Is Distributed Energy Storage on Ofgem’s Roadmap?

In the first of my reports from the Regen SW “Community Energy Markets” conference in Bristol last Thursday I’ll be highlighting references in several of the presentations to what I like to call “Distributed Energy Storage“, which encompasses a whole lot more than just the battery packs in electric vehicles.

The first person to mention the subject was Jeff Hardy, who is Head of Future Consumers & Sustainability at Ofgem. His presentation was on the topic of “Non-traditional business models: Supporting transformative change in the energy market” which deserves an article all of its own in due course. However whilst discussing “rapid technological innovation” Jeff pointed out that “battery storage is the current flavour of the month”. After that Sonya Bedford, Head of Renewable Energy at Stephens Scown solicitors, also hinted at the subject in her talk about “Local supply models” in which she mentioned “Demand Side Response” and “Local Balancing Units”.

At the conclusion of the morning session Merlin Hyman, chief executive of Regen SW and our host for the day, asked if there were any questions from the floor. Nobody else seemed very keen to put their hand up, so I waved my arm in the air and was duly invited to stand up, state my name and affiliation, and then pose the panel a question. In the event I actually asked two. The first was to enquire if anybody else present was interested in international smart grid standards apart from me, since the LBUs that Sonya had mentioned seemed to me to come within the remit of the IEC 62325 standard working group which I am part of. Then I asked the panel whether the battery packs in electric vehicles were anywhere near being “flavour of next month” in the UK as yet.

Nobody responded to my first question, but Merlin framed my second question to the panel in terms of the recent “Powerwall” announcement from Tesla Energy. I was both pleased and somewhat surprised when Jeff pointed out that V2G was indeed on his radar screen, since he is “fascinated by EVs” and the “traditional battery worries have been overcome by technology”. Sonya was then good enough to mention that I had said much the same thing at the AGM of Exeter Community Energy earlier in the week.

After lunch James Owen, commercial director of Public Power Solutions, started off by giving us a history lesson about local electricity generation in the UK.  Then he went on to discuss the benefits of “Local Balancing Units”, “street level storage solutions” and “a true local smart micro-grid” amongst other things, using both Swindon and the Danish island of Bornholm as examples. James freely admitted to having pinched an infographic of Bornholm, so I’ve taken the liberty of pinching one of his! Here is PPS’s template for a future Bristol, or Bornholm, or the Isle of Wight, or anywhere else in Europe for that matter.

See if you can spot the difference between this version and the one on the PPS web site. It seems those recent additions are Tesla Powerpacks, and in my own vision of a future sunny Southwest England the cars under the solar PV canopy at the park and ride would be connected to similar “black boxes” that incorporate V2G functionality.

Having finally got the preface out of the way, I’d like at long last to mention some alternative battery filled “black boxes” from suppliers other than Tesla Energy. For “grid scale” battery storage you can repurpose EV battery packs like Sumitomo, or use batteries designed for the task from the likes of Saft.

Moving down to the domestic scale I note that for some strange reason the solar PV equipped dwelling in a future Bristol/Bornholm lacks a V2x equipped garage similar to the one shown in the V2G banner at the top of this article. Moving indoors Moixa’s Maslow predates the Powerwall by a long way, and is designed to power a DC circuit for LED lighting, computers etc. Quite possibly prompted by Elon Musk‘s recent announcement, Samsung have also launched a domestic version of their modular Energy Storage System (or ESS for short). Stefan Quandt (of BMW fame) has launched the SolarWatt MyReserve, which has already won an award at the recent ees Europe exhibition over in Germany. Varta also launched their Engion Element “storage for beginners” at ees Europe. Here’s how they looked at the show:

and just in case you haven’t yet tasted the flavour of the month, here’s a Tesla Powerwall for your delectation:

As you’ve probably gathered by now I have a lot more to say about all of this and more, including covering Anthony Price of Swanbarton’s talk dedicated to “Local balancing using storage”. However for the moment at least I cannot help but wonder what Ofgem make of all this “rapid technological innovation”, not to mention the potential associated “non-traditional business models” and last but by no means least, international smart grid standards!

Tesla Energy Launches the Powerwall

In a much anticipated announcement last week Elon Musk told the world that Tesla Motors now had a sister business entitled “Tesla Energy” which would start delivering a new product called the Powerwall later this year. Here’s a video of Mr. Musk’s presentation:

Note that at around 2 minutes 25 seconds Elon points out that:

We have this handy fusion reactor in the sky called the Sun. You don’t have to do anything, it just works. It shows up every day and produces ridiculous amounts of power. Now a lot of people aren’t clear on how much surface area is needed to generate enough power to completely get the United States off of fossil fuels….

