2018 Battery Storage in Developing Countries

 

4There has been significant excitement around deployment of grid-connected battery storage around the world including many developing countries. As the cost of battery storage followed the sharp drop in solar and wind, batteries hold immense possibility to transform the power systems in the developing world. This report analyses costs and benefits and finds it will require great care in assessing the specific benefits that a battery storage can provide to the power system as a whole, and developing a business model based on a sound economic analysis. The latter assumes special significance in developing countries where electricity markets are yet to be fully developed in most cases, leaving it to the centralized planning process to undertake such cost-benefit analysis.