The cost of flow batteries scales favorably with size due to their design characteristics. Unlike lithium-ion batteries, which become more expensive as they increase in capacity because they require more costly materials like cathode materials, flow batteries benefit from economies of scale. This is primarily because:
- Scalability: Flow batteries can be scaled up simply by increasing the size of their electrolyte storage tanks. The cost of the electrolyte itself is relatively low compared to other battery components, which means that as the capacity of the battery increases, the per-unit cost of electricity decreases.
- Fixed Costs: Components such as membranes and electrodes remain relatively fixed in cost, regardless of the battery’s size. This fixed cost structure contributes to lower per-kWh costs as the battery capacity grows.
- Long-Duration Storage: Flow batteries are particularly cost-effective for applications requiring long-duration energy storage, typically over four hours. They offer better stability and longer lifetimes compared to other battery types, which can reduce overall system costs over time.
In summary, the cost scaling of flow batteries is advantageous as their size increases, making them competitive in large-scale energy storage applications, especially with advancements in technology and manufacturing.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-does-the-cost-of-flow-batteries-scale-with-their-size/
