Energy storage solutions for industrial microgrids: selection criteria

For industrial facilities, maintaining a stable and reliable power supply is not just a matter of convenience, it’s a critical operational necessity. Unplanned downtime can lead to significant financial losses, production delays, and safety risks. Industrial microgrids, which are localized grids that can operate autonomously, have emerged as a powerful solution to enhance energy resilience.

Contrary to conventional UPS solutions, microgrids offer multiple opportunities to reduce both, the electricity bill and the carbon footprint of the site. At the heart of these microgrids lies a robust energy storage system (ESS), which is essential for balancing power supply and demand, integrating renewable energy sources, and ensuring uninterrupted operations.

Industrial decision-makers face a complex challenge when selecting the most suitable energy storage solution for their microgrid. Understanding the key performance criteria, available technologies, and operational constraints is essential for making an informed decision that delivers maximum value and resilience.

Key parameters for choosing batteries in industrial microgrids

Selecting the right battery for an industrial microgrid involves a detailed analysis of several key parameters:

• Power and energy requirements: the system must be sized to meet the facility’s peak power demand and provide sufficient energy to cover the desired runtime during a grid outage. When local power generation (e.g. PV ) comes into play, the amount of surplus energy that will need time shifting needs also to be taken into account for the sizing of the battery. 
• Cycle life and durability: industrial applications require batteries that can withstand frequent and deep cycling over many years. A long cycle life is essential for ensuring a low total cost of ownership (TCO). This criteria is less critical for “backup only” systems as outages do usually not occur on a daily basis. On the contrary, for microgrids used to integrate local consumption, buffer peak loads and optimize energy purchases, the battery needs to stand daily cycling with high energy throughput, sometimes exceeding the equivalent of one full charge/discharge cycle per day. 
• Operating temperature range: the battery must be able to operate reliably in the specific environmental conditions of the facility, which may include extreme temperatures.
• Footprint and energy density: in many industrial settings, space is at a premium. A high energy density allows for a more compact system, saving valuable floor space.
• Safety and reliability: industrial-grade batteries must incorporate advanced safety features to mitigate risks such as thermal runaway. Proven reliability is non-negotiable given the vicinity of people and high-value industrial assets. 

Comparing available technologies

While several battery chemistries are available, lithium-ion has become the technology of choice for industrial microgrids due to its superior performance and declining costs.

For most industrial microgrid applications, the long-term benefits of Li-ion, including a lower TCO, greater reliability, and a smaller footprint, outweigh its higher initial cost.

Saft’s solutions for industrial microgrids

Saft’s Intensium range of containerized Li-ion energy storage systems is ideally suited for industrial microgrids. These systems offer a high energy density, long cycle life, and a modular design that allows for easy scalability. 

With advanced safety features and a robust BMS, integrated with premium grid-forming and islanding enabled power conversion systems, Intensium provides a reliable and cost-effective solution for ensuring the resilience of industrial operations. 

Since more than 15 years, reliability and performance have been proven in microgrids around the world, ranging from off-grid mines, remote military sites and communities to grid connected university campuses and datacenters.

Matching storage solutions to operational and economic conditions

Every industrial facility has unique operational conditions that must be considered when selecting an energy storage solution.

• Critical loads: identify the most critical equipment and processes that must remain operational during a power outage. This will determine the minimum required runtime and power capacity of the ESS.
• Load profile: with more fluctuations and higher peak loads, the value generation of energy storage will increase, as it avoids the related overcosts.
• Local generation or PPA’s: PV generated power can be integrated optimally, avoiding any waste and maximizing benefits from low-carbon and low-cost renewable generation. In case of on-site power generation by gen-sets, their utilization can be optimized by avoiding any spinning and operation in poor-efficiency regimes. 
• Availability of demand response mechanisms: industrial sites can be remunerated for flexibility, i.e. when reducing their power drain in periods of grid constraints. Eventually, they can reduce their grid connection cost benefitting from Flexible Grid Connection (FCA) contracts. 
• Acces to time-of-use tariffs or trading schemes: enables to purchase electricity at lowest prices and avoid any surcharges during peak hours.
• Available space: the physical footprint of the ESS must be compatible with the available space at the facility.
• Integration with existing infrastructure: the ESS must be able to integrate seamlessly with the facility’s existing electrical infrastructure and control systems.
• Regulatory and permitting requirements: Ensure that the chosen solution complies with all local safety regulations and permitting requirements.

By carefully evaluating these parameters, decision-makers can select an energy storage solution that is perfectly tailored to their facility’s needs. Saft experts and partners are available to simulate different business cases and determine a technically and economically optimized solution matching customers needs and objectives.

Conclusion

For industrial facilities, investing in a robust energy storage system is a strategic imperative for ensuring operational continuity and long-term competitiveness. By carefully evaluating the key performance criteria, comparing available technologies, and considering their unique operational constraints, decision-makers can select a solution that delivers maximum value and resilience. With its proven Li-ion technology and deep expertise in industrial applications, Saft is the ideal partner for deploying a reliable and cost-effective energy storage solution for your microgrid.