Battery energy storage in Texas

Nathan Gonzales | Source: Fiscal Notes | Posted 11/22/2024

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Texas leads the nation in both dispatchable natural gas-powered electricity generation and intermittent renewable energy production. But one of the challenges Texas faces is how to align renewable generation with demand, as these intermittent power sources often go offline while demand peaks. 


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Texas leads in natural gas-powered electricity generation and renewable energy, but aligning renewable generation with demand remains a challenge due to intermittency. Battery energy storage systems (BESS) have emerged as a solution, providing reliability and stability to the grid by releasing stored energy when intermittent sources go offline. The total operational capacity of utility-scale batteries in Texas has skyrocketed, with projections indicating significant growth, driven by factors such as fast permitting processes, declining battery prices, and federal tax incentives.

Batteries contribute to grid stability through ancillary services and energy arbitrage, enhancing the grid's ability to meet demand and manage costs. Despite challenges such as the need for inverters and potential grid instabilities, experts see grid-forming capabilities as a key solution. While concerns about construction disruptions and safety exist, battery storage continues to play a vital role in stabilizing grid operations and reducing costs for developers and consumers, especially in scenarios like Winter Storm Heather and peak demand periods.



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Source Link: https://comptroller.texas.gov/economy/fiscal-notes/infrastructure/2024/battery-store/

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