Alternative Energies
Frank Frey, PE
Energy Storage
Accure Battery Intelligence
Energy Storage
Brian Cashion
Industries have traditionally used fossil fuels to produce heat for their processes or to fuel power plants to generate electricity, including the use of natural gas, oil, and coal. Industrial heating processes are responsible for ~25% of global emissions, and therefore, great attention from governments and states is being seen to decarbonize this area of industry. A key solution that could reduce emissions from industrial heating processes is thermal energy storage (TES). From their market report, "Thermal Energy Storage 2024-2034: Technologies, Players, Markets, and Forecasts", IDTechEx forecast that over 40 GWh of thermal energy storage deployments will be made across industry in 2034.
While TES will be a key technology to decarbonize industrial heating, players developing other technologies, such as carbon capture and storage (CCUS), heat pumps, hydrogen, and electrification technologies, such as electric arc furnaces (EAF), will also be competing for funding from states and governments. It is, therefore, important to examine the different drivers and initiatives that will influence where the greatest TES market growth is expected to be seen over the coming decade.
Key drivers for decarbonizing industrial heating in Europe
Natural gas prices in Europe have risen in recent years due to geopolitical instances and fears of strikes in key exporting countries. In Europe, natural gas prices have risen and been more volatile in recent years. This is mostly due to the influence of the Russia-Ukraine war, which saw European natural gas prices rise from €10-20 / MWh before 2022 to over €300 / MWh. These prices have seldom returned to prices pre-2021, and other spikes in natural gas prices have been caused by fears of LNG exporter strikes in Australia. This volatility and increase in natural gas prices will likely be a key driver for the growth of technologies to decarbonize industrial heating in Europe, including TES.
The European Commission has enforced the EU Emission Trading System (EU ETS), which sees companies penalized for the emissions they produce above a given cap. This cap will be reduced annually to help ensure that emissions from industry decrease over time. Companies can auction for allowances on the common auction platform, performed on the European Energy Exchange. As companies in the EU are paying for the excess GHGs they emit, they are either able to purchase carbon allowances or, hopefully, are incentivized to invest in technologies to provide low-carbon heat.
The funds gained by the Member States are mostly used to support climate-related endeavors, and from 2013-2019, approximately 78% of the revenues gained were put towards these purposes. This funding is put towards the EU Innovation Fund. In November 2023, the EU Commission opened a €4B fund to support the deployment of decarbonization technologies, building on its previous two rounds of €3B and €1.8B in 2022 and another €1.1B round in 2021. This funding will be used to support decarbonization projects, which could include energy storage technologies, heat pumps, and hydrogen production. As suggested in IDTechEx's market report, players developing thermal energy storage technologies could be eligible for part of this funding, but the volume of funding specifically being provided towards players developing and commercializing TES technologies is unknown.
Key drivers for decarbonizing industrial heating in the US and Australia
TES technologies will be less competitive with natural gas in the US, given that the US has a large volume of domestic natural gas production and is a net exporter. However, in 2022, the US Department of Energy (DOE) launched the Industrial Heat ShotTM Initiative to develop cost-competitive industrial heat decarbonization technologies. In 2022, the DOE announced it would provide a "$70 million funding opportunity" in federal funding over the next five years for developing projections focused on low-carbon process heating technologies. However, in 2022, US$300M was requested by players, and US$385M was requested in 2023, therefore suggesting that demand for funding of low-carbon process heating technology development is greater than what is currently being provided. Regardless, growth of TES technologies in the US is expected, though players developing other decarbonization technologies will compete for funding.
End-user natural gas prices in eastern Australia have typically mirrored those of western Europe. While eastern Australia has its own production of natural gas, domestic liquefied natural gas (LNG) consumption competes against export volumes. Generally, Australia's export volumes are much larger than the total gas demand, and the cost of gas production is high. This will likely see TES technologies be more cost-competitive against natural gas than in the US, to similar levels as Europe. Moreover, in November 2023, The Australian Renewable Energy Agency (ARENA) launched an AU$400M (~US$260M) fund named the Industrial Transformation Stream (ITS). The first round of funding will see AU$150M of funding provided for decarbonization of industrial heating processes and off-road transport decarbonization. TES players in Australia are, therefore, likely contenders to receive this funding.
