Energy Storage:

The Next Step to

Drive Renewable
Energy Penetration
to 100 Percent
Executive Summary
Battery Energy Storage Systems (BESS) are a crucial part of transitioning
from fossil fuels to renewable energy, with the primary goal of reducing
CO2 emissions. This white paper highlights how BESS solutions optimise
renewable energy integration, reduce waste, ensure a reliable power
supply, and reduce reliance on the grid. Solutions for environmentally-
friendly energy storage are already in place, such as Lithium Iron
Phosphate (LFP) batteries, which are known for their enhanced safety,
longer lifespans, and lower environmental footprint. Emerging
technologies like Natrium batteries hold promise for even greater energy
storage efficiency, sustainability, and cost-effectiveness. This multi-
pronged approach underlines the dedication to advancing clean and
responsible energy solutions.

Furthermore, the integration of BESS with Energy as a Service (EaaS)

offers consumers greater customisation, efficiency, and cost-effectiveness
when choosing an energy solution. Selecting reliable service providers like
BECIS, who can assess load consumption, design equipment, and provide
real-time monitoring and reporting, ensures optimal performance and
long-term efficiency.
 Introduction
Battery energy storage is not only a contributor to a stable energy supply; these
systems are also instrumental in lowering costs and meeting the growing demand for
sustainable energy solutions. We will explore how BESS is a critical component of
renewable energy integration, as well as a key driver of cost reduction trends and a
response to the growing global demand for clean, reliable energy.

Market Demand for BESS

120

100

80
GW

60

40

20

0
2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

BESS CAPEX
100%

90%
BESS capex (% of 2020 rates)

80%

70%

60%

50%

40%

30%
2018 2020 2022 2024 2026 2028 2030 2032

Wood Mackenzie (converted to cumulative reduction normalised to 2020) Lazard (cumulative reduction normalised to 2020)
Wood Mackenzie (converted to cumulative reduction normalised to 2020 extension) Lazard (cumulative reduction normalised to 2020 extension)
Aurora Research (cumulative reduction normalised to 2020) Bloomberg (cumulative reduction normalised to 2020)
Aurora Research (cumulative reduction normalised to 2020 extension) Bloomberg (cumulative reduction normalised to 2020 extension)
IRENA (cumulative reduction normalised to 2020) RINA (cumulative reduction normalised to 2020)
The Role of BESS in
Renewable Energy
Integration
Renewable energy sources, such as solar, wind, and hydropower, have emerged as
sustainable solutions to reduce our reliance on fossil fuels and combat the adverse
effects of climate change. However, the intermittent and variable nature of these
renewable sources presents a unique challenge: how to efficiently capture, store, and

1.
distribute this energy to ensure a constant and reliable power supply. This is where
Battery Energy Storage Systems come into play as indispensable enablers of the
clean energy transition.

1.

Balancing Energy Production & Integration

BESS plays a pivotal role in optimizing the use of renewable energy sources,
especially in the context of solar photovoltaic (PV) systems. Solar PV systems
generate electricity during daylight hours, but their energy production is intermittent
and dependent on weather conditions and time of day. Excess solar energy generated
during sunny periods often goes to waste if not used immediately.

BESS addresses this intermittency challenge by capturing surplus energy generated

when sunlight is abundant and storing it in batteries for later use. This stored energy
is then released during times of high energy demand or when solar energy production
is reduced, for example during the night or on cloudy days. This symbiotic relationship
between BESS and solar PV systems ensures a consistent and reliable energy supply,
effectively reducing reliance on the grid and lowering electricity bills. Moreover, it
maximizes the utilization of solar energy, minimizing waste and enhancing overall
energy self-sufficiency. This integration exemplifies the synergy between renewable
energy and advanced energy storage technologies, ultimately advancing the clean
energy transition.
 Charge & Discharge Times: Solar + Storage

2.

