batteries Archives | Energy News Network https://energynews.us/tag/batteries/ Covering the transition to a clean energy economy Thu, 27 Jun 2024 19:01:20 +0000 en-US hourly 1 https://energynews.us/wp-content/uploads/2023/11/cropped-favicon-large-32x32.png batteries Archives | Energy News Network https://energynews.us/tag/batteries/ 32 32 153895404 Electric vehicles a boon for Nevada’s economy, workers and environment, say groups https://energynews.us/2024/06/28/electric-vehicles-a-boon-for-nevadas-economy-workers-and-environment-say-groups/ Fri, 28 Jun 2024 09:57:00 +0000 https://energynews.us/?p=2312807 A man in a white shirt and baseball cap plugs in an electric vehicle in Las Vegas. The ground around him is a dustry red.

Nevada is leading most states in new electric vehicle and battery manufacturing investments, and advocates want to highlight their benefits.

Electric vehicles a boon for Nevada’s economy, workers and environment, say groups is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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A man in a white shirt and baseball cap plugs in an electric vehicle in Las Vegas. The ground around him is a dustry red.

Electric vehicles are gaining ground in Nevada, with new cheaper models and federal incentives enticing drivers away from gasoline-dependent transportation.

The U.S. Environmental Protection Agency is expected to soon issue updated pollution limits for new passenger cars and trucks that could slash billions of tons of planet-warming carbon dioxide pollution. 

And in Nevada, the push for widespread electric-car adoption by President Joe Biden could also be a boon for the state economy. 

EV advocates at a press conference Wednesday highlighted how electrification has created high-paying union jobs and billions in infrastructure investments.

Nevada has pulled in $15 billion in private investment in electric vehicle and battery production, creating more than 12,000 jobs, according to a recent analysis by the Environmental Defense Fund, an environmental advocacy group.

Nevada ranks fifth in the country for new investments in electric vehicle and battery manufacturing, according to the Environmental Defense Fund. The state also ranks fifth in terms of electric vehicle adoption per 1,000 vehicles, with about 45,000 registered electric cars on the road.

Investments in infrastructure for electric vehicles have been spurred by $27 billion in federal, states, and local investments nationally.

The International Brotherhood of Electrical Workers Local 1245 in Nevada has trained thousands of union workers to meet those new demands of electric vehicle infrastructure. Hunter Stern, assistant business manager of IBEW Local 1245, said large investments in charging stations in the state have already resulted in good-paying union jobs for Nevada residents.

In 2021, the Nevada Legislature passed a mandate requiring NV Energy to implement a plan to expand infrastructure for charging stations. The utility invested $100 million in an effort to build nearly two thousand electric vehicle chargers over three years.

“That’s now jobs for IBEW members,” Stern said, during the press conference at the Las Vegas Convention Center. “We hope to install more and more charging stations at facilities like the convention center. We’ve gotten charging stations in many of the casinos and hotels here in Las Vegas, and in Reno and Sparks, but we want more.”

A recent analysis by the International Council on Clean Transportation found that the growth of charging infrastructure could create more than 160,000 jobs by 2032, while about 50% of those jobs will be electrical installation, maintenance and repair jobs.

“Those numbers are going to be skewed higher here in Nevada because of the commitment the state has already made, the plans that are being made, and the work that is coming,” Stern said.

Stern said IBEW Local 1245 in Nevada has trained more than 1,000 workers in the state to work on transportation electrification and has increased the training capacity at facilities in the state to train enough workers to meet demand. 

“The state adopted an aggressive, IBEW-endorsed EV charging infrastructure plan that has already met several of its targets. We are meeting the moment,” Stern continued.

Nevada is also on track to receive $38 million from the National Electric Vehicle Infrastructure (NEVI) program, funding that will pay for even more charging stations in the state.

Clark County Commissioner William McCurdy highlighted the county’s plan to achieve net zero emissions by 2050, a goal that will require electric vehicle buy-in, said McCurdy.

“It’s our job as elected officials to address extreme heat and attain air quality standards. Nearly a third of greenhouse gas pollution comes from the transportation sector, and zero emission clean cars will protect the health of Las Vegas and help clean our air,” McCurdy said.

“We’re doing everything we can to improve our electric vehicle infrastructure,” he continued.

Electric vehicles are also becoming more affordable in Nevada, according to the International Council on Clean Transportation.

There are 37 EV models available in Nevada for less than the average new vehicle purchase price of $48,000, with 12 models available for less than $35,000, said David Kieve, president of Environmental Defense Fund Action, the political arm of the group. On average, Nevadans can save up to $27,900 on an electric vehicle compared to a gas-powered vehicle over 10 years, according to the group’s analysis.

Americans are being incentivized more than ever to purchase elective vehicles. Electric vehicle owners can receive as much as a $7,500 federal tax rebate on a new EV or $4,000 for a used one.

“If you’re not sure whether your next car, truck, or SUV should be electric, just ask one of the 45,000 people in the state who own them. Ask them whether they miss spending their hard-earned money at the gas pump, or on costly repairs,” Kieve said.

Nevada Current is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Nevada Current maintains editorial independence. Contact Editor Hugh Jackson for questions: info@nevadacurrent.com. Follow Nevada Current on Facebook and X.

Electric vehicles a boon for Nevada’s economy, workers and environment, say groups is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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Advocates see missed opportunities as Virginia lags its neighbors in clean energy manufacturing https://energynews.us/2024/05/28/advocates-see-missed-opportunities-as-virginia-lags-its-neighbors-in-clean-energy-manufacturing/ Tue, 28 May 2024 10:00:00 +0000 https://energynews.us/?p=2311752 Executives and politicians in suits dig dirt with ceremonial shovels at a groundbreaking for a BMW battery plant in South Carolina.

