When it comes to energy storage and batteries, we often think of small household batteries such as AAs we keep in a drawer. Energy storage that works with solar panelling and otherwise is a different category that can power your entire house. They can potentially help save you money with your energy bills and can also help in an emergency when the power goes down due to storms or outages.
Our guide below will help you understand what energy storage is, the different kinds of storage used in Canada, the benefits, and disadvantages, and if they can help you save on energy bills.
What is energy storage?
Energy storage is as its name says – a storage receptacle where energy is stored and can be used, such as an energy battery. You don’t need a home solar panel setup to experience the benefits of batteries, but you can get the most out of the system when you pair them together, especially if your utility doesn’t pay a lot (or at all) for excess electricity your solar panels generate and send to the grid. Energy storage may not be for everyone, but if you have a solar system or are looking to set up one – a storage battery is not a bad idea.
Energy storage is wonderful if you frequently experience outages, are paying exorbitant electrical bills, or simply want more energy independence from your home – batteries can be a great investment. Home energy storage consists of a battery that allows you to store surplus electricity for later consumption, when combined with solar panels as previously mentioned, the batteries allow you to store energy generated during the day for use around the clock. Battery storages are capable of optimizing the electricity use, they ensure the most efficient and effective operation of your solar power system. At the same time, they also guarantee continuity in case of temporary disruptions in the power supply, with extremely low response times. Home energy storage further supports use at a later time, reducing the degree of dependency on the main electrical grid. An energy storage battery makes self-consumption more effective.
Different kinds of energy storage used in Canada
Battery storage
There are several types of energy storage used in Canada, along with your basic battery energy storage systems there are thermal stores and heat batteries. Electric batteries will help you make the most out of your solar panels, wind turbines, and hydroelectricity systems. As an example, you can store electricity generated during the day by solar panels in an electric battery. You can then use this stored electricity for powering a heat pump, when your solar panels are no longer generating electricity, such as nighttime or during winter storms, etc. where the solar energy isn’t as abundant for generating energy.
Thermal storage
- Thermal Storage is as the name implies, a way to store a heated or cooled renewable energy medium, such as a hot water tank that stores heated water in a large, insulated cylinder tank that can keep the temperature and energy stored. In its simplest form, this could mean using a water tank for heat storage, where the water is heated at times where there is a lot of energy and the energy is then stored in the water for use when energy is less plentiful.
Flywheels
- Flywheels are kinetic energy storage systems. It’s a form of mechanical energy storage that is suitable for achieving the smooth operation of machines and provides high power and energy density. Heavy machinery is used to create and store energy, and it is expensive as it is only ever really used in commercial settings. A heavy rotating part, the flywheel, turns with an electric motor/generator. The inbuilt motor uses electric power to turn at high speeds to set the flywheel turning at its operator speed – resulting in the storage of kinetic energy.
Compressed Air
- Compressed air energy storage (CAES) is a technology used to store energy by compressing air into a sealed container such as a cavern or high-pressure tank. CAES takes the energy delivered to the system (by wind power as an example) to run an air compressor, which pressurizes air and pushes it say, underground to a natural storage area such as an underground salt cavern.
Pumped Hydro Storage
- PSH or pumped storage hydropower, or pumped hydroelectricity storage, is a type of hydroelectric energy storage that is a configuration of two water reservoirs at different elevations that can generate power as water moves down from one to the other (called discharging) that passes through a turbine. The system requires power as well as it moves water back up into the upper reservoir, (a recharge) PSH acts like a giant battery because it can store energy and release it when needed.
Hydrogen Storage
- Hydrogen storage, in terms of energy storage, is another form of chemical energy storage in which electrical power is converted into hydrogen. This stored energy can be then released again by using the gas as fuel in a combustion engine or with a fuel cell.
Many of these types of energy storage can be deployed and used at multiple scales, but batteries are the most scalable energy-storage technology. For example, a Tesla power wall in a home has the capacity to store 13.5 kWh of energy, while a Tesla mega pack array can store 1,000,000 kWh of energy for utility-scale applications. The diversity of energy-storage technologies reflects the diversity of services they can provide. Grid operations can use energy-storage technology to provide such services as reactive power, voltage control, and regulation, to enhance the efficiency and reliability of the electrical grid.
While wind, solar, and energy storage are unique and distinct from each other, they also work together to save even more if you have the capacity to have several kinds of energy-efficient conductors and storage. There is also a difference between home batteries and generators, with the batteries being much more efficient for the environment and can be for your wallet as well.
At this time in writing, several points across Canada use energy storage, installed in 4 provinces, with more upcoming in the following years such as in New Brunswick and Nova Scotia.
- Prince Edward Island – BESS, a solar battery storage project
- New Brunswick – Burchill Wind Project
- Nova Scotia – WMA/NS Power Plant
- Quebec – EVLO Storage & Solar
- Niagara Falls – MW Pumped Storage
- Oneida Energy Storage – MW Battery
- Ontario – 2500 MW Battery
- Saskatchewan – 20 MW Utility Scale BESS
- Alberta – 10 MW Enmax Crossfield, 180 MW Enfinite, and 10 MW TransAlta WindCharger
- British Columbia – 1 MW Summerland
- Yukon – 40 MW Yukon Energy & Sungrid
On-grid and off-grid storage systems
On-grid and off-grid storage systems are available, such as solar systems and solar battery storage that can maintain electricity gathered during the day for use at night or during storms, which is separate from the main electricity grid.
