Bringing innovation to market: business models for battery storage

Xin Li; Konstantinos Chalvatzis; Phedeas Stephanides; Christiana Papapostolou; Emilia Kondyli; Kleanthis  Kaldellis; Dimitrios Zafirakis

doi:10.1016/j.egypro.2019.01.007

Bringing innovation to market: business models for battery storage

Xin Li
, Konstantinos Chalvatzis
, Phedeas Stephanides
, Christiana Papapostolou
, Emilia Kondyli
, Kleanthis Kaldellis
, Dimitrios Zafirakis

Research output: Contribution to journal › Article › peer-review

17 Citations (Scopus)

40 Downloads (Pure)

Abstract

Power systems around the world have undergone significant transitions towards a decentralization and decarbonization with higher requirements on supply security and flexibility. Technology advancement helps to improve energy efficiency and bring down cost, which in turn promote the growth of battery storage internationally. Business models of battery storage remain vague given its early stages of development but it is clear that there is no universal business model for batteries given the breadth of applications. In this study, we review the main components of existing business models and highlight the areas to be strengthened in a novel business model. Business models should be distinguished at different scales (utility-scale; behind-the-meter application; community-island mode operation) addressing different needs (to replace existing system or to add new capacity). A successful business model of a battery storage system needs to take into account electricity system transition, market and regulatory barriers, among others. Last but not least, it is important to consider innovations in other technologies for the design of a business model.

Original language	English
Pages (from-to)	327-332
Journal	Energy Procedia
Volume	159
DOIs	https://doi.org/10.1016/j.egypro.2019.01.007
Publication status	Published - Feb 2019
Event	Applied Energy Symposium and Forum, Renewable Energy Integration with Mini/Microgrids, REM 2018 - Rhodes Greece Duration: 29 Sept 2018 → 30 Sept 2018

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 7 Affordable and Clean Energy

Access to Document

10.1016/j.egypro.2019.01.007Licence: CC BY-NC-ND

Published_VersionFinal published version, 500 KBLicence: CC BY-NC-ND

Technology Innovation for the Local Scale, Optimum Integration of Battery Energy Storage
Chalvatzis, K. (Principal Investigator), Kaldellis, J. (Principal Investigator), Bell, E. (Co-Investigator), Daniels, K. (Co-Investigator), Dobson, P. (Co-Investigator), Finegan, A. (Co-Investigator), Garyfalakis, S. (Co-Investigator), Haack, D. (Co-Investigator), Hahndorf, I. (Co-Investigator), Hargreaves, T. (Co-Investigator), Lettice, F. (Co-Investigator), Magnor, D. (Co-Investigator), Mantzaris, N. (Co-Investigator), Markellos, R. (Co-Investigator), Merten, J. (Co-Investigator), Notton, G. (Co-Investigator), Ortiz, B. (Co-Investigator), Patsaka, T. (Co-Investigator), Suarez, S. (Co-Investigator) & Vona, M. (Co-Investigator)
EU Horizon 2020
1/02/15 → 31/01/19
Project: Research

Cite this

@article{be5ca323256d4c8db6afd6b772a7f416,

title = "Bringing innovation to market: business models for battery storage",

abstract = "Power systems around the world have undergone significant transitions towards a decentralization and decarbonization with higher requirements on supply security and flexibility. Technology advancement helps to improve energy efficiency and bring down cost, which in turn promote the growth of battery storage internationally. Business models of battery storage remain vague given its early stages of development but it is clear that there is no universal business model for batteries given the breadth of applications. In this study, we review the main components of existing business models and highlight the areas to be strengthened in a novel business model. Business models should be distinguished at different scales (utility-scale; behind-the-meter application; community-island mode operation) addressing different needs (to replace existing system or to add new capacity). A successful business model of a battery storage system needs to take into account electricity system transition, market and regulatory barriers, among others. Last but not least, it is important to consider innovations in other technologies for the design of a business model.",

author = "Xin Li and Konstantinos Chalvatzis and Phedeas Stephanides and Christiana Papapostolou and Emilia Kondyli and Kleanthis Kaldellis and Dimitrios Zafirakis",

note = "Made available online: 15 March 2019.; Applied Energy Symposium and Forum, Renewable Energy Integration with Mini/Microgrids, REM 2018 ; Conference date: 29-09-2018 Through 30-09-2018",

year = "2019",

month = feb,

doi = "10.1016/j.egypro.2019.01.007",

language = "English",

volume = "159",

pages = "327--332",

journal = "Energy Procedia",

issn = "1876-6102",

publisher = "Elsevier",

}

TY - JOUR

T1 - Bringing innovation to market: business models for battery storage

AU - Li, Xin

AU - Chalvatzis, Konstantinos

AU - Stephanides, Phedeas

AU - Papapostolou, Christiana

AU - Kondyli, Emilia

AU - Kaldellis, Kleanthis

AU - Zafirakis, Dimitrios

N1 - Made available online: 15 March 2019.

PY - 2019/2

Y1 - 2019/2

N2 - Power systems around the world have undergone significant transitions towards a decentralization and decarbonization with higher requirements on supply security and flexibility. Technology advancement helps to improve energy efficiency and bring down cost, which in turn promote the growth of battery storage internationally. Business models of battery storage remain vague given its early stages of development but it is clear that there is no universal business model for batteries given the breadth of applications. In this study, we review the main components of existing business models and highlight the areas to be strengthened in a novel business model. Business models should be distinguished at different scales (utility-scale; behind-the-meter application; community-island mode operation) addressing different needs (to replace existing system or to add new capacity). A successful business model of a battery storage system needs to take into account electricity system transition, market and regulatory barriers, among others. Last but not least, it is important to consider innovations in other technologies for the design of a business model.

AB - Power systems around the world have undergone significant transitions towards a decentralization and decarbonization with higher requirements on supply security and flexibility. Technology advancement helps to improve energy efficiency and bring down cost, which in turn promote the growth of battery storage internationally. Business models of battery storage remain vague given its early stages of development but it is clear that there is no universal business model for batteries given the breadth of applications. In this study, we review the main components of existing business models and highlight the areas to be strengthened in a novel business model. Business models should be distinguished at different scales (utility-scale; behind-the-meter application; community-island mode operation) addressing different needs (to replace existing system or to add new capacity). A successful business model of a battery storage system needs to take into account electricity system transition, market and regulatory barriers, among others. Last but not least, it is important to consider innovations in other technologies for the design of a business model.

U2 - 10.1016/j.egypro.2019.01.007

DO - 10.1016/j.egypro.2019.01.007

M3 - Article

SN - 1876-6102

VL - 159

SP - 327

EP - 332

JO - Energy Procedia

JF - Energy Procedia

T2 - Applied Energy Symposium and Forum, Renewable Energy Integration with Mini/Microgrids, REM 2018

Y2 - 29 September 2018 through 30 September 2018

ER -

Bringing innovation to market: business models for battery storage

Abstract

UN SDGs

Access to Document

Projects

Technology Innovation for the Local Scale, Optimum Integration of Battery Energy Storage

Cite this