It’s really not much, and most of that area is going to be on rooftops. You won’t need to disturb land. You won’t need to find new areas. It’s mostly going to be on the roofs of existing homes and buildings.

Now the obvious problem with solar power is that the sun does not shine at night. This problem needs to be solved! we need to store the energy that is generated during the day so that we can use it at night.

I recommend watching the whole show, but if you’re the impatient sort then skip to 11 minutes 40 seconds and listen to this bit:

What about something that scales to much, much larger levels? For that we have something else. We have the Powerpack. The Tesla Powerpack is designed to scale infinitely. You can literally make this into a GWh solution. We already have one utility that wants to do a 250 MWh installation.

According to the Tesla Energy launch press pack:

Tesla is not just an automotive company, it’s an energy innovation company. Tesla Energy is a critical step in this mission to enable zero emission power generation.

With Tesla Energy, Tesla is amplifying its efforts to accelerate the move away from fossil fuels to a sustainable energy future with Tesla batteries, enabling homes, business, and utilities to store sustainable and renewable energy to manage power demand, provide backup power and increase grid resilience.

Tesla is already working with utilities and other renewable power partners around the world to deploy storage on the grid to improve resiliency and cleanliness of the grid as a whole.

Here’s a picture of the combination of Tesla’s two businesses:

Tesla Energy reveals a Model S in close proximity to a Powerwall

Tesla Energy reveals a Model S in close proximity to a Powerwall

and here’s their description of the Powerwall:

Tesla Powerwall is a rechargeable lithium-ion battery designed to store energy at a residential level for load shifting, backup power and self-consumption of solar power generation. Powerwall consists of Tesla’s lithium-ion battery pack, liquid thermal control system and software that receives dispatch commands from a solar inverter. The unit mounts seamlessly on a wall and is integrated with the local grid to harness excess power and give customers the flexibility to draw energy from their own reserve.

The battery can provide a number of different benefits to the customer including:

  • Load shifting – The battery can provide financial savings to its owner by charging during low rate periods when demand for electricity is lower and discharging during more expensive rate periods when electricity demand is higher
  • Increasing self-consumption of solar power generation – The battery can store surplus solar energy not used at the time it is generated and use that energy later when the sun is not shining
  • Back-up power – Assures power in the event of an outage

Powerwall increases the capacity for a household’s solar consumption, while also offering backup functionality during grid outages.

Powerwall is available in 10kWh, optimized for backup applications or 7kWh optimized for daily use applications. Both can be connected with solar or grid and both can provide backup power. The 10kWh Powerwall is optimized to provide backup when the grid goes down, providing power for your home when you need it most. When paired with solar power, the 7kWh Powerwall can be used in daily cycling to extend the environmental and cost benefits of solar into the night when sunlight is unavailable.

Since we are big fans of distributed energy storage here at V2G UK this is all music to our ears, but some things are strangely lacking from Tesla’s publicity.  Apparently:

Tesla’s selling price to installers is $3500 for 10kWh and $3000 for 7kWh. (Price excludes inverter and installation.) Deliveries begin in late Summer.

It looks as though inverters to attach to Powerwalls will be supplied by third parties and the pretty picture above notwithstanding connecting a Tesla Model S to one or more Powerwalls and thence to the local electricity distribution grid is a problem that has yet to be addressed by Tesla themselves.

There have been some associated press releases, such as this one from SolarEdge:

SolarEdge Technologies, Inc., a global leader in PV inverters, power optimizers, and module-level monitoring services, announced its collaboration with Tesla Motors to provide an inverter solution that will allow for grid and photovoltaic integration with Tesla’s home battery solution, the Powerwall.

The joint development by SolarEdge and Tesla builds on SolarEdge’s DC optimized inverter solution and Tesla’s automotive-grade energy storage technology to enable more cost-effective residential solar generation, storage, and consumption for the global market.

Designed to manage both functions with just one SolarEdge DC optimized inverter, the solution will allow for outdoor installation and will include remote monitoring and troubleshooting to keep operations and maintenance costs low. The solution will also support upgrading existing SolarEdge systems with the storage solution.

The SolarEdge solution is expected to be available by the end of 2015.

Once again, however, whilst the phrase “grid integration” is mentioned “vehicle to grid” is not. I cannot help but wonder when (and how) it will become possible for a Model S to earn its proud owner a modest income by feeding some of the energy stored in its battery pack back into the local grid at its times of greatest need.