Germany wants to master the energy transition and become more independent in terms of energy supply. This presents the electricity infrastructure with complex challenges: instability in the electricity grid, high volatility and high prices.
Stabilizing the power grid is therefore essential. This requires flexible energy storage devices. According to the Fraunhofer Institute, the demand for storage systems will increase by more than 200 times by 2030.
Battery energy storage systems offer a significant opportunity for an independent and sustainable energy supply. The connection to the power grid with its own grid connection enables a wide range of operating strategies.
The battery energy storage system can store electricity at times when the energy is not needed and feed it back into the grid when demand is high. Doing so, it reduces congestions in the grid and sharp fluctuations in electricity prices.
The expansion of renewable energy sources increases the volatility of the electricity market. Battery energy storage systems use trade to keep shortages or surpluses as low as possible and thus counteract extreme price fluctuations.
Battery energy storage systems are technically very well suited to compensate for unforeseen grid fluctuations. Within a few milliseconds, the storage systems can stabilize the grid on command and prevent power outages.
As a result of the increasing share of renewable energy in the energy mix, the requirements for the power grid have changed significantly. Due to the geographical relocation of electricity generation, additional transmission and distribution capacities are necessary. This requires the expansion of high-voltage and high-voltage roads. The main problems with the urgently needed new network infrastructure are the massive costs, the very long construction times and the acceptance of the public. As a result, grid expansion in many regions is lagging behind demand and cannot keep pace with the expansion of renewable energies.
From today's perspective, battery storage systems are the most economical option for bringing urgently needed flexibility and stability to power grids in the short term. The decentralized storage of electricity in battery storage systems reduces the acute need for expansion. As a result, fewer lines and substations need to be built. At the same time, greater integration of renewable energy sources and independence from external energy sources is made possible.
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In principle, we aim to make as large a contribution as possible to the energy revolution with our projects and are therefore continuously comparing all technical solutions for energy storage. With less than 10% losses between power consumption and feed-in, large stationary lithium-ion battery storage systems have a significant advantage over other storage systems such as hydrogen electrolysis with over 60% or traditional pumped storage power plants with 20-30% losses. Lithium-ion battery storage systems can also react very dynamically to fluctuations in the power grid and provide energy in fractions of a second if necessary — this is crucial for grid stability when unexpected events and disruptions occur in the power grid. The high energy density of the storage systems results in low land consumption and low interference with nature and the environment. Since this is a sophisticated technology, development, approval and construction times can be planned very easily. All systems used by Kyon Energy can also be recycled after the end of their useful life so that the valuable battery raw materials are not lost.
Depending on the size of the battery storage device, its capacity and performance also vary. Projects currently completed each have an output of around 20 MW and a maximum usable capacity of 24 MWh. Significantly larger 100 MW storage projects are already being planned. By way of comparison, an average household in Germany consumes around 8.5 kWh of electricity per day; at peak time in the morning and evening hours, the consumption is 0.62 kW. A battery storage system with 20 MW output and 40 MWh capacity can therefore supply over 30,000 households for two hours at peak time. With a 100 MW battery storage system, there are already over 150,000 households.
Our projects do not provide for direct purchase of battery storage systems, as they are connected directly to the distribution network and thus serve as the general power supply. Here, they ensure the stability and independence of the power grid and thus contribute in the long term to keeping electricity prices stable or even reducing them.
The battery storage systems planned by Kyon meet the technical requirements to ensure a black start. In Germany, however, this is not yet possible from a regulatory perspective. Current court proceedings concern the market-based procurement of the Schwarzstart system service. As long as the market for them is not yet open, batteries will be prevented from offering their black start capability to grid operators for formal reasons in practice.