Market barriers include forecasting issues, market power mitigation and capacity accreditation rules, and interconnection challenges, among others
BOULDER, Colo., August 05, 2021--(BUSINESS WIRE)--A new report from Guidehouse Insights provides global forecasts for annual deployments of new utility-scale renewables plus storage projects in terms of power capacity (megawatts) and energy capacity (megawatt-hours) by region and technology through 2030.
Intermittent renewable energy generation technologies such as solar PV and wind have surged to capture a record share of global electricity generation. Physically pairing individual storage with renewable facilities provides several benefits, including capital cost savings, utilization of the federal investment tax credit (when paired with solar), and the ability to share interconnection and transmission capacity. According to a new report from Guidehouse Insights, the North American market is projected to remain the largest market globally for renewables plus storage through 2024, with new projects most notably in solar plus storage.
"As renewable energy continues to be deployed at a record-breaking pace and battery system costs continue to fall, stakeholders are increasingly becoming interested in deploying renewables plus storage hybrid projects," says Ricardo Rodriguez, research analyst with Guidehouse Insights. "To fully establish storage plus in the energy resource market as a clean, cost-competitive solution for capacity, flexibility, reliability, and other ancillary services, utilities must demonstrate leadership in building the business case for storage plus."
However, storage plus resources pose new technical challenges that must be addressed to enhance participation in energy, ancillary, and capacity markets while clarifying the associated market efficiency and reliability implications. Market barriers include challenges in the areas of forecasting, market mitigation, scheduling software, capacity accreditation, offer parameters, interconnection, and resource planning.
The report, Renewables plus Storage Hybrid Power Plants, provides global forecasts for annual deployments of new utility-scale renewables plus storage projects in terms of power capacity (megawatts) and energy capacity (megawatt-hours). These forecasts are segmented by region and technology. Additional insight is provided through the technology pricing forecasts that are included in this report. All forecasts cover a 10-year period from 2021 to 2030. Forecasts provided in this report have been revised from 2020 projections to account for new projects in the regional pipeline and expected disruptions from the coronavirus pandemic. An executive summary of the report is available for free download on the Guidehouse Insights website.
About Guidehouse Insights
Guidehouse Insights, the dedicated market intelligence arm of Guidehouse, provides research, data, and benchmarking services for today’s rapidly changing and highly regulated industries. Our insights are built on in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research, and demand assessment, paired with a deep examination of technology trends, to provide a comprehensive view of emerging resilient infrastructure systems. Additional information about Guidehouse Insights can be found at www.guidehouseinsights.com.
Guidehouse is a leading global provider of consulting services to the public and commercial markets with broad capabilities in management, technology, and risk consulting. We help clients address their toughest challenges and navigate significant regulatory pressures with a focus on transformational change, business resiliency, and technology-driven innovation. Across a range of advisory, consulting, outsourcing, and digital services, we create scalable, innovative solutions that prepare our clients for future growth and success. The company has more than 10,000 professionals in over 50 locations globally. Guidehouse is a Veritas Capital portfolio company, led by seasoned professionals with proven and diverse expertise in traditional and emerging technologies, markets, and agenda-setting issues driving national and global economies. For more information, please visit: www.guidehouse.com.
* The information contained in this press release concerning the report, Renewables plus Storage Hybrid Power Plants, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.
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