Energy storage is a game changer. In a recent blog, I noted how the falling costs for batteries, along with the spread of solar power, has the potential to significantly expand the ability of energy storage and distributed energy resources to participate in the nation’s electricity system. GTM Research expects the U.S. energy storage market to grow to roughly 2.6 GW in 2022, almost 12 times the size of the 2016 market. Seventy-one megawatts of energy storage were deployed in the first quarter of 2017, growing 276 percent over Q1 2016.

The consulting firm McKinsey & Company recently released a report noting that energy storage prices are falling faster than anyone expected, with battery costs down to less than $230/kWh in 2016 from almost $1,000/kWh in 2010. The falling costs for batteries, coupled with the spread of solar power, presents a growing threat of disruption for utility business models.

In May 2017, the U.S. Energy Information Administration, or EIA, released a daily energy brief noting U.S. nuclear capacity and generation is expected to decline as existing generators retire. Five nuclear plants, with a combined capacity of 5,000 megawatts, or MW, have retired in the past four years, primarily due to competition from low-cost natural gas, unfavorable market policies, and/or local opposition. The Three Mile Island generating station in Pennsylvania is the latest nuclear power plant to announce retirement plans. In addition to these recent retirements, six other plants are scheduled to retire in the next nine years.

The transformation of the electric grid in the United States is proceeding at a rapid pace. Several factors, including the proliferation of distributed energy resources, or DERs, utility-scale renewable generation, energy storage, advanced metering infrastructure, and other technologies, are changing the way electric power is now generated, transmitted and distributed.

CSG South

This SLC Regional Resource examines initiatives in Southern states to increase the number of qualified teachers in STEM subjects: science, technology, engineering and mathematics.