Thermal Energy Storage Cost Comparison
Thermal energy storage (TES) is one of the most cost-effective long-duration energy storage (LDES) options. Here’s a comparison of its costs with other LDES technologies:
Global Average Capex Costs:
- Thermal Energy Storage: $232/kWh.
- Compressed Air Energy Storage: $293/kWh.
- Flow Batteries: Higher than compressed air; specific costs not detailed, but LDES systems are 66% higher than thermal in non-China markets.
- Gravity Storage: The highest at $643/kWh.
- Lithium-Ion Batteries (for 4-hour systems): $304/kWh.
Key Points:
- Economies of Scale: China has significantly lower costs for thermal and compressed air storage due to larger project sizes and supportive policies. In other markets, these technologies are more expensive, but still competitive with lithium-ion for longer durations.
- Cost Trends: The costs of lithium-ion batteries are expected to decrease faster than LDES technologies due to economies of scale in the electric vehicle and grid-scale battery markets.
- Efficiency and Duration: LDES solutions like thermal and compressed air can efficiently store energy for longer durations, typically beyond six hours, making them more cost-effective for such applications compared to lithium-ion batteries.
Conclusion
Thermal energy storage is currently the most economical option among LDES technologies globally, especially for applications requiring storage beyond six hours. However, lithium-ion batteries remain dominant in shorter duration applications due to their economies of scale and rapid cost reductions.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-does-the-cost-of-thermal-energy-storage-compare-to-other-long-duration-energy-storage-technologies/
