This article evaluates the readiness of the BESS market to meet increasing demands in terms of battery costs, policy incentives, and the concentration of market players.
Lower lithium battery costs: A gateway to BESS commercialisation
The energy storage market has grown because of the lower costs of lithium-ion batteries. Costs reduced by 90% from 2010 to 2020, making entry easier for BESS, and growing the market.
Legislative measures spurring BESS expansion: A global endeavour
The major power-producing nations and regions such as the US, UK, EU, Japan and China have adopted legislation in recent years to promote energy storage systems. Policy encouragement and tax relief have bolstered this in an effort to boost domestic application. For instance, in 2022 the US passed the Inflation Reduction Act (IRA), investing
$370 billion in renewable energy and climate change initiatives. Energy storage equipment stands to gain an investment offset of over 30%, thanks to this Act. In 2021, China set a goal of 30 GW of storage by 2025 to expand its energy storage industry.
The BESS market: A melting pot of players
Although there is no predominant market leader in the BESS landscape, a few early entrants have gained some market hold. The market continues to attract new players. Notably, the top seven battery storage suppliers have lost market share, from 61% to 33% this year, as indicated by a 2022 report, ‘Battery Energy Storage − Value Chain Integration is Key’. This shows that BESS is heading toward commercialisation, with more market players.
Transition from early adopters to early majority: The role of IT/OT integration
The trend towards cleaner energy sources is irreversible, creating new and quick growth prospects for the BESS market. Both industry experts in battery cabinet manufacturing and startups investing in BESS are pushing beyond basic requirements. They are now focusing on providing faster construction, longer-term operations, and safer network system designs. Therefore AI, big data and network security must be further introduced. Success in the BESS market will require strengthening IT and OT integration technology, and creating better energy storage solutions.
Compact, high density power protection system for AI, data centre and large-scale electrical workloads Schneider Electric South Africa
Electrical Power & Protection
Schneider Electric has launched its new Galaxy VXL – a highly efficient, compact, modular, scalable and redundant 500-1250 kW (400 V) 3-phase uninterruptible power supply (UPS), complete with enhanced cybersecurity, software and safety features.
Read more...Taking the pain out of panel building Omron Electronics
Electrical Power & Protection
Panel building stands as a cornerstone of industrial automation, shaping the efficiency and reliability of automated systems across different and diverse industries, from manufacturing to infrastructure. Omron leverages over 80 years of experience to furnish OEMs and builders with cutting-edge control panel solutions.
Read more...Powerless is not an option
Electrical Power & Protection
When the power goes out it is important for commercial and tertiary facilities to be able to keep essential electrical equipment running. UPS systems are critical for transitioning and emergency backup power.
Read more...Securing the power supply
Electrical Power & Protection
Grid management systems are the linchpin of modern transmission and distribution networks. To understand the intricacies of grid management, it is necessary to unpack its core components: scada systems, energy management systems, outage management systems and wide area management systems.
Read more...Powering sustainable mining operations in Africa
Electrical Power & Protection
Africa’s mining sector is at a crossroads and, as the industry grapples with mounting pressure to drive operational efficiency within the boundaries of sustainability, natural gas is emerging as a compelling solution.
Read more...ABB technology powers three substations in Uganda ABB South Africa
Electrical Power & Protection
ABB delivered solutions for three substations run by Uganda’s leading utility, Umeme Limited, which manages and operates the state-owned leased electricity distribution network assets.
Read more...A snapshot of South Africa’s electricity market over the next six years
Electrical Power & Protection
At the beginning of the year, the Electricity Regulation Amendment Act came into effect, promising to facilitate “an open market platform that allows for competitive electricity trading.” This article focuses on providing a roadmap for the competitive, multi-market electricity trading platform that the ERAA intends to establish.
Read more...Empowering businesses to prosper as prosumers Schneider Electric South Africa
Electrical Power & Protection
As more businesses adopt renewable energy solutions like rooftop solar and energy storage they become prosumers – both consumers and producers of energy – a trend that presents organisations with a significant opportunity to engage in the bi-directional flow of energy through distributed energy resources.
Read more...Smart video is defining future EV infrastructure
Electrical Power & Protection
With the move away from combustion engines towards electric vehicles, sales of EVs across the world have increased, and with that so has the expansion of its corresponding infrastructure.
printer friendly version