Imperial College London

DrIainStaffell

Faculty of Natural SciencesCentre for Environmental Policy

Lecturer in Sustainable Energy Systems
 
 
 
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Contact

 

+44 (0)20 7594 9570i.staffell

 
 
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Location

 

202Weeks BuildingSouth Kensington Campus

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Summary

 

Publications

Citation

BibTex format

@article{Gardiner:2020:10.1016/j.est.2019.101140,
author = {Gardiner, D and Schmidt, O and Heptonstall, P and Gross, R and Staffell, I},
doi = {10.1016/j.est.2019.101140},
journal = {Journal of Energy Storage},
title = {Quantifying the impact of policy on the investment case for residential electricity storage in the UK},
url = {http://dx.doi.org/10.1016/j.est.2019.101140},
volume = {27},
year = {2020}
}

RIS format (EndNote, RefMan)

TY  - JOUR
AB - Electrical energy storage has a critical role in future energy systems, but deployment is constrained by high costs and barriers to ‘stacking’ multiple revenue streams. We analyse the effects of different policy measures and revenue stacking on the economics of residential electricity storage in the UK. We identify six policy interventions through industry interviews and quantify their impact using a techno-economic model of a 4kWh battery paired with a 4kW solar system. Without policy intervention, residential batteries are not currently financially viable in the UK. Policies that enable access to multiple revenue streams, rather than just maximising PV self-consumption, improve this proposition. Demand Load-Shifting and Peak Shaving respectively increase the net present value per unit of investment cost (NPV/Capex) by 30% and 9% respectively. Given projected reductions in storage costs, stacking these services brings forward the break even date for residential batteries by 9 years to 2024, and increases the effectiveness of policies that reduce upfront costs, suggesting that current policy is correctly focused on enabling revenue stacking. However, additional support is needed to accelerate deployment in the near term. Combining revenue stacking with a subsidy of £250 per kWh or zero-interest loans could make residential storage profitable by 2020.
AU - Gardiner,D
AU - Schmidt,O
AU - Heptonstall,P
AU - Gross,R
AU - Staffell,I
DO - 10.1016/j.est.2019.101140
PY - 2020///
SN - 2352-152X
TI - Quantifying the impact of policy on the investment case for residential electricity storage in the UK
T2 - Journal of Energy Storage
UR - http://dx.doi.org/10.1016/j.est.2019.101140
UR - http://hdl.handle.net/10044/1/75516
VL - 27
ER -