In short, no. Indeed, it is unlikely that utility-scale batteries will have a meaningful impact on the price volatility in the day-ahead markets for the coming years.
Looking at the Duration/Frequency graph showing the best technology at each point, I am wondering what the graph would look like when omitting Pumped Hydro. Namely as in certain regions (e.g. The Netherlands) Pumped Hydro is not an option, or otherwise more costly, due to the absence of height differences in the natural landscape. Do you happen to know of such graph?
Another very informative article. I will look for more information on imbalance prices. I would only say that the value of energy can be very different from the price. In many cases the batteries will be able to pay for themselves easily. Hopefully the cost of battery installation will drop as precipitously as solar, but without the accompanying environmental externalities. I do have a troubling doubt growing as I read more and more about the energy markets. It is that there is a risk, a moral risk, that can come due to a first mover advantage. That the clever ones can capture for themselves the efficiencies and benefits, and that the others will be living cold and paying economic rents on their energy consumption on their much smaller lives.
Thanks for another interesting article!
Looking at the Duration/Frequency graph showing the best technology at each point, I am wondering what the graph would look like when omitting Pumped Hydro. Namely as in certain regions (e.g. The Netherlands) Pumped Hydro is not an option, or otherwise more costly, due to the absence of height differences in the natural landscape. Do you happen to know of such graph?
Another very informative article. I will look for more information on imbalance prices. I would only say that the value of energy can be very different from the price. In many cases the batteries will be able to pay for themselves easily. Hopefully the cost of battery installation will drop as precipitously as solar, but without the accompanying environmental externalities. I do have a troubling doubt growing as I read more and more about the energy markets. It is that there is a risk, a moral risk, that can come due to a first mover advantage. That the clever ones can capture for themselves the efficiencies and benefits, and that the others will be living cold and paying economic rents on their energy consumption on their much smaller lives.