Thermal energy storage regional market outlook
Key players in interviews with IDTechEx have commented that most decarbonization projects are currently using support funds from state or government grants. As detailed in IDTechEx's market report, as of January 2024, TES players have accumulated over US$600M in funding, though not all through state or government grants. Over the next few years, most industrial TES growth is expected to occur in Europe, with over 275 MWh of projects planned for deployment by ~2025. Two key projects in the US and China will see GWh-scale deployments of a 1.2 GWh electro-thermal energy storage (ETES) system by Echogen Power Systems in the US and a 1.1 GWh TES system by CHN Energy at a power plant in China. Rondo Energy is also planning to deploy 2 GWh of TES for industrial heating applications, seemingly across multiple projects, though locations are currently unknown.
Expected future capacities of thermal energy storage for industrial applications by region (excluding CSP). Source: IDTechEx
These deployments skew the outlook from a TES capacity perspective, though the described factors of higher and volatile natural gas prices, the enforced EU ETS, and support from the EU Innovation Fund will be the main drivers creating opportunities for TES market growth in Europe over the next decade. While it is difficult to pinpoint exact volumes of funding being provided for development of TES technologies, it is clear that other countries, such as the US and Australia, are also directly supporting decarbonization of industrial heating, and these will be other key regions for TES growth in the medium-term.
For more detailed information on thermal energy storage technologies and benchmarking analysis, key players, applications, markets, government initiatives, drivers, and granular 10-year market forecasts, please refer to IDTechEx's market report "Thermal Energy Storage 2024-2034: Technologies, Players, Markets, and Forecasts".
IDTechEx | www.idtechex.com
Natural Power, a leading renewable energy consultancy and service provider, has completed technical vendor due diligence services on behalf of UNITe Group. The transaction, known as Niagara Project, was aimed at finding new investors to finance the development of UNITe’s solar photovoltaic portfolio.
The success of this transaction reinforces UNITe Group’s diversification strategy towards photovoltaic energy, specifically based on the development of agrivoltaic projects and the signature of corporate power purchase agreements.
The portfolio Natural Power reviewed was composed of operational wind (26MW) and solar assets (18MW), plus a pipeline of wind (4MW) and solar (191MW) projects in development throughout France.
Axelle Foix, Senior Due Diligence and project lead at Natural Power, said: “Having previously supported UNITe with advisory services in the context of project refinancing, we were pleased to be working on this project utilising the extensive experience within our local team in France.
“We are keeping a close eye on the development of agrivoltaics, which is emerging as the new market standard, with more than 25GW of projects under development. By analysing the technical and environmental constraints and verifying that the agrivoltaic projects meet the criteria set out in decree no. 2024-318 of 8 April 2024, enabling the synergies between agricultural activity and energy production to be assessed, we can review the design of these projects and provide an opinion on their chances of being permitted.”
To support this developing area, Natural Power also maintains a database of doctrines and opinions issued by local authorities.
Simon Duhamel, CFO at UNITe Group, said: “The successful completion of this project portfolio underscores the strategic importance of Natural Power's expertise in ensuring the technical and environmental viability of our projects. Their role has been crucial in advancing our renewable energy initiatives and securing investor confidence, ultimately supporting our growth and commitment to sustainable energy solutions.
In addition to completing a detailed review of all wind assets in operation, one operational solar plant and a sample of projects in development, Natural Power has also been contracted by UNITe to deliver post-construction energy yield assessments (PCYA) of Saint-Sauveur, Saint-Aubin and Saint-Secondin wind farms and of Mezos solar plant; pre-construction energy yield assessments (EYA) on some wind projects under development; and reviews of energy yield assessments for a sample of projects under development.
When it comes to green energy projects, Natural Power’s experience enables banks, developers, independent power producers (IPPs), utilities and investment funds to make good financial decisions. Find out more technical due diligence services here: www.naturalpower.com/uk/expertise/service/advisory/due-diligence
About UNITe
During the past 40 years, the UNITe group has been working to reconcile energy needs and respect for the environment. Today, it is considered one of the leading independent producers of low-carbon, local, sustainable and competitive electricity in France, with more than 60 production sites. Through its subsidiary GREEN-ACCESS, the group is also a leader in energy recovery, in particular through the sale of Guarantees of Origin (GoO) and contract negotiation for the supply of renewable electricity to industrial consumers.
