Delta Energy & Environment Ltd
Registered in Scotland: No SC259964
Registered Office: Floor F, 3 Lady Lawson Street, Edinburgh, EH3 9DR
UK market potential for energy storage
Energy Storage Showcase Event
Contact:
Julian Jansen, +44 131 625 1006,
Experts in Heat & Distributed Energy Energy Storage Showcase 2
Agenda
About Delta Energy & Environment
Outline of today’s presentation
Market outlook
Current market
Future market development
Characterising the current (small scale) energy storage market
Installer attitudes
End-customer economics
Conclusions
Experts in Heat & Distributed Energy Energy Storage Showcase 3
Helping clients navigate the transformation of the energy system
Delta-ee helps energy companies, network operators, policy makers and product manufacturers across
Europe navigate the transformation to a more distributed, customer centric, service-orientated energy future.
www.delta-ee.com
Delta-ee brings:
Customer insight
Technology expertise on
the customer side of the
meter
Policy & regulation
Detailed market insight
Business model
innovation
Delivering:
Market analysis &
scenarios
Demand forecasts &
profiles
Technology assessment
Strategy development &
business model analysis
Customer propositions
Selected clients:
Experts in Heat & Distributed Energy Energy Storage Showcase 4
Distributed energy storage
Experts in Heat & Distributed Energy Energy Storage Showcase 5
Agenda
About Delta Energy & Environment
Outline of today’s presentation
Market outlook
Current market
Future market development
Characterising the current (small scale) energy storage market
Installer attitudes
End-customer economics
Conclusions
Experts in Heat & Distributed Energy Energy Storage Showcase 6
Current and future market outlook for PV + battery storage in
the residential sector*
0
30,000
2015 2016 (f) 2017 (f) 2018 (f) 2019 (f) 2020 (f)
Insta
lled b
ase in u
nits
Installed base of small scale battery ESS*
*residential and small commercial systems, typically <10 kWh and commonly coupled with solar PV
So
urc
e:
Delt
a-e
e
* 2020 forecast represents central estimate based on current market conditions. Overall the market
has the potential to strongly exceed this growth scenario.
*
Experts in Heat & Distributed Energy Energy Storage Showcase 7
Characterising the current products available in the UK
BYD
BMZ
BoschBosch Bosch
Bosch
Bosch
Enphase GroWatt
LG Chem
Moixa
MoixaMoixa
Narada (SolaX)
Powervault
SamsungSMA
Leclanche / Ace On Sonnen
SonnenSonnen Sonnen Sonnen Sonnen Sonnen
Tesla
Wattstor
Wattstor
Akasol (CCL Components)
Saft
0
2
4
6
8
10
12
14
16
0.00 5.00 10.00 15.00 20.00
Po
wer
(kW
)
Nominal energy capacity (kWh)
Comparison of products currently or soon available in the UK
Source: Delta-ee
Experts in Heat & Distributed Energy Energy Storage Showcase 8
Agenda
About Delta Energy & Environment
Outline of today’s presentation
Market outlook
Current market
Future market development
Characterising the current (small scale) energy storage market
Installer attitudes
End-customer economics
Conclusions
Experts in Heat & Distributed Energy Energy Storage Showcase 9
Current level of engagement and enthusiasm for offering
energy storage products
0% 25% 50% 75% 100%
Interest in storage (MCS PV installers only)
Already offer Interested to offer Not interested to offer Don't know
0%
10%
20%
30%
40%
50%
Already offer Interested to offer Not interested tooffer
Don't know Not stated
New products installers want to offer in future
PV-T
Storage
Smart controls
Experts in Heat & Distributed Energy Energy Storage Showcase 10
Agenda
About Delta Energy & Environment
Outline of today’s presentation
Market outlook
Current market
Future market development
Characterising the current (small scale) energy storage market
Installer attitudes
End-customer economics
Conclusions
Experts in Heat & Distributed Energy Energy Storage Showcase 11
End-customer economics
-10000
-8000
-6000
-4000
-2000
0
2000
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Custo
mer
Revenue (
£)
Years
PV + Battery storage payback period*
Consumer revenue
*Basic assumptions: Battery cost (£1,333 / kWh); PV (£1,250 / kWp); PV cap. (4 kWp); Battery cap. (3 kWh); PV lifetime (25 years); Battery lifetime (10 years);
Annual household electricity demand (4,000 kWh); Autarky factor (51%); Annual electricity price increase (3%); Current UK FITs.
Experts in Heat & Distributed Energy Energy Storage Showcase 12
End-customer economics
-10000
-8000
-6000
-4000
-2000
0
2000
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Custo
mer
Revenue (
£)
Years
PV + Battery storage payback period*
Consumer revenue
*Basic assumptions: Battery cost (£1,333 / kWh); PV (£1,250 / kWp); PV cap. (4 kWp); Battery cap. (3 kWh); PV lifetime (25 years); Battery lifetime (10 years);
Annual household electricity demand (4,000 kWh); Autarky factor (51%); Annual electricity price increase (3%); Current UK FITs.
Current customer payback <17 years
(fully installed new PV + battery
storage)
Best case scenario 11 years
Mass-market appeal – 5 years
Upfront investment cost has greater
impact on customer response
Experts in Heat & Distributed Energy Energy Storage Showcase 13
Agenda
About Delta Energy & Environment
Outline of today’s presentation
Market outlook
Current market
Future market development
Characterising the current (small scale) energy storage market
Installer attitudes
End-customer economics
Conclusions
Experts in Heat & Distributed Energy Energy Storage Showcase 14
Conclusions and outlook
The lack of subsidy will not stop the residential PV + battery storage market from
growing – but growth, driven by early innovators and pilot projects, will at first remain
modest.
The winning applications will capture a number of primary and secondary values –
these will be the applications that breakthrough beyond self-consumption and define
the future market.
Growing customer awareness and education is crucial.
Correct installations and openness about what battery storage solutions can
provide, are important for gaining trust.
Upfront costs are the key barrier to the widespread adoption of storage. Nonetheless,
as battery prices decrease, PV + battery storage will become an increasingly common
solution in the UK.
Delta Energy & Environment Ltd
Registered in Scotland: No SC259964
Registered Office: Floor F, 3 Lady Lawson Street, Edinburgh, EH3 9DR
UK market potential for energy storage
Energy Storage Showcase Event
Contact:
Julian Jansen, +44 131 625 1006,
