Distributed Energy Storage Procurement

4 FAQs about [Distributed Energy Storage Procurement]

What are energy storage procurement contracts?

Energy storage procurement contracts must also take into account the ever-evolving suite of laws and regulations applicable to energy storage projects, including as a result of the recent change in administration in the United States.

What are energy storage contracts?

These contracts allocate the risks of project development, construction, and performance between the parties and include the price that will be paid by the utility for the resource or the energy storage services that are to be provided.

How does an EPC contract work for energy storage projects?

When developing an energy storage project, a project owner can engage an EPC contractor to provide a fully-wrapped EPC agreement that will encompass the procurement, installation, and commissioning of batteries. In many cases, however, owners will contract directly with battery suppliers for battery supply and commissioning.

Do energy storage resources affect traditional generation projects?

Energy storage resources may be subject to operational constraints that do not affect traditional generation projects. For example, certain battery technologies will degrade more quickly if the state of charge is not actively managed within a certain range.

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