UNITe is an independent, agile and financially solid group with strong local roots and proven expertise in the renewable energy sector. Headed by Alexandre ALBANEL and Stéphane MAUREAU, the group is currently undergoing a phase of sustained growth. UNITe is one of the few companies still regularly building hydroelectric power stations in France. The company also leases a large amount of land in France on a long-term basis (35 years or more) to develop ground-mounted solar photovoltaic plants, often working in synergy with existing farming activities.
Natural Power | www.naturalpower.com
During the Seanergy international event, dedicated to marine renewable energies, BrestPort is excited to announce the launch of its Call for Expressions of Interest (CEI) InFloW. It aims to structure an ambitious investment program to adapt and enhance port infrastructure, addressing the growing needs of the floating wind industry.
A port at the heart of industrial innovation
BrestPort positions itself as a key player in the energy transition by exploring three strategic scenarios to maximize its role in the development of floating wind energy:
Construction site for floaters: BrestPort specializes in the fabrication and assembly of floaters for floating wind turbines, optimizing its port infrastructure for these industrial activities.
Multiservice logistics hub: the port transforms into a versatile logistics center, capable of managing all activities necessary for the construction and maintenance of offshore wind farms.
Industrial Landlord: as a manager of its port domain, BrestPort leases and oversees its facilities to specialized companies, offering maximum flexibility for various industrial activities.
Support from Brittany and Brest Metropole
This initiative is supported by the Regional Council of Brittany and Brest Metropole, long-standing pillars of the wind energy sector in Brittany. The InFloW project aligns with the regional strategy to develop an industrial wind energy sector around professional clusters, particularly BOP (Bretagne Ocean Power).
Partnership for a sustainable energy future
The objective of this CEI is to gather analyses and expressions from stakeholders in the wind energy sector to define and combine the best industrial and logistical positioning options. BrestPort aims to develop effective partnerships to maximize synergies and support the energy transition.
A strong commitment to the energy transition
Since 2016, the Regional Council of Brittany and local authorities have invested over 220 million euros in port development, preparing the ground for floating wind energy. The Brest polder, an industrial terminal of 40 hectares and 380 meters of quay, is at the heart of this transformation, already hosting major players like Haizea for the fabrication of wind turbine foundations.
A strategically important project
This CEI is launched as part of the call for projects for ports related to floating wind, with 190 million euros in funding for French ports from France 2030. Brest is strategically positioned at the heart of three markets: the Atlantic, the Channel, and the Celtic Sea. This approach is part of a port cooperation strategy essential to maximize synergies and support the development of floating wind energy.
Invitation to participate
We invite all stakeholders, from industrial companies to logistics experts, to participate in this CEI and to help defining the future of BrestPort. The responses collected will help specify future investments and establish strategic partnerships to energize the floating wind sector.
For more information, please consult the CEI documents on the BrestPort and Regional Council of Brittany websites.
Regional Council of Brittany | https://europe.bzh/welcome/
DNV, the global independent energy expert and assurance provider, has been chosen by the Iberdrola Group to perform power curve verification at the Bay of St. Brieuc offshore wind farm, employing advanced nacelle lidar technology. Situated 16 kilometers off Cap Fréhel in the Bay of St. Brieuc in the Côtes-d’Armor distric, the farm is notable for being the first large-scale offshore wind power installation in Brittany —a region renowned for its strong winds and high tides, which have historically shaped its landscape and economy—, and the second in France dedicated to producing clean energy. Developed by Ailes Marines, a subsidiary of Iberdrola, the 62-turbine farm has been fully operational since May 2024. With a total installed capacity of 496 MW, the wind farm is expected to significantly enhance the region's clean energy supply, generate enough green electricity to power approximately 835,000 homes, covering 9% of the region’s total consumption.