On-grid energy storage means that you can still access power and other systems from the electrical grid when solar panels are not generating electricity. Off-grid solar energy systems are not connected to the grid and must rely on stored electricity when the solar panels are not generating electricity, such as at nighttime.
Batteries store energy produced now for use later, providing flexibility for meeting your demand with supply. If you have solar panels, for example, any electricity they generate that you don’t use will go to the grid. Battery storage will enable you to store that excess energy instead so that you can use it when your panels aren’t producing enough to meet demand, such as at nighttime or during storms/power blackouts. For most battery systems, there is a limit as to how much they can store and they won’t hold their charge indefinitely, as they will slowly lose their charge over time.
You don’t need solar to install a home battery, but keep in mind that batteries only store energy and don’t produce it. Home battery storage is different than a generator, especially when talking about a solar panel system. If you’ve experienced power outages before in the past, you may have invested in a generator. Home backup batteries are becoming an increasingly popular choice over generators as they have a higher upfront cost, but they can be “refuelled” so to speak with solar energy gathered for free from the sun. They are also much quieter than generators, and don’t come with emissions-related health concerns and don’t leave such a large economic footprint.
Benefits and disadvantages of energy storage systems
The benefits and disadvantages of energy storage systems will depend on what your individual needs are for using storage batteries. If you experience frequent outages, live out in the country further away from the grid, or have struggles with power outages due to weather, etc. storage batteries and solar could absolutely be worth it – and give you some peace of mind.
Benefits of storage batteries:
- Most batteries last for 10-15 years, meaning upfront costs will have plenty of time to break even and there isn’t a lot of maintenance required.
- If you have frequent power outages, storage batteries can ease the stress since they will come on during an emergency and you won’t have to worry about power, especially to appliances such as fridges and freezers. And of course furnaces and the like that may be set to your electricity, which is imperative during the winters.
- If your utility offers net metering that gives you ‘credits’ from your local utility company for the excess electricity you send to the grid, having a battery can help with this as sometimes you end up paying more than you receive back in credit, making for a higher electricity bill. With a storage battery, you can choose to store your power instead of sending it straight back to the grid, and that can help save money on bills.
- Batteries can be worth it even if you don’t have storage, as if your utility uses a complex electricity rate structure, such as TOU. Time of Use rates are a form of ‘time-varying rates’ that are designed to better reflect the actual cost of power based on supply and demand. Meaning that your costs for power will vary from hour to hour, day to day, and season to season. With a battery, you can use your stored power during peak hours and save yourself costs.
- Reduces your carbon dioxide output from other fuels and utilizes renewable energy more cleanly
- Reduces reliance on the electricity grid and helps during emergencies
The disadvantages to storage batteries are few compared to the benefits, but some things to keep in mind are:
- Cost is a big one, as the upfront installation costs can be expensive. While the cost of solar panels has significantly decreased over the years, energy storage systems themselves do remain more expensive.
- Maintenance does need to be done on them as they need to be checked and maintained regularly. It can be a hassle if homeowners don’t have the time or knowledge to do so safely over the years the batteries will be installed.
- The lifespan of energy storage batteries is anywhere from 5 to 15 years, depending on which technology is used/installed. When the batteries reach the end of their life, they will need to be replaced and that can be costly and time-consuming as well to think about.
Associated energy storage system costs
Associated energy storage system costs are typically the most expensive upfront with the initial installation costs, and there are also maintenance costs or issues that may arise in the 5- to 15-year span of the storage batteries, depending on what type they are.
Storage batteries can save money in the long run and depending on your situation with power in the first place, such as needing battery storage because of power outages often or requiring more power, they will most likely even the costs out over the years or surpass the initial costs that are well worth it for many homeowners.
Can energy storage systems save on energy bills?
Energy storage systems can most definitely save on energy bills, but it of course depends on your specific needs and system set-up requirements. Some homeowners may need to deal with a much higher upfront cost and installation, and end up saving a lot in bill costs down the line throughout the years of having the batteries. Other homeowners may have an easier time with installation and already own solar panels or similar, and being able to store their power to use during busy peak grid times can help put their energy bills down to nearly zero.
All in all, yes energy storage batteries can save on energy bills – it will just depend on your current energy bills, your usage, location, and other criteria that would need to be looked into before investing in storage batteries.
Differences in energy storage systems for houses and businesses
The difference between energy storage systems for residential/household use and for businesses is that residential battery storage is smaller and typically utilizes lithium batteries. Capacity is also a difference between them, which makes sense since you wouldn’t need to store a warehouse amount of power for your home.
Business or commercial scale systems require permits and compliances for safety, more than residential homes need to worry about. Grid interconnection standards are also something that needs to be thought about and set up when looking into energy storage.