Grid Support

BESS can provide grid support by rapidly responding to fluctuations in energy

demand, enhancing grid stability, and reducing the need for standby generators,
making the grid more resilient and efficient. Batteries connected to solar systems can
also provide grid support by regulating frequency and voltage, responding quickly to
grid demand. These grid support services bolster overall grid stability.

3.

Off-Grid Support

In off-grid systems, Battery Energy Storage Systems have a vital role in increasing the
use of renewable energy while reducing reliance on backup generators. Off-grid
setups often depend on generators, which are expensive and environmentally
harmful. BESS allows for storing excess renewable energy from sources like solar and
wind, ensuring a stable power supply. By doing so, it cuts down on the need for
generators, curbing emissions and lowering operational costs, all while fostering a
more sustainable energy mix. This shift aligns with global efforts to reduce the carbon
footprint and transition to cleaner, greener energy solutions.
4.
Backup Energy
The combination of solar panels and battery storage provides energy resilience. In the
event of power outages or disruptions in the grid, a solar system with batteries can
continue to operate, enhancing system reliability and safety. This also minimises
disruptions in production and potential losses, for example from food spoilage.

5.

Increased Sustainability
Battery energy storage indirectly reduce CO2 emissions by enabling a greater use of
renewable energy sources. BESS stores excess renewable energy, preventing it from
going to waste at times of low demand and ensuring a stable supply during
intermittent periods. This reduces the need for fossil fuel backup, leading to a higher
share of clean energy in the mix and a significant decrease in CO2 emissions. BESS
supports a more environmentally friendly energy system.

6.

Economic Benefits
BESS offers substantial cost savings in regions where electricity generation heavily
depends on fossil fuels. On many islands and remote locations, electricity is
traditionally generated using costly and environmentally detrimental fossil fuels, such
as diesel.

BESS introduces a more cost-effective and sustainable alternative. By storing excess

energy during periods of renewable generation and using it during peak demand,
BESS reduces the need for continuous reliance on fossil fuel-based power generation.
This transition lowers the operational costs associated with fuel procurement,
transportation, and maintenance of generators.
Case Study
Ennovie — A Sustainable Approach to Jewelry
Manufacturing with BESS

Ennovie, a leading jewelry manufacturer, places sustainability at the core of its

operations. Recognizing the need for responsible innovation, Ennovie established the
world's first 100 percent renewable jewelry manufacturing hub in Thailand. The goal
was not just energy cost savings but a clean and sustainable solution that aligns with
the company's sustainability objectives.

In partnership with BECIS, Ennovie implemented a hybrid solar solution that included
rooftop solar panels and energy storage batteries. This approach ensures a consistent
and clean energy supply for Ennovie's manufacturing needs. One of the key benefits
of this setup is its ability to save excess energy during the day when solar production
is high and use it to reduce the load during other times. Excess electricity generated is
stored in batteries, preventing waste and ensuring a reliable power supply.

Despite facing technical challenges and regulatory considerations, the project has
been a success. Today, Ennovie fulfills a significant portion of its energy needs
through on-site renewable generation. This commitment to renewable energy has not
only contributed to sustainability but also delivered tangible business benefits,
including significant growth.

Ennovie continues to push for sustainability, introducing practices like blockchain-

based tracking of raw materials to end products for responsible sourcing. With the
support of BECIS, the company looks forward to an even greener and more
sustainable future.
Off-Grid Power
Transformation with
Solar and BESS
In Indonesia, a large-scale coconut milk production factory currently uses off-grid
electricity generated by a turbine that runs on coal, along with a generator system for
emergency power. By integrating a solar system and Battery Energy Storage System,
they can increase their electrical system’s reliability and reduce pollution levels. This
project can unlock several benefits.

1.

Technical Benefits

Enhanced Reliability:
The addition of a solar system and BESS can provide a stable
source of electricity, reducing dependence on coal turbines and
diesel generators. This means fewer power outages and improved
energy security.