DNV’s power curve verification project encompasses the design, commissioning, and execution of a power performance measurement (PPM) campaign for three turbines, along with the installation of all necessary equipment to ensure the campaign meets accreditation standards. Before deployment, the lidars will be calibrated at DNV’s testing facility in Germany to comply with the updated IEC 61400-50-3:2022 standard. This standard allows for the use of nacelle-mounted lidars (NML) in performance assessments, an area where DNV has extensive expertise. The power curve verification will enable Iberdrola to align actual energy production with initial projections, improving the accuracy of economic models for the wind farm. The initiative enhances operational efficiency and supports broader sustainable development goals.
"DNV is one of the pioneers in power performance measurement using nacelle lidar technology. This project showcases our ability to leverage advanced technologies and adhere to stringent industry standards in wind energy. We are dedicated to advancing safety and performance, setting industry benchmarks, and developing solutions to address the global energy transformation," said Santiago Blanco, Executive Vice President and Regional Director for Energy Systems at DNV.
“Following the full commissioning of Saint Brieuc Offshore Wind Farm, Iberdrola/Ailes Marines is looking forward to monitoring wind conditions and performance of the asset with the help of nacelle LIDAR technology. We expect that the experience and expert knowledge of DNV, one of the key players in power curve testing, will allow for a successful and instructive measurement campaign, based on up-to-date standards and technology,” added Jérôme Dumont, Offshore Wind Resource Manager at Iberdrola.
At the Bay of St. Brieuc wind farm, the data provided by DNV will be essential in understanding and optimizing performance of the wind asset, setting a benchmark for other future offshore wind projects.
With this collaboration, DNV and Iberdrola demonstrate their commitment to innovation and excellence in renewable energy. The successful implementation of nacelle lidar technology at the Bay of St. Brieuc offshore wind farm will not only bolster the region’s energy independence but also contribute significantly to global efforts in combating climate change and advancing sustainable energy solutions. This project stands as a testament to the potential of cutting-edge technology in transforming the energy landscape and paving the way for a greener future.
DNV | www.dnv.com
Sineng Electric, a global leading PV+ESS solution provider, has partnered with Larsen & Toubro and supplied 1,016MW of its 6.6MW MV turnkey stations to the Al Kahfah solar farm in Saudi Arabia. This collaboration marks a significant milestone in Sineng's mission to deliver innovative and efficient energy solutions worldwide.
The Al Kahfah PV project is part of the National Renewable Energy Programme (NREP) led by the Ministry of Energy. The initiative aims to refine the energy mix for power generation, decrease dependence on liquid fuels and contribute to Saudi Vision 2030 - to generate 50% of its electricity from renewables by 2030. Jointly owned by Badeel and ACWA Power, the project will distribute and sell the generated power to the Saudi Power Procurement Company (SPPC) via a power purchase agreement (PPA).
For this project, Sineng presents its EP-6600-HB-UD/33 which is tailor-made to excel in the subtropical desert climate of Al Kahafah. This inverter can deliver 6,600kW output power without derating, even in ambient temperatures of up to 50ºC. Notably, the inverter incorporates a smart forced air cooling design, where the rotation speed of cooling fans is precisely controlled by DSP controller based on sensed internal temperature. This feature ensures that the device minimizes energy loss effectively. With the maximum efficiency of up to 99% and advanced three-level topology technology, Sineng’s turnkey solution significantly amplifies the power generation while enhancing the return on investments.
Mr. Qiang Wu, Chairman of Sineng Electric, emphasized, "Sineng has been playing an instrumental role in diversifying energy sources in the Middle East and decarbonizing the region's economy. Our ongoing collaboration with Larsen & Toubro, following the success of our joint efforts in the Ar Rass project, symbolizes our commitment to maximizing the share of renewable energy. ”
Sineng Electric | https://en.si-neng.com/
The American Clean Power Association (ACP) released the following statement from Anne Reynolds, ACP Vice President for Offshore Wind, after the Bureau of Ocean Energy Management (BOEM) approved the Construction and Operations Plan (COP) for Avangrid’s New England Wind 1 and 2 offshore projects located 20 miles south of Martha’s Vineyard, Massachusetts:
“This is another significant milestone in advancing offshore wind energy. The nearly 2,000 megawatts of energy produced from Avangrid's two projects will power nearly 1 million homes, create 9,200 jobs, and allow for $8 billion in direct investment across the region. This decision furthers the renewable energy infrastructure New England needs to meet electricity demands, strengthen the grid, and provide clean air for its citizens. ACP commends BOEM’s continued commitment to offshore wind as an important and critical source of energy for the country’s future.”
