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Enel X seeks to combine customer-side energy storage projects with demand response facilities

2022-04-14

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  Enel X said a few days ago that it will participate in the deployment of a pilot battery energy storage project in Ontario, Canada. The purpose of the project is to combine user-side battery energy storage systems and demand response facilities to make grid operations more stable and reliable.

  Enel X, the digital and smart energy services arm of Italy-based multinational energy developer Enel Corporation, is working with Ontario's Independent Electric System Operator (IESO) and regulator, the Ontario Energy Commission, to deploy the pilot project.

  Enel X already operates approximately 150MW of demand response facilities in the Ontario market, as well as contracted or operational battery storage systems of over 60MW. These include a 20MW/40MWh customer-side battery energy storage system, which is being installed and deployed at one of Imperial Oil's petrochemical refineries. According to industry media reports, the battery energy storage project began construction in February this year.

  Like many consumer-side battery storage systems deployed in Ontario, the project could reduce the petrochemical refinery's use of electricity from the grid during peak periods, ultimately helping Imperial Oil significantly reduce electricity costs. Under Ontario's Adjusted Charge (GAC) program, industrial entities are charged extra for electricity that uses the grid during peak periods.

  Enel X claims that the Imperial Oil battery energy storage project will become the largest customer-side battery energy storage system in North America, which is one of the pilot energy storage assets that the company has announced to participate in the deployment.

  

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  The reason for the deployment of this pilot project is that while Ontario's customer-side battery storage installation data and demand response registrations are growing, distributed energy sources (DERs) like this one cannot pass the Ontario Independent Electric System Operator (IESO) of the market directly contributes to grid stability and energy security.

  These facilities are prohibited from joining these markets due to existing rules, as in the United States. This may be about to change, while the Federal Energy Regulatory Commission (FERC) has already established through Orders FERC841 and FERC2222 that battery energy storage systems and other distributed energy sources (DERs) can enter the wholesale market.

  Enel X will work with local Ontario businesses to aggregate 76.6MW of energy load from 14 different sites that will operate customer-side battery storage and demand-side response (DSR).

  During this two-year pilot project, the ability of aggregated distributed energy sources to significantly reduce energy loads, provide stable and reliable energy to the grid, and enhance Ontario's power system will be demonstrated.

  SES Power believes that for the development of clean energy, unreasonable or unmotivated policies will be accelerated to correct. The precise storage and balance of grid energy by new energy storage modes such as BESS, HESS, and DER will greatly reduce the loss of traditional grids. We can fully expect that there will be a large number of distributed energy storage units in the near future. These units will generally abandon the ternary lithium batteries with short life cycle and low safety, and switch to longer life and better safety performance. Lithium iron phosphate battery. Our 12V100Ah, 24V100Ah, 36V100Ah, 48V100Ah, 3KW, 5KW home energy storage systems, rack-mounted energy storage systems and other products of square aluminum-shell lithium iron phosphate batteries using EVE, CATL, and BYD are often used in these occasions.

  Surya Panditi, head of North America at Enel X, said, “Large energy users in Ontario continue to make significant commitments to reducing carbon emissions and recognize that carbon reduction is not only an opportunity to make business operations more sustainable, but also to manage energy cost opportunity. It is critical that we continue to free up the resources of these businesses to reduce demand on the grid, lower energy costs, improve sustainability, and create economic value.”

  The project is supported by the Ontario Energy Board's (OEB) Innovation Sandbox program, which allows innovators and businesses to test new ideas, products, services, business models and more.

  The program will also receive C$3.3 million ($2.65 million) in financial support from the Independent Electric System Operator of Ontario's (IESO) Grid Innovation Fund, which has been helping technological innovation since 2005, through better energy management or help reduce electricity costs in Ontario by helping the reliable operation of the grid.

  According to information posted on the website of the Independent Electric System Operator of Ontario (IESO), the fund is currently funding 15 projects, including Ameresco's carbon-free microgrid project, which provides heat, cooling and electricity to a middle school and NRStor’s first fully commercial grid-scale energy storage project in Canada, which uses battery storage as a non-cable alternative to help improve grid reliability.

  According to Lesley Gallinger, president and CEO of the Independent Electric System Operator of Ontario (IESO), electricity demand in Ontario is growing at an annual rate of about 1.7%, driven primarily by power demand from industrial facilities. The pilot project will help demonstrate how these businesses can better participate in the power industry, securing new revenue streams while contributing to Ontario's reliable, sustainable and affordable electricity system.




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