Connect with us

Hi, what are you looking for?

grid scale energy storage


Wood Mackenzie Sees Utility Scale Battery Storage Doubling In 2019 & Tripling In 2020

Wood Mackenzie’s latest report on utility scale battery storage forecasts strong growth this year followed by even stronger growth in 2020.

Wood Mackenzie’s latest report on utility scale battery storage forecasts strong growth this year followed by even stronger growth in 2020. The entire US Energy Storage Monitor report is available for viewing and download on the company’s website. What is important about the latest findings is that the ramp up in utility scale storage is a product of business as usual analysis rather than a one time response to an emergency situation like the Aliso Canyon project in California that was prompted by a massive methane leak.

grid scale energy storage

Credit: NextEra

“This is all about recognizing value, and utilities are on the bleeding edge of recognizing storage’s value right now,” Daniel Finn-Foley, senior storage analyst at Wood Mackenzie, tells Green Tech Media. “When they do look at it, guess what happens? They pick it.”  Economics 101, people, and it’s working exactly as intended.

In particular, the fourth quarter of 2019 saw a significant uptick in installed utility scale battery storage. “This isn’t a fluke quarter; this is the natural evolution we’ve been looking at the market developing toward, and now it’s finally happening,” Finn-Foley says.  “You now have more confidence in entering new markets. You’re not going to get pure-play capacity or pure-play arbitrage. You get more opportunities to layer value now.”

Policy decisions at the federal and state level have provided a boost to storage. FERC order 841, which directs regional wholesale market operators to clarify how storage can participate in the markets based on its unique attributes, like the ability to both charge and discharge.

States like Massachusetts, New York, and New Hampshire promise more storage activity in those states. Puerto Rico has recently announced plans to add up to 900 MWh of storage over the next 4 years and even Arizona Public Service, which fought tooth and nail to defeat the proposed renewable energy standard last year (using millions of dollars of rate payer money to do so) is now proposing to add 850 MWh of storage by 2025. In January, Hawaiian Electric Company asked regulators to approve a barrage of power purchase agreements that would add 1,048 megawatts to the islands’ electrical grid.

The fact that all this activity is happening in the ordinary course of business rather than as a reaction to special circumstance like Aliso Canyon demonstrates the industry is diversifying and maturing, Finn-Foley says. That is the best possible news for renewable energy advocates.

Appreciate CleanTechnica’s originality and cleantech news coverage? Consider becoming a CleanTechnica Member, Supporter, Technician, or Ambassador — or a patron on Patreon.

Don't want to miss a cleantech story? Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.
Written By

Steve writes about the interface between technology and sustainability from his home in Florida or anywhere else The Force may lead him. 3000 years ago, Socrates said, "The secret to change is to focus all of your energy not on fighting the old but on building the new." Perhaps it's time we listened?


You May Also Like


PR100 Update Provides Early Scenarios to Help Increase Renewable Energy Capabilities That Meet Electricity Demand, Improve Grid Reliability and Resilience, and Lower Energy Costs


Throughout 2022, researchers, staff, and leadership at the U.S. Department of Energy’s (DOE’s) National Renewable Energy Laboratory (NREL) worked together with collaborators and partners...

Climate Change

16 communities in Puerto Rico have filed a RICO lawsuit against the world's largest fossil fuel companies, seeking triple damages.


Sunrun has been selected by Puerto Rico’s electric utility provider to help rebuild and transform the island’s energy system. The company will develop a...

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.