In battery energy storage, peak shaving is concerned with levelling out peaks in electricity use. It’s typically targeted at industrial and commercial power consumers, as opposed to the household level. Peak periods of power consumption are important to consider, as they affect the stability of the national grid and they contribute significantly to the cost of power. You might have heard the term ‘maximum peak-load,’ which refers to the electricity prices for large-scale consumers. Let’s look at peak shaving in more detail.
Peak shaving and load shifting
Peak shaving is the term given when a consumer reduces their power consumption during peak periods. They do this to help the grid during hours when it is under pressure. Most companies do this by shutting down production or by shifting to a battery system during peak hours. This frees up the grid for other uses and allows households to consume power without worrying about their systems shutting down.
Load shifting is slightly different, as it refers to a short-term reduction in electricity consumption at peak times, followed by an increase in consumption when the price of power is lower or the grid is operating off-peak. Consumers who have sophisticated energy storage systems can manipulate their power usage to their advantage, ultimately saving significant amounts of money in the long run by avoiding electricity at peak times throughout the day.
What are peak loads?
Grid operators design the grid based on the maximum amount of power that will be required during a given time frame. When large-scale industrial and commercial companies are operating at full capacity, it puts pressure on the grid and can lead to what is known as a peak load. In other words, a peak load is a maximum load on an electrical power supply system, and steps need to be taken to reduce the amount of power being consumed. This is where peak shaving comes in.
The benefits of peak shaving
The primary benefit of peak shaving is that it lowers grid usage costs for companies. Peak shaving allows certain facilities to operate just as effectively as normal without fully relying on the national grid for power. In other words, it makes them much more energy-efficient, passing on benefits to their bottom line and the environment at the same time. For any corporate entity looking to make their power consumption more sustainable, peak shaving is an ideal solution. Instead of being solely reliant on carbon-based power plants, you can switch to greener energy solutions and reduce your carbon footprint.
Peak shaving and battery energy storage
Investing in battery energy storage is one of the best ways to make the most of peak shaving for your business. In theory, you can charge your batteries when electricity rates are at their lowest (most likely during the night) and discharge the batteries to avoid paying peak prices during the height of the day. This strategy allows you to save money on your power bills without making significant changes to your daily operations.
At AceOn, we have worked on multiple battery energy storage projects across the UK and can supply commercial and industrial clients with efficient battery energy storage solutions. Get in touch with our Telford office today to discuss your battery energy storage needs with one of our experts, and we’d be glad to talk you through our solutions – 01952 293 388.