Balanced Load:
The BESS can store excess energy generated by the solar system
during the day and release it during high-demand periods or when
solar production is low, effectively balancing the load and
optimizing energy supply.
2.

Cost Benefits

Operational Savings:
By reducing the consumption of coal and diesel fuel, the project
can achieve significant operational cost savings. The maintenance
and fuel costs associated with coal turbines and diesel generators
can be minimised.

Long-Term Cost Efficiency:

Solar panels and BESS have a longer operational lifespan
compared to traditional power generation equipment. This
translates into long-term cost efficiency, with reduced
replacement and maintenance expenses.

3.

Environmental Benefits

Emissions Reduction:
Introducing solar and BESS to the energy system significantly
reduces the reliance on coal, a carbon-intensive energy source.
This transition leads to a substantial decrease in CO2 emissions,
contributing to a cleaner environment and aligning with global
efforts to combat climate change.

Improved Air Quality:

The reduced reliance on coal and diesel generators leads to
improved air quality in the region, benefiting the health and well-
being of the local population.

Preservation of Local Ecosystems:

Decreased emissions and reduced environmental impact mean a
smaller ecological footprint, preserving local ecosystems and
biodiversity.
Energy as a Service
(EaaS) with BESS
The Energy as a Service (EaaS) model represents a dynamic approach to energy
provision, where end users access energy services tailored to their needs. This model
integrates seamlessly with BESS to offer customers greater control, flexibility, and
sustainability in their energy consumption.

EaaS transforms energy into a customizable service, offering consumers a range of

energy solutions. EaaS providers leverage advanced technologies to optimize energy
management, reduce waste, and enhance efficiency. Consumers can monitor real-
time energy usage, select preferred energy sources, and participate in demand
response programs.

Benefits of BESS and EaaS Contracts

Capital Barrier Mitigation:

EaaS contracts alleviate the need for upfront investment, making BESS
adoption financially viable for industries with limited capital budgets.

Risk Transfer:
The service provider assumes operational risks and maintenance
responsibilities, ensuring consistent system performance and reducing
downtime.

Predictable Costs:
Industries pay a fixed fee for the energy consumed, enabling accurate
budgeting and eliminating the volatility of fossil fuel prices.

Energy Efficiency:
BESS, coupled with EaaS, provide industries with energy-efficient
renewable generation, leading to potential cost savings and reduced
environmental impact.

Scalability:
EaaS contracts offer the flexibility to scale the system as needed to
meet changing industrial demands.
Implementation Strategy
Service Provider Selection:
1. Choosing a reputable service provider like BECIS with experience in
renewables makes the maintenance and improvement of renewable
energy systems smoother and easier.

2.
Assessment:
The service provider can analyze the load consumption and design the
equipment setup needed to optimize performance based on business
needs.

3.
Monitoring and Reporting:
Robust physical and digital tools allow real-time tracking, monitoring,
and reporting to support efficiency and performance improvements
over time.

Conclusion
Battery Energy Storage Systems are at the forefront of transitioning from fossil fuels to
renewables. They optimize integration, reduce waste, ensure reliability, and lessen grid
dependence. Existing technologies like Lithium Iron Phosphate batteries, as well as
emerging innovations, hold promise for environmentally friendly and efficient battery
use.

The combination of BESS with Energy as a Service (EaaS) empowers sustainable

industry growth. As the battery market grows, costs decrease and renewable energy
integration expands. This synergy supports the shift to clean, reliable energy solutions,
enabling progress toward global and corporate sustainability goals.

EaaS provides consumers with greater control over their transition to clean energy. By
overcoming capital barriers, transferring risks, ensuring predictable costs, and
enhancing energy efficiency, BESS and EaaS foster scalable, responsible energy
consumption. Together, they offer a pathway to a cleaner, more sustainable future
where renewables replace fossil fuels and CO2 emissions significantly decrease.