After the introduction of LiFePO4 batteries and the continuous improvement in battery technology where the density is reduced, and the life cycle is improved, and most of the world is working on these technologies has revolutionized the renewable industry.
The Renewable industry is mainly dependent on Grid feed systems where the solar is fed through the grid, which is not reliable at all as this energy is dependent on the availability of sun, which might be available at times or not. Generation companies come under stress as this power is not available continuously, and they need to regulate their generation from time to time which creates a lot of stress on the power plants and financial stress on the generation companies.
After the storage solution availability, this stress can be reduced as the big plants installed by the solar installation companies can provide stable power to the grid, whereas the Generation company can plan their power generation accordingly and is willing to give more money compared to simple grid feed solutions.
The cost of generation of power through solar will be cheap, and this can compete with the power distribution companies. Since the storage system can be installed locally and the power losses for distribution and maintenance are not a challenge, we can imagine the future scenario that people don’t need power from the Discoms.
In the future, people will be installing renewable energy systems with storage solutions like Su-vastika India-based power storage solution provider has shown. They will be sharing the power with each other through blockchain systems and will not be dependent on distribution companies.
This way, the wires coming from 100 km or more for power distribution and maintenance of those systems and losses incurred will be a problem of the past.
As the cost of the LiFePO4 batteries goes down along with density and cycle life is increased, the power generation through fossil fuels will not be able to compete with the cost of power generated through the renewable storage system.