Applications: Stationary Energy Storage

Regulatory Timeline for Deploying BESS in Major Markets

RFP / Award & Market Incentive In Regulated Markets, where there are specific MW or MWh targets, such as Canada1 or Spain2, competitive RFPs or Capacity Auctions are held. These projects are awarded via negotiated offtake agreements. In Liberalized Markets, such as UK and US3,developers perform interconnection studies and might need to support the cost of upgrading the network. Offtake may be regulated through government or private market contracts.

Interconnection The grid must allow for interconnection based on BESS specific charge and discharge requirements, sometimes called “grid neutralˮ4. These will be defined by the type of utilisation, and the utility, grid operator, or regulator will define which / if upgrades are required based on them. The developer may be required to fund some or all of the upgrades depending on the arrangement of the project.

Permits Approval Projects must be granted various national, state or regional approvals enforced by Local Authorities Having Jurisdiction AHJs. This may also include consulting with planning or sitting committees, obtaining environmental and community approval and any additional studies such as noise. Projects must prove compliance with electrical and construction codes.

Local Regulation Based on the Local Authorities Having Jurisdiction AHJs interpretation of the code, the project, and its key components, such as the BESS, PCS, and control systems, must comply with certain standards. At the moment of writing this report, the most commonly required standards at product level are: UL 9540, UL 9540A. At project level IEC 62933 and NFPA 855 are also normally required.

Across both markets, incentives are being enhanced to allow BESS to access more revenue streams.

Source: 1 Energy Storage News, 2 Delfos Energy, 3 PV Magazine 4 FFE

Extracted from the PDF; charts and images may read imperfectly.