intermittency challenge of wind and solar power supply.
The 22MW/34.8MWh Cremzow battery energy storage in northeastern Germany has started full commercial operation, underpinned by Wärtsilä's GEMS control platform. Built by Enel, Enertrag and Leclanché at a cost of about 17 million Euros, the storage provides frequency regulation services for the regional power grid.
Australian energy company Santos is about to launch the world's first battery project at its Darwin LNG export plant. It will integrate batteries at the liquefaction facility's integrated gas power unit to ensure they run more effectively and with less emissions. The project is about to enter FEED phase and is due completed in mid-2020.
The battery boom is coming as solar-plus-energy storage prices keep falling, making this hybrid technology preferable over gas peaking power plants on a levelised cost of electricity (LCOE) basis. According to Wood Mackenzie analysis, unsubsidized utility-scale LCOE for a 4-hour lithium-ion solar-plus-storage will be competitive against gas peakers in all the National Electricity Market (NEM) states of Australia in 2023.
Vietnam Electricity (EVN) has awarded GE’s energy consulting arm a contract to carry out a battery storage feasibility study, funded by the U.S. Trade and Development Agency (USTDA). State-owned EVN seeks to deploy energy storage throughout Vietnam to help meet an estimated 8% annual electricity load growth through 2035.
MAN Energy Solutions has received the Storage Highlight award for its new energy management solution, offering scalable and CO2-neutral energy storage and sector coupling. The basic principle of MAN ETES is the reversible conversion of electrical energy into thermal energy via storage in form of hot water and ice.
Norway’s state energy group Statkraft says its new 1GW virtual power plant (VPP) in Britain will help bridge the intermittency challenge and aims to double capacity by the summer. Connecting gas engine-driven power units, energy storage and renewables, the VPP can react to market demand within seconds.
With variable renewables accounting for more than half of global capacity additions to 2040, utilities and power grid operators increasingly turn to energy storage to cover their flexibility requirements. The International Energy Agency (IEA) expects the cost for four-hour battery systems will fall to $220 per kWh by 2040, spurring a utility-scale deployment of energy storage of close to 220 GW.