How long can Li-ion batteries last?

This rule, along with limited additional energy arbitrage value for longer durations and the cost structure of Li-ion batteries, has created a disincentive for durations beyond 4 hours.

Can Li-ion batteries compete with longer-duration storage?

Despite the large potential, there is still significant uncertainty regarding the role of longer-duration storage, and the possible technologies that can compete with Li-ion batteries in a shift toward longer durations.

Why should energy storage be a long-duration option?

Provision of additional services such as transmission congestion relief and resilience could also increase opportunities for longer-duration storage. Several storage technology options have the potential to achieve lower per-unit of energy storage costs and longer service lifetimes.

What if a battery has less than the duration requirement?

A battery with less than the duration requirement can receive partial capacity value, as shown in Figure 2, representing a linear derate, so a 2-hour battery would receive half the credit of a 4-hour battery, but a 6-hour battery receives no more value or revenue (for providing capacity) than a 4-hour battery in this example.

Should energy storage be more than 4 hours of capacity?

However, there is growing interest in the deployment of energy storage with greater than 4 hours of capacity, which has been identified as potentially playing an important role in helping integrate larger amounts of renewable energy and achieving heavily decarbonized grids.1,2,3

Why do we need long-term energy storage?

For example, community hospitals must have refrigeration to cool their medicines. Long-duration energy storage gives them greater assurance. Take the Maldives, which consists of nearly 1,200 coral islands in the Indian Ocean. Fossil fuels have powered the islands.