EET&D : Why has energy storage emerged as a lynchpin to America's long-term energy future?

Noyes : A power grid operator attempts to balance energy supply with energy consumption. When consumption is not aligned with the availability of supply, such as during periods of significant momentary consumption, energy stored in batteries can be deployed to meet a property's energy consumption needs. In addition, unlike wheat and cattle, energy is one of the few commodities that cannot be stored. Storage technology is beginning to change that.

EET&D : How does energy storage fit into the energy big picture?

Noyes : The need to decrease the difference between the generation of energy and the demand for energy is a consumer consideration as much as a financial one. When matched with demand response programs, along with the aggressive deployment of energy-efficient equipment, the benefits to every component of the energy market can be significant. Advances in technology have made all of these easy to install and even easier to justify.

EET&D : How do renewables and energy storage work together?

Noyes : Inherent in the production of renewable power is the fact that the availability of the power is variable. Renewable energy sources, such as solar and wind power, produce energy when the sun is shining or when the wind is blowing. That means the value of batteries to store the power when it is produced - and then deliver it when it is needed - is especially important to the operation of the electricity grid in terms of both ensuring grid reliability and reducing peak demand. Most batteries used in this type of set-up are designed for deep cycling.' That means they can store anywhere from ten times up to hundreds of times more energy than a car battery can.

EET&D : Does storage help reduce the cost of power?

Noyes : Energy storage can reduce overall costs by lowering peak demand, avoiding costly T&D infrastructure updates, and boosting reliability. Energy storage also helps consumers gain greater control over their usage of energy, which could potentially lower their costs once they find themselves able to consume less energy from the grid during peak hours. Moreover, energy storage provides an emission-free and noise-free means of reducing overall costs to both consumers and utilities.

EET&D : What is required for energy storage to become mainstream?

Noyes : The primary barriers to the expansion of energy storage right now are the cost of installation and the reliability of the technology. Costs are already on the decline, but they need to go down further - and also be combined with technology improvements in efficiency and reliability.

A big driver, as we've seen in the renewable energy space, is the availability of federal and state incentives in the form of tax breaks or additional revenue sources. The DOE has provided support through loans and grants. Several states have established mandates to encourage investment in energy storage. In 2013, the California Public Utilities Commission (CPUC) announced targets that call upon California's investor-owned utilities to procure 1.325 gigawatts (GW) of cost-effective energy storage by 2020. Similarly, Texas, New York and PJM power grid operators have put mechanisms and regulatory processes in place to help facilitate the commercialization of energy storage technologies.

EET&D : Is there a technology that will prevail?

Noyes : There is not one technology that will meet every application. Energy storage has a variety of applications: frequency regulation, reactive support and voltage control, etc. As these applications expand, storage technologies are sure to develop to match demand.

EET&D : How does energy storage factor into CED's growth plan?

Noyes : ConEdison Development (CED) is planning to deploy a 2 MW/8 MWh battery energy storage system in California. This installation is CED's first step in our overall plan for optimizing and operating energy storage projects.

EET&D : We can't thank you enough Mark for taking time out of your crazy schedule to speak with us. It appears that energy storage is definitely one of the ways forward and it's encouraging to see a companies like ConEdison Development and ConEdison Energy driving the technology.