GTM Research and the Energy Storage Association report 40.7 MW of energy storage were deployed in the second quarter of 2015, up from 3.9 MW one year ago.
- The second quarter figures were the largest deployment since Q4 2012
- Front-of-meter or “utility-scale” storage accounted for 87% of all storage deployments
- PJM is the leading utility-scale market, with 100 MW of deployments since Q1 2013 driven largely by frequency regulation benefits
- The largest contributor was the 31.5 MW Grand Ridge Energy Storage project; the project is located in Illinois and provides fast frequency regulation to PJM
- While a smaller market segment, behind-the-meter storage has gained traction in California due to public policy
- Since Q1 2013, California has installed 1.3 MW of residential and 10.8 MW of non-residential behind-the-meter storage
- In the last quarter, the majority of California projects where supported by the Self-Generation Incentive Program (SGIP)
- But, other states are joining the fray:
- Oregon mandated storage procurement for electric utilities
- Massachusetts announced a $10 million storage initiative
- Tucson Electric Power solicited vendors to build a 10 MW storage system
Energy storage capacity continues to grow largely in niche markets: ancillary services (e.g., PJM) or distributed energy storage driven by public policy (e.g., California). However, additional policy and market developments point to broader growth opportunities for energy storage.
Greentech Media: The U.S. Deployed 41MW of Storage in Q2 2015, Best Quarter in 2.5 Years
K&L Gates Hub: Oregon Enacts Energy Storage Legislation
Utility Dive: Massachusetts Launches $10 Million Energy Storage Initiative
Penn Energy: TEP Issues RFP to Build 10 MW Energy Storage Facility
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