The Energyst: I&C firms with energy storage are “gambling” if banking on FFR
Industrial and commercial (I&C) businesses making investments in energy storage in the hope of making returns from frequency response are “gambling”, according to redT chief executive Scott McGregor in an interview with The Energyst magazine.
Scott McGregor spoke to the magazine while attending The Energyst Event in Birmingham, UK in April. Brendan Coyne reports:
McGregor believes successful behind-the-meter I&C energy storage will predominantly be that linked to solar.
He also said he aimed to dispel “misconceptions” about storage as the great white hope of the energy industry.
“There’s some interesting information bandied around the [storage] industry, but I would say 80% is probably rubbish,” said McGregor.
“You don’t just buy an energy storage container and make money out of it. It is all about what you put in and take out. Solar going in the top is what makes us money,” he said.
“The second aspect is power price models: In the UK, wholesale prices have been going down over last ten years and will continue to do so. What will go up is power price volatility.”
While grid services are “a nice upside” they cannot be relied upon over the medium term, said McGregor.
- Read the full article, and more of Scott McGregor’s comments, on The Energyst “Energy storage: I&C firms banking on FFR are gambling”