Introduction

Many companies nowadays produce more electricity than they consume during peak hours. Instead of creating extra value, this surplus is often supplied to the grid at low electricity prices. Sometimes even at negative prices, making it more profitable to stop production.

Fortunately, excess energy does not have to be wasted. With battery energy storage (BESS) and a good energy management system (EMS), companies can store electricity when supply exceeds demand and use or sell it when it yields the most value.

Why energy surplus becomes a financial problem

Investing in solar panels or wind turbines is an effective way for many companies to reduce energy costs and operate more sustainably. However, due to the strong growth of renewable energy in the Netherlands and the rest of Europe, an electricity surplus is increasingly occurring during sunny and windy hours, while shortages can arise in the morning and evening.

When many solar and wind installations produce electricity simultaneously, the electricity grid becomes saturated more and more frequently. This leads to falling electricity prices and, in some cases, even to negative power prices. Instead of income from feed-in, companies then receive a very low compensation or even have to pay to feed electricity back into the grid.

For many companies, the problem now is how to use that electricity as cleverly as possible. Maximizing self-consumption and storing excess energy yields significantly more value than feeding it directly back into the grid.

The smartest way to utilize excess energy

BESS in combination with an intelligent EMS turns energy surplus from a cost item into a valuable asset.

Instead of feeding excess electricity directly back into the grid, the EMS automatically determines the best moment to store, use, or sell energy. In doing so, it continuously takes into account current energy production, energy consumption, and electricity prices.

Peak Shaving

Many business energy contracts are partly based on the highest power consumption capacity. By using stored energy from the battery during these peak moments, less power is drawn from the electricity grid. This reduces network costs without affecting daily business operations.

Energy trading

Instead of selling electricity directly when the market price is low, stored energy can be used when prices are more favorable. Thanks to an EMS, this can happen fully automatically based on dynamic electricity prices, ensuring that every generated kilowatt-hour yields more value.

Demand Shifting

Not all electrical processes need to take place immediately. Consider the charging of electric vehicles, cooling systems, heating systems, or other flexible business processes. An EMS can automatically shift these processes to times when abundant solar or wind energy is available. As a result, self-consumption increases and dependence on the electricity grid decreases.

Real world example

A dairy farm has a solar panel installation (800 Wp/panel) that produces approximately 320,000 kWh annually.

The farm has a relatively constant electricity demand of about 50 kW, caused by milk cooling, heating systems, milking machines, pumps, and ventilation. Daily electricity consumption averages approximately 960 kWh.

Without BESS

In the morning, the production from the solar panels largely corresponds to the company's electricity consumption. However, as the sun rises higher, energy production increases further, creating a significant energy surplus.

This excess electricity is fed back into the grid at times when electricity prices are typically low due to the large supply of solar power.

When the sun sets, production drops to zero while energy demand remains largely constant. It is during these evening hours that electricity prices are often higher, when the company is forced to purchase electricity from the grid again.

The solution

To improve the efficiency of the solar installation, a 500 kWh battery storage system was installed.

The battery stores the energy surplus generated during the day and supplies this energy back to the company during the evening and night. With an average output of approximately 50 kW, the battery can supply energy for about ten hours after sunset.

The system is controlled by an EMS that continuously analyses solar production, energy consumption, and electricity prices. Additionally, a portion of the battery capacity can be deployed on the imbalance market and FCR market. This allows for the generation of additional revenue without disrupting normal business operations.

The result

Practical results demonstrate that battery storage offers significant added value. With the current 500 kWh battery, a large portion of the energy surplus can already be stored and utilized later in the day. At the same time, the installation offers opportunities to further optimize battery capacity and its deployment in the future.

As a result, dependence on the electricity grid decreases further, fewer kilowatt-hours are fed back at low prices, and the overall efficiency of the solar installation increases.

Is battery storage interesting for your company?

Every company has a unique energy profile. The optimal battery capacity depends on various factors, such as annual electricity consumption, the size of the solar or wind installation, the load profile, energy tariffs, the available grid connection, and future expansion plans.

A professional business case analysis provides insight into which battery capacity best suits your situation, what annual savings are possible, what the expected payback period is, and what additional revenues can be realized through energy markets.

Would you like to know which solution best fits your organization? Contact our specialists or get started by directly by using our online calculator to calculate your business case.