When comparing the costs of pumped hydro storage and lithium-ion batteries for energy storage, several factors emerge:
Cost Comparison
- Pumped Hydro Storage (PHS):
- The capital cost for PHS can range from approximately $1,500 to $3,500 per kilowatt-hour (kWh) of storage capacity.
- However, some reports suggest lower costs, with total project costs between $106 and $200 per kilowatt-hour.
- PHS offers high round-trip efficiency and can store large amounts of energy, typically for 8 or more hours.
- Lithium-Ion Batteries:
- The capital cost for lithium-ion battery storage typically ranges from $400 to $1,200 per kWh of storage capacity.
- More recent estimates place lithium-ion costs between $393 and $581 per kWh.
- Lithium-ion batteries are widely used due to their quick deployment and flexibility but generally have shorter storage durations compared to PHS.
Technology and Applications
- Pumped Hydro Storage is a mature technology ideal for long-duration energy storage. It is beneficial for grid stability but requires specific geographical conditions and involves significant upfront infrastructure costs.
- Lithium-ion Batteries, though more expensive per kWh for long-term storage, provide flexibility in deployment and are widely adopted for both short-term and some long-term storage applications due to their speed of installation and versatility.
Conclusion
While pumped hydro storage offers lower costs per kilowatt-hour over long durations and is the dominant technology for large-scale energy storage, lithium-ion batteries are more versatile and widely used due to their ability to be deployed quickly in various settings. However, both technologies face different challenges and opportunities based on market dynamics and technological advancements.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-does-the-cost-of-pumped-hydro-storage-compare-to-lithium-ion-batteries-2/
