Yes, there are performance-based incentives for energy storage systems. These incentives encourage the effective use of energy storage systems by rewarding them for contributing to grid stability during peak demand periods. Here are some examples:
Performance-Based Incentives Overview
- Utility-Driven Incentives: These are typically offered by utility companies and are based on the energy contribution during active dispatch events. For instance, customers might receive incentives for each kilowatt contributed by their battery system during peak summer and winter periods.
State-Level Programs
- Connecticut: The Energy Storage Solutions program offers performance-based incentives for commercial customers, providing up to $16,000 for residential installations and 50% savings for businesses. Businesses can earn performance-based incentives twice a year for 10 years.
- Massachusetts: The Mass Save Connected Solutions program provides incentives for utility customers to support grid stability, with aims to cover the cost of the battery over five years.
- Maine: Efficiency Maine offers performance-based incentives for reducing peak demand during the summer. Awards are based on load reduction and capped at $200 per kW.
Incentive Structure
Performance-based incentives often involve:
- Per kW Contribution: Incentives can be based on the average power (in kW) contributed by the battery system during peak demand periods.
- Seasonal Payments: Payments may vary by season, with higher incentives during peak periods like summer.
- Multi-Year Engagement: Incentives can last several years (e.g., up to 10 years), providing ongoing benefits for participating customers.
These incentives motivate homeowners and businesses to invest in energy storage systems, supporting both economic savings and environmental benefits.
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