The 5 S’s of Energy Storage

If you’ve seen Dodgeball, you might remember the five D’s: Dodge, Duck, Dip, Dive and... Dodge.

Energy storage deserves its own version.

Because while most people understand that batteries store electricity, that’s only a small part of what they can actually do.

As electricity becomes more dynamic with renewable generation, flexible tariffs and new energy markets, batteries are becoming active energy assets rather than simply somewhere to keep spare electricity.

So, what are the 5 S’s of Energy Storage?

Store. Shift. Save. Sell. Store...

1. Store

Let’s start with the obvious one.

A battery allows you to store electricity now and use it later.

For a home or business with solar PV, that could mean capturing surplus solar generation during the day rather than exporting it, then using it later when the sun has gone down.

Alternatively, the battery can charge from the grid when electricity is cheaper, ready for when it is needed.

But simply storing electricity is only the beginning.

2. Shift

Electricity doesn’t have the same cost or value throughout the day.

A battery gives you the ability to shift when you buy and use energy.

Instead of relying on the grid during more expensive periods, the battery can charge when electricity is cheaper and discharge when prices are higher.

Buy low. Store. Use high.

For businesses operating on time-of-use tariffs, intelligently moving electricity consumption from one period to another can make a meaningful difference to the economics of a battery.

The battery gives you more control over when you need electricity from the grid.

3. Save

Which brings us to the next S: Save.

By shifting energy consumption, batteries can help reduce electricity costs.

If you have solar, a battery can also allow you to use more of the electricity you generate yourself instead of buying it back from the grid later.

But there is an important difference between simply having a battery and optimising a battery.

A battery operating on a basic fixed schedule doesn’t necessarily know whether storing, using or exporting electricity represents the best value at any particular moment.

Intelligent optimisation changes that.

The aim is to make decisions based on the site, the battery, electricity prices and available opportunities, making every available kWh work harder.

4. Sell

And this is where energy storage gets particularly interesting.

Because batteries don’t only have to save money. They can potentially make money too.

At certain times, changing when a battery charges or discharges can have value to the wider electricity system. With the appropriate optimisation, aggregation and market access, that flexibility can be traded.

In other words, the battery becomes more than a tool for reducing your electricity bill. It becomes an energy asset.

At Joulen, the approach is to combine battery optimisation with access to energy markets, allowing assets to generate trading revenues alongside their normal bill savings.

The important point is that these uses don’t necessarily have to be considered separately.

The objective of intelligent optimisation is to decide when it makes sense to charge, when to discharge and how to get greater value from the flexibility available.

Store it. Shift it. Save with it. Sell it.

And then?

5. Store... Again

We’re back where we started. Because batteries operate as a cycle.

After electricity has been stored, shifted, used or traded, the battery is ready to charge again.

And the process starts all over. That’s the real opportunity presented by modern energy storage.

It isn’t about charging a battery once and waiting until you need the electricity.

It’s about continuously deciding when energy is most valuable and what the battery should do next.

Turning storage into an energy asset

That’s also why the way we think about batteries needs to change.

Traditionally, the question might have been:

“How much energy can this battery store?”

Increasingly, the better question is:

“How much value can this battery create?”

• Store electricity when it’s available.

• Shift electricity to when it’s more valuable.

• Save money by reducing the cost of energy.

• Sell flexibility into energy markets.

• Store again and repeat the process.

At Joulen, we help businesses make more of their energy storage by intelligently optimising when batteries charge and discharge and accessing opportunities in energy markets.

So, if you’ve already invested in a battery, or you’re considering doing so, perhaps the question isn’t simply whether the battery stacks up.

It’s whether you’re making the most of all five S’s.

Store. Shift. Save. Sell. Store...

And do it all over again.