American Clean Power Association | https://cleanpower.org/
Emeren Group Ltd ("Emeren" or the "Company") (NYSE: SOL), a leading global solar project developer, owner, and operator, announced a Development Service Agreement ("DSA") partnership for a state-of-the-art portfolio comprising five Battery Energy Storage Systems ("BESS") in Italy with PLT energia Srl ("PLT"), one of the largest independent Italian groups active in the energy sector from wind and photovoltaic sources. This transaction marks a significant milestone in the development of an impressive 394 MW BESS portfolio.
Yumin Liu, CEO of Emeren Group, commented, "We are excited to partner with PLT energia Srl, whose vision and strategy align seamlessly with Emeren's commitment to sustainability. This collaboration represents a significant step forward in our mission to develop innovative battery storage projects both in Italy and globally, further demonstrating our efforts to expand our BESS business."
Stefano Marulli, CEO of PLT energia, added: "PLT actively pursues a project portfolio with the right balance of technologies. With the current growth in renewable energy, which is expected to continue in the coming years, Battery Storage will play a key role in the installation of new renewable plants and the stability of the power grid. This is why we believe this agreement is the perfect complement to our current development pipeline, both photovoltaic and wind, especially in the US market and Emeren the right partner thanks to its professional and technical experience as well as market knowledge."
Emeren Group | www.emeren.com
PLT energia Srl | www.pltenergia.it
Wind Sep 15, 2023
The Kincardine floating wind farm, located off the east coast of Scotland, was a landmark development: the first commercial-scale project of its kind in the UK sector. Therefore, it has been closely watched by the industry throughout its installation....
According to the Energy Information Administration (EIA), developers plan to add 54.5 gigawatts (GW) of new utility-scale electric generating capacity to...
Grid modernization is having a profound impact on the nature and regulation of North American utilities. It represents a significant...
An Automatic Transfer Switch (ATS) is a means of transferring power between a primary electrical power source and an alternative...
What’s underneath the surface of the land that you plan to develop and who owns it? Identifying owners of mineral rights is critical for utility-scale solar energy projects, especially in regions where these rights are legally separable from surfac....
Since the passage of the Inflation Reduction Act nearly two years ago, U.S. solar panel makers navigate a promising market amid production, legal, and investment considerations Nearly two years after U.S. President Joe Biden signed the Inflation R....
The global shift towards clean energy — exemplified by the widespread adoption of solar power — is not only a beacon of hope for a sustainable future, but also comes with heightened expectations for responsible project execution. From the initial....
The impacts of climate change are becomi....
When thinking of renewable energy source....
The US offshore wind sector has entered ....
As the world accelerates its transition to renewable energy sources, the deployment of energy storage solutions has surged to meet the demands of this ongoing transformation. Battery Energy Storage System (BESS) capacity is likely to quintuple betwee....
On April 19, 2019, a thermal runaway event took place in a battery energy storage unit (ESS) located within a building in Surprise, Arizona. The ESS was provided with fire detection and fire suppression, which both activated. Approximately five hours....
The summer of 2023 was the hottest in recorded history, hitting the United States with disproportionate force. A climatology report by PBS explained that the terrain in and surrounding the U.S. contributes to powerful competing air masses t....
Much of the world was represented at the UN Climate Change Conference (COP21) in Paris in 2015. A total of 196 Parties signed onto a commitment for emissions of carbon dioxide to be reduced by 45 percent by 2030, and reach net zero by 2050 to keep gl....
Clean energy growth continues to outpace projections. By early 2025, renewable energy sources are projected to contribute over 33 percent of the world's total electricity generation. While exact growth rates remain in flux and often ar....
As industrial operations look for opportunities to decrease their carbon emissions, hydrogen fuel cell vehicles and battery-electric vehicles have emerged as potential solutions. These power options generate zero carbon emissions at the tai....