[Spurred by Japan, Steady Growth Predicted for Energy Storage Market]
New Hampshire, USA -- On March 17, the Japanese Ministry of Economy, Trade and Industry (METI) announced that it would begin accepting applications for a generous subsidy that it is awarding to consumers who install lithium-ion battery storage systems along with renewable energy systems on their homes or businesses. The subsidy will spark nearly 100 MW of energy storage capacity to be installed in 2014, according to an energy analyst with IHS.
METI is subsidizing up to two-thirds of the upfront costs of 1-kWh or larger stationery lithium ion battery systems that consumers install to back up their PV capacity. The maximum subsidy is set at ¥1 Million (about US $10,000) for consumers and ¥100 Million (about US $1,000,000) for commercial organizations. In all, METI has set aside about ¥10 Billion (about US $98 million) for the program.
According to METI, the program is a direct result of its desire to help firm up the grid, which has seen an influx of renewable energy since the country shut down its nuclear fleet in reaction to the Fukishima accident in 2011. Demand-side energy storage can help reduce overvoltages on the grid that can occur in the afternoon on days of high insolation. It can also encourage consumers to manage their energy use more carefully.
Renewable Energy World Editors
New Hampshire, USA -- On March 17, the Japanese Ministry of Economy, Trade and Industry (METI) announced that it would begin accepting applications for a generous subsidy that it is awarding to consumers who install lithium-ion battery storage systems along with renewable energy systems on their homes or businesses. The subsidy will spark nearly 100 MW of energy storage capacity to be installed in 2014, according to an energy analyst with IHS.
METI is subsidizing up to two-thirds of the upfront costs of 1-kWh or larger stationery lithium ion battery systems that consumers install to back up their PV capacity. The maximum subsidy is set at ¥1 Million (about US $10,000) for consumers and ¥100 Million (about US $1,000,000) for commercial organizations. In all, METI has set aside about ¥10 Billion (about US $98 million) for the program.
According to METI, the program is a direct result of its desire to help firm up the grid, which has seen an influx of renewable energy since the country shut down its nuclear fleet in reaction to the Fukishima accident in 2011. Demand-side energy storage can help reduce overvoltages on the grid that can occur in the afternoon on days of high insolation. It can also encourage consumers to manage their energy use more carefully.
Renewable Energy World Editors