Georgia and the Carolinas’ “full-court press” has netted more major clean energy manufacturing announcements since the passage of the 2022 Inflation Reduction Act.

Advocates see missed opportunities as Virginia lags its neighbors in clean energy manufacturing is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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Executives and politicians in suits dig dirt with ceremonial shovels at a groundbreaking for a BMW battery plant in South Carolina.

When the nonprofit Environmental Entrepreneurs (E2) began tracking where financial incentives from the Inflation Reduction Act were spurring clean energy manufacturing growth and jobs nationwide, Zach Amittay figured Virginia would snag the top slot in the Southeast.

So he was startled that the state has consistently lagged behind South Carolina, North Carolina and Georgia since E2 began its research after the IRA became law in August 2022.

“Overall, Virginia pales in comparison to its neighbors, especially those farther South,” said Amittay, Southeast advocate for E2. “And that’s kind of an irony considering how Virginia’s framework for clean energy policies is driving demand for solar, electric vehicles, battery storage and offshore wind.”

Through April, companies have announced at least 305 major clean energy projects in 40 states and Puerto Rico, according to data E2 has gathered. Those projects are tied to 105,400-plus jobs and more than $123 billion in capital investments.

Of those 305 projects, just four — two connected to offshore wind, one to hydrogen and one to modernizing the electrical grid — have Virginia connections. 

Meanwhile, Georgia has lured 27 projects, South Carolina, 24, and North Carolina, 19. 

“North and South Carolina and Georgia are doing everything in their power to attract companies,” Amittay said. “They’re launching a full-court press by recruiting, offering state incentives and reducing tax liabilities. It shows they recognize this is the future of the economy and they want to be a part of that.”

E2, a national, nonpartisan group of investors, business leaders and professionals, launched its research project to bring more clarity to the IRA allocation process.

“For the average layperson, it’s inscrutable,” Amittay said. “We figured we could dedicate staff time to aggregating information and making it more digestible.”

Virginia has its share of success stories but needs to double down on efforts to entice more manufacturers that are part of the renewable energy supply chain, he noted. Deploying solar panels and wind turbines is only half of the clean energy equation.

“When it comes to attracting investments, the state is missing out by doing the opposite and, it seems, pushing them away.”

Christian Martinez, spokesman for Republican Gov. Glenn Youngkin, countered that take.

He pointed to the administration’s 2022 all-of-the-above Energy Plan as underscoring Virginia’s commitment to being a premier business location while also recognizing energy as a crucial productivity driver.

Without citing specifics, Martinez noted that Youngkin “looks forward to sharing details on several economic development opportunities … when they are ready.”

Rejecting EV battery plant set wrong tone

While state leaders can’t control company whims, Amittay and other clean energy advocates do directly blame Youngkin for nixing a proposal by Ford Motor Co. in late 2022 to build a plant to manufacture electric vehicle batteries on an industrial site in Pittsylvania County on the North Carolina border.

The automaker’s decision to partner with a Chinese company posed too high of a security risk, Youngkin said at the time.

“Virginians should be wary of Chinese communist intrusion into Virginia’s economy,” he said at his January 2023 State of the Commonwealth address, directing legislators to “send me a bill to prohibit dangerous foreign entities tied to the CCP from purchasing Virginia’s farmland.”

Youngkin’s concerns about China’s influence in this country could have been navigated so Virginia’s opportunity for the battery facility didn’t go up in smoke, Amittay said.

“At the time, he was trying to establish a national brand because he had bigger political ambitions,” he said about Youngkin’s presidential aspirations.

In February 2023, Ford announced that the battery plant would be built in Marshall, Michigan.

That loss not only hurt Virginia, Amittay said, but also cued companies that the state might be wary of rolling out the welcome mat to clean energy innovation.

Martinez said Youngkin’s concerns “that the Chinese Communist Party aims to dominate the world at the expense of the United States” were validated when Ford said last November it was scaling back its Michigan plans.

However, Ford explained it was curbing production capacity and employment expectations in Marshall — from 2,500 jobs 1,700 jobs — because of rising labor costs and consumers’ hesitancy to shift to electric vehicles.

IRA a magnet for hydrogen, wind, grid upgrade 

At its core, the Inflation Reduction Act is a massive package that dedicates $369 billion over 10 years to clean energy innovation via tax credits, rebates and other incentives. Many of its programs are designed to boost domestic manufacturing jobs as the country transitions away from fossil fuels.

The latter is a signal to stateside and international businesses, Amittay said, that the United States is serious about tamping down the emissions of heat-trapping gases that are causing climate change.

Thus far, the pull of the IRA’s promise has convinced four companies, Hitachi Energy, Fugro, Lyon Shipyard and Topsoe, to either expand or put down roots in Virginia, according to E2’s database.

Topsoe, a Danish company that focuses on emissions reduction technology, is the latest entrant.

In mid-April, it released plans to spend $400 million on a factory in Chesterfield County, south of Richmond, to manufacture specialized solid oxide electrolyzer cells essential for producing green hydrogen. It would employ 150.

While Topsoe has started the permitting and design process, company spokesman Gabriel Martinez said no timeline is set yet.

“The final investment decision will be dependent on market demand and regulatory developments,” he said, adding that the green hydrogen would be produced by Topsoe’s customