Diversifying A US$200 billion Market: The Alternatives To Li-ion Batteries For Grid-Scale Energy Storage
The title of this post, is the same as that of this article on Energy Storage News.
This is the introductory paragraph.
The global need for grid-scale energy storage will rise rapidly in the coming years as the transition away from fossil fuels accelerates. Energy storage can help meet the need for reliability and resilience on the grid, but lithium-ion is not the only option, writes Oliver Warren of climate and ESG-focused investment bank and advisory group DAI Magister.
Oliver starts by saying we need to ramp up capacity.
According to the International Energy Agency (IEA), to decarbonise electricity globally the world’s energy storage capacity must increase by a factor of 40x+ by 2030, reaching a total of 700 GW, or around 25% of global electricity usage (23,000TWh per annum). For comparison, this would be like swelling the size of the UK’s land to that of the USA.
Similar to how “nobody ever gets fired for buying IBM”, lithium-ion holds a similar place in grid scale electrical storage today.
And just as IBM did in the last decades of the last century, the builders of lithium-ion will fight back.
He then lists the problems of grid-scale lithium-ion batteries.
- Shortage of cobalt.
- Toxic and polluting extraction of some much needed metals and rare earths from unstable countries.
- Lack of capacity to load follow.
- Limited lifespan.
He does suggest vehicle-to-grid can provide 7TWh of storage by 2030, but it has similar problems to lithium-ion grid scale batteries.
Finally, he covers these what he considers several viable methods of energy storage in detail.
He introduces them with this paragraph.
No single killer application or technology exists to get the job done. Diversification is key with success dependent on the wide-scale adoption of multiple grid-scale energy storage solutions.
- Energy Dome – Italy – Stylish Use of CO2
- Augwind Energy – Israel – Stores Energy As Compressed Air Underground
- Cheesecake Energy – UK – Stores Energy As Heat And Compressed Air
- Highview Power – UK – Stores Energy As Liquefied Air
- Ocean Grazer – Netherlands – Ocean Battery
- RheEnergise – UK – High Density Hydro
- Lumenion – Germany/Japan – Stores Energy As Heat
- Energy Vault – Switzerland – Raising And Lowering Of Weights
Note.
- All systems are environmentally-friendly and use readily-available materials like air, water, sea-water, steel and concrete for their systems.
- The most exotic materials used are probably in the control computers.
- Some systems use readily-available proven turbo-machinery.
- Most systems appear to be scalable.
- All systems would appear to have a working life measured in decades.
- I would expect that most well-educated teenagers could understand how these systems worked.
Only Augwind Energy and Lumenion are new to me.
He finally sums up the economics and the market potential.
Our ability to expand energy storage capacity is one of the most pressing issues that will determine whether this defining ‘transitional’ decade is a success. But we’ll need to invest wisely into the right technologies that get the greatest bang for the buck (in terms of GWh capacity and return on capital) given the limited lifespan of Li-Ion and the decarbonisation of the grid.
At a current capital cost of US$2,000 per kW quoted by the US National Renewable Energy Laboratory (NREL) for 6-hour Li-ion battery storage, the 700GW of capacity needed by 2030 equates to around a US$1.5 trillion market over the coming decade, making it worth nearly US$200 billion a year.
The Energy Storage News article is a comprehensive must read for anyone, who is considering purchasing or investing in energy storage.
I have some further thoughts.
From My Experience Would I Add Any Other Systems?
I would add the following.
- Form Energy, because its iron-air battery is well-backed financially.
- Gravitricity, because it can use disused mine shafts to store energy and the world has lots of those.
- STORE Consortium, because its 3D-printed concrete hemispheres, that store energy using pressurised sea-water can be placed within a wind farm.
I also suspect that someone will come up with an energy storage system based on tidal range.
Finance
When we started Metier Management Systems, finance to breakout from the first initial sales was a problem. We solved the problem with good financial planning and an innovative bank manager who believed us all the way.
David, was a rogue, but he was a rogue on the side of the angels. Long after Metier, he even came to my fiftieth birthday party.
David would have found a way to fund any of these systems, as they tick all the boxes of demonstrated, environmentally-friendly, safe and understandable. They are also likely to be bought by companies, governments and organisations with a high net value, a very respectable reputation and/or large amounts of money.
I also think, that just as we did with the original Artemis project management system, some of these systems can be leased to the operators.
Second-Use Of Systems
Several of these systems could be moved on to a new location, if say they were supporting an industry that failed.
That would surely help the financing of systems.
Neptune Energy, Ørsted And Goal7 Explore Powering Integrated Energy Hubs With Offshore Wind
The title of this post, is the same as that of this press release from Neptune Energy.
These four paragraphs outline the agreement.
Neptune Energy today announced it has signed a Memorandum of Understanding with Ørsted and Goal7 to explore powering new integrated energy hubs in the UK North Sea with offshore wind-generated electricity.
Integrated energy hubs have the potential to combine multiple energy systems, including existing oil and gas production assets, carbon storage and hydrogen production facilities. They could extend the life of producing fields and support the economic case for electrification with renewable energy, to keep carbon emissions low.
The agreement will see the companies examine the potential to supply renewable electricity from Ørsted’s Hornsea offshore windfarm projects to power future Neptune-operated hubs in the UK North Sea.
Goal7 will provide project management support and technical input.
Note.
- Neptune Energy has three oil and gas fields in the UK North Sea; Cygnus (operational), Isabella (exploration) and Seagull (development)
- Gas from Cygnus comes ashore at the Bacton Gas Terminal.
- Ørsted owns the Hornsea wind farm, which when fully developed will have a capacity of around 6.5 GW.
- Cygnus and Hornsea could be not much further than 50 km apart.
- Seagull and Isabella are further to the North and East of Aberdeen.
- Ørsted has an interest in the Broadshore wind farm, which was numbered 8 in the ScotWind Leasing round.
These are my thoughts.
The Cygnus Gas Field And The Hornsea Wind Farm
This could be like one of those stories where boy meets the girl next door and they hit it off from the first day.
This page on the Neptune web site says this about the Cygnus gas field.
The biggest natural gas discovery in the southern North Sea in over 30 years is now the largest single producing gas field in the UK, typically exporting over 250 million standard cubic feet of gas daily. Cygnus contributes six per cent of UK gas demand, supplying energy to the equivalent of 1.5 million UK homes. It has a field life of over 20 years.
Two drilling centres target ten wells. Cygnus Alpha consists of three bridge-linked platforms: a wellhead drilling centre, a processing/utilities unit and living quarters/central control room. Cygnus Bravo, an unmanned satellite platform, is approximately seven kilometres northwest of Cygnus Alpha.
In 2022, we plan to drill two new production wells at Cygnus, with the first of these expected to come onstream in 4Q. The second well is due to be drilled in the fourth quarter and is expected onstream in the first quarter of 2023, with both wells helping to maintain production from the field and offset natural decline.
Gas is exported via a 55 km pipeline. Cygnus connects via the Esmond Transmission System (ETS) pipeline to the gas-treatment terminal at Bacton, Norfolk. Neptune Energy has a 25% minority interest in ETS.
Note.
- Cygnus with a twenty year life could be one of the ways that we bridge the gap until we have the two Cs (Hinckley Point and Sizewell) and a few tens of offshore wind gigawatts online.
- The two extra wells at Cygnus will help bridge the gap.
- The gas field has a pipeline to Bacton.
So what can the gas field and the wind farm, do for each other?
Hornsea Can Supply The Power Needs Of Cygnus
Typically, ten percent of the gas extracted from the wells connected to a gas platform, will be converted into electricity using one or more gas-turbine engines; which will then be used to power the platform.
So, if electricity from the Hornsea wind farm, is used to power the platform, there are two benefits.
- More gas will be sent through the pipeline to Bacton.
- Less carbon dioxide will be emitted in recovering the gas.
Effectively, electricity has been turned into gas.
Electricity Can Be Stored On The Sea-Bed
The Hornsea One wind farm has an area in the order of 150 square miles and it is only one wind farm of four, that make up the Hornsea wind farm.
I would argue that there is plenty of space between the turbines and the wells of the Cygnus gas field to install some form of zero-carbon underwater battery to store electricity.
But does this technology exist?
Not yet! But in UK Cleantech Consortium Awarded Funding For Energy Storage Technology Integrated With Floating Wind, I described a technique called Marine Pumped Hydro, which is being developed by the STORE Consortium.
- Energy is stored as pressurised water in 3D-printed hollow concrete spheres fitted with a hydraulic turbine and pump.
- The spheres sit on the sea-bed.
- This page on the STORE Consortium web site, describes the technology in detail.
- The technology is has all been used before, but not together.
I think it is excellent technology and the UK government has backed it with £150,000 of taxpayers’ money.
I also believe that Marine Pumped Hydro or something like it, could be the solution to the intermittency of wind farms.
Excess Electricity Can Be Converted Into Hydrogen
Any spare electricity from the wind farm can drive an electrolyser to convert it into hydrogen.
The electrolyser could be mounted on one of the Cygnus platforms, or it could even float.
The hydrogen produced would be blended with the gas and sent to Bacton.
Carbon Dioxide Can Be Stored In The Depleted Cygnus Gas Field
As the gas field empties of natural gas, the gas pipes to the Cygnus gas field can be reversed and used to bring carbon dioxide to the gas field to be stored.
The Cygnus gas field has gone full circle from providing gas to storing the same amount of carbon that the gas has produced in its use.
These are two paragraphs from the press release.
Neptune Energy’s Director of New Energy, Pierre Girard, said: “The development of integrated energy hubs is an important part of Neptune’s strategy to store more carbon than is emitted from our operations and the use of our sold products by 2030.
“Neptune has submitted three applications under the recent Carbon Dioxide Appraisal and Storage Licensing Round, and securing the licences would enable us to develop future proposals for integrated energy hubs in the UK North Sea.
I can envisage a large gas-fired power-station with carbon capture being built in Norfolk, which will do the following.
- Take a supply of natural gas from the Cygnus gas field via the Bacton gas terminal.
