Battery Energy Storage Systems (BESS) are becoming an essential component for UK businesses looking to reduce energy costs, enhance sustainability, and improve energy resilience. Below are key ways businesses can benefit from BESS technology.
Renewable technology integration (solar PV) #
- Renewable energy sources like solar and wind generate power at different times due to weather conditions.
- A BESS stores excess renewable energy during peak production and releases it when needed, ensuring a stable and predictable power supply.
- This is particularly beneficial for businesses with on-site renewables, enabling them to operate with clean energy even when the sun isn’t shining or the wind isn’t blowing.
- Many businesses generate their own energy using solar panels or wind turbines, but excess generation is typically exported to the grid at low rates.
- A BESS allows businesses to store surplus energy for later use, increasing self-consumption and reducing reliance on grid electricity.
- This not only lowers electricity bills but also improves return on investment (ROI) for renewable energy projects.
- By integrating renewable energy and storage, businesses help reduce overall grid reliance on fossil fuels.
- Some businesses may also participate in grid services that support renewable integration by feeding stored clean energy back into the grid during high-demand periods.
Time-of-use optimisation #
- Businesses can charge batteries during off-peak hours when electricity is cheaper (e.g., overnight) and discharge during peak periods when costs are high.
- This reduces overall energy costs by minimising expensive peak-hour electricity consumption.
- Electricity bills often include demand charges, which are based on the highest amount of power drawn from the grid at any one time.
- A BESS can discharge stored energy during high-demand periods, lowering peak demand and reducing these charges.
- This is especially useful for businesses with high-energy equipment that causes sudden spikes in power usage.
- With the UK energy market adopting dynamic pricing, businesses can use energy price forecasts to optimise BESS usage and shift energy consumption to the lowest-cost periods.
Leveraged energy storage (arbitrage) #
- Businesses can purchase and store electricity when wholesale prices are low (e.g., at night or when renewables generate excess supply on the grid).
- Stored energy can then be used or sold back to the grid when prices increase, creating an additional revenue stream.
- Businesses with BESS can sell stored energy directly to energy suppliers through Power Purchase Agreements (PPAs).
- Some businesses engage in peer-to-peer energy trading, selling excess energy to other organisations or local networks.
- The UK electricity grid requires stability services such as frequency regulation and balancing.
- Businesses with BESS can participate in markets such as:
- Frequency Response Services: Rapidly injecting or absorbing power to maintain grid frequency.
- Balancing Mechanism Participation: Providing energy to the grid when demand fluctuates.
- Capacity Market: Being compensated for ensuring electricity availability during peak demand.
Enhanced energy reliability #
A BESS provides instant backup power during grid outages, ensuring continuous operation for businesses that rely on uninterrupted energy.
This is particularly valuable for industries such as data centres, healthcare, manufacturing, and cold storage facilities.
Voltage fluctuations, frequency instability, and power surges can damage sensitive equipment.
A BESS smooths power delivery, acting as a buffer against these disturbances, ensuring stable and high-quality power supply.
The UK grid is undergoing significant changes, with increasing reliance on renewables and decentralised generation.
A BESS enhances business resilience by providing an alternative power source, reducing dependence on external grid stability.
Harnessing solar pv and battery #
Integrating a Battery Energy Storage System (BESS) offers UK businesses a powerful solution to reduce energy costs, improve sustainability, and enhance operational resilience. By optimising time-of-use pricing, businesses can lower electricity bills, while leveraging stored energy for arbitrage creates new revenue opportunities. BESS also maximises the use of on-site renewable energy, reducing reliance on grid electricity and supporting sustainability goals. Additionally, enhanced energy reliability ensures protection against power outages and voltage fluctuations, safeguarding critical operations. As energy prices fluctuate and the UK transitions toward a greener grid, BESS presents a strategic investment for businesses seeking cost efficiency, energy independence, and long-term resilience.
