On Wednesday, February 21st Nothwest Metro Climate Action welcomed Brent Bergland, Gen. Manager for Energy Storage at Mortenson Construction to discuss the future of large capacity battery storage for renewable energy. Brett talked to the audience about the wide range of energy problems that battery storage solves, market challenges and the future of battery storage.
Mortenson plays a big role in the market, and while they are not the largest company they are certainly one of the most innovative and passionate. Their work in engineering, construction and integration of energy storage systems interconnected to local energy grids and behind-the-meter commercial applications is nationally recognized. Currently, lithium ion batteries dominate the large capacity market and is where Mortenson mostly focuses.
At a high level, battery storage benefits consumers, corporations, developers and utilities. They make the grid more efficient, reliable and resilient as well as lower costs.
Battery Storage benefits fall into two main categories for the consumer and utilities: avoid costs and generate additional revenue.
One of the great benefits of battery storage is that they can mitigate and eliminate the demand charges for peak need. In the evening as family members return to their houses and begin to use high amounts of energy, the solar energy stored from the daytime or wind during the night can be utilized.
Battery storage can also enhance operational performance. If there are issues with the grid or main stream energy disruptions, batteries can step in and help save potentially lost business and/or productivity.
Generation facilities can also improve real time performance with battery storage. If for example, a storm rolls over a facility during the day, battery stored energy can kick in and help. It can also provide power quality services for the grid as well as pair up with other forms of generation to make the grid more flexible.
This all sounds pretty great, right? So why are we not seeing more of it? The main reason is that energy policy and rules are antiquated, especially in Minnesota. This makes it difficult for companies and utilities to invest more. One reason for this is that the fast changing technology and demand make getting up to date information into the rule makers hands difficult. But even before the information must come the thirst for it. Legislatures must be open-minded and want to understand this new technology and the great benefit it has to their constituents and the state.
Another reason is that the use of battery storage for companies and developments takes a lot of data that is currently not being consistently captured and analyzed. Mortenson relies heavily on data gathering companies, one being MN based OATI, to help gather energy data for their projects.
Even though all market outlook projections look good, it is only fair to note the few downsides of battery storage. Lithium batteries main component is cobalt, which is mined in Congo. The instability of this country can cause large swings in pricing. There are also environmental and human rights concerns with this mining as well.
The market has also not totally figured out how to recycle batteries in a safe and environmentally friendly way. That being said, companies are popping up with innovative ways to reuse the batteries and as the market continues to expand, the expectation is so will supporting markets such as these.
Brett did a great job of making this very complicated subject consumable. One of Brett’s focuses with Mortenson is on battery storage education for the general public, governing bodies and legislatures. As the market of battery storage continues to grow all the while creating jobs and dropping energy prices, you can bet Minnesota’s own Mortenson will remain on the front lines.
