These days, instead of hearing a local dairy farmer hollering “Bessie,” you’re more likely to hear one of Nebraska’s public power utilities refer to “BESS” when discussing reliability. Rather than a seasoned Holstein cow, however, they are talking about a Battery Energy Storage System (BESS). This is one of the recent technologies Nebraska’s public power utilities consider for efficiently meeting the ever-growing electricity demand in our state.
The Nebraska Power Association forecasts that our state’s average annual peak demand for electricity will continue to compound by 1.5% each year through 2042. This will be driven by both, new businesses drawn to our affordable, reliable power, and existing businesses expanding due to Nebraska’s favorable economic conditions. New loads will include ag and food processing, ethanol and ammonia production, data centers, irrigation conversions and other manufacturing to name a few. A number of electric utilities are adding new energy resources and some are considering the efficiencies a BESS could provide.
In simple terms, a BESS is a BIG rechargeable battery. Though they may use different technologies such as sodium-sulfur and nickel-cadmium, the most common is lithium-ion. Storage systems are typically housed in engineered shipping containers, outdoor-rated cabinets, or purpose-built buildings placed on top of ground mounting structures using large cranes. They can be placed directly inside city centers or manufacturing areas, which reduces transmission costs and line losses without adding to urban air pollution.
Without energy storage, electricity must be produced at the exact same time it is used. When demand for electricity spikes, most traditional generation resources require considerable time to bring online. The U.S. Energy Information Administration estimates only 25% of U.S. power plants can go from being fully shut down to fully operational in less than one hour. However, BESSs can supply their stored electricity in a matter of seconds. Having excess energy readily available can reduce or eliminate brownouts and blackouts during times of peak demand or extreme weather events.
BESSs are also ideally paired with renewable generation resources like wind and solar.
These resources are often not able to operate when power is needed most. Other times, they are available for output, but the immediate demand for electricity doesn’t exist. BESSs capture generation when it’s available, storing it and discharging it into the grid when and where it’s needed.
Finally, BESSs help utilities manage the impact of price fluctuations for electricity in the wholesale market. During critical peak periods, the cost for electricity can increase more than one hundred-fold. BESSs allow utilities to provide energy during those brief periods and avoid purchasing energy at those extreme levels.
Your local utility wants to keep their costs low so that your own costs are as affordable as possible. By efficiently using their generation resources, utilities ensure you are able to purchase low-cost, sustainable electricity for years to come. EnergyWiseSM incentives are available to reduce the cost of many efficiency improvements.