- Convert the hydrogen in the gas into electricity.
- Convert the carbon in the gas into carbon dioxide.
- Store the carbon dioxide in the Cygnus gas field via Bacton.
- I also suspect, that if a Norfolk farmer, manufacturer or entrepreneur has a use for thousands of tonnes of carbon dioxide, they would be welcomed with open arms.
Would the ultra-greens of this world, accept this power station as zero-carbon?
The Isabella And Seagull Gas Fields And The Broadshore Wind Farm
Could a similar set of projects be applied to the Isabella and Seagull gas fields, using the Broadshore wind farm?
I don’t see why not and they could work with the Peterhead power stations.
UK Cleantech Consortium Awarded Funding For Energy Storage Technology Integrated With Floating Wind
The title of this post, is the same as that of this page on the UK Government’s Catapult Offshore Renewable Energy Web Site.
This is the introductory paragraph.
STORE, a UK-based cleantech consortium led by RCAM Technologies Limited, has been awarded £150,000 of funding to develop an advanced subsea energy storage technology manufactured using 3D printed concrete that could help offshore wind farms produce a steady and predictable energy output to the electricity grid.
This paragraph talks of the concept of Marine Pumped Hydro.
STORE is assessing the feasibility of integrating Marine Pumped Hydro (MPH) technology, which stores energy using hollow concrete spheres fitted with a hydraulic turbine and pump, with floating offshore wind plants in UK waters. In addition, the project advances the design of MPH systems and plans a prototype demonstration in the UK.
Note.
- The hollow concrete spheres are 3D-printed in concrete using the technology of RCAM Technologies.
- Spheres are structurally very strong.
- 3D printing of concrete is now mainstream technology and has been extensively used on the Elizabeth Line as I wrote about in The Story Behind The Concrete Panels On The Elizabeth Line.
- There is a visualisation on the Catapult web page, which shows several floating turbines, a floating sub station and several concrete hemispheres sitting on the seabed.
- The energy storage medium is sea water and air, which must be environmentally-friendly.
The technology is described in detail on this page of the STORE consortium web site.
- The spheres are fifteen metres across.
- The spheres can be installed at depths between 150 and 2000 metres.
- The system has a round-trip efficiency is up to 70%, which is similar to pumped storage hydro.
- The design life is 50 to 80 years.
I think that this system has possibilities.
This last paragraph in the Catapult web page gives a look into the future.
As well as improving the reliability and predictability of energy to the electricity grid, the project will support the cross sector transfer of UK offshore expertise and port infrastructure for use in renewable energy and create high-value UK jobs in engineering, construction, and operations and maintenance. This energy storage solution is ideally suited to coupling with floating wind plants and for powering offshore oil and gas assets from renewable energy. The 3D printed concrete also facilitates localized manufacturing and enables low cost fabrication of new and complex shapes that were previously not practical.
I also feel that if the concrete sphere energy storage can be made to successfully work, then the technology can surely be fitted to any offshore wind farm, by just adding the right number of spheres and connecting them to the offshore sub station.
The STORE Consortium
The STORE consortium has a web site, which has a heading of Innovative Subsea Energy Storage.
It describes the technology in this paragraph.
STORE is advancing a subsea energy storage technology called Marine Pumped Hydro (MPH). MPH uses large hollow concrete spheres on the seafloor to store mechanical energy in the form of pressure. MPH charges when seawater is pumped out of the spheres and releases energy to the grid when high-pressure water flows back into the spheres through a turbine. MPH features a patent-pending multi-sphere pod to increase the amount of energy stored and uses efficient 3D concrete printing to reduce manufacturing costs.
It sounds like an engineer with children, has been playing with them and their plastic toys in a bath and has had an Archimedes moment.
The project and its funding is described in this paragraph.
STORE was awarded £150,000 from the Department for Business, Energy & Industrial Strategy Longer Duration Energy Storage Demonstration (LODES) competition. Phase 1 will deliver a Feasibility Study focused on the design and analyses for the UK. Phase 2, if awarded, will design, manufacture, and operate a prototype system at TRL 6.
Note that TRL 6 is Technology Readiness Level 6 and is fully defined on this NASA web page, as having a fully functional prototype or representational model.
There is also an interesting link to the ScotWind N3 wind farm. that I wrote about in ScotWind N3 Offshore Wind Farm.
- This is an unusual floating wind farm with a floating substation.
- Technip and Loch Kishorn port are involved in both the wind farm and STORE.
- Loch Kishorn has a history of building immense concrete structures.
I wouldn’t be surprised if this wind farm would be the location of the prototype system.
Conclusion
This is a brilliant concept.
- It is the ideal energy storage system for offshore wind, as it can turn a wind farm with a variable output into one with a much more constant output.
- It can be retrofitted to existing offshore wind farms.
- It will work with both fixed and floating wind farms.
- The concrete storage spheres can be fully assembled with all their electrical gubbins on shore and towed out, before sinking in the required position.
It also looks like the Department for Business, Energy & Industrial Strategy have got involved and helped with the funding. Someone there seems to know a good idea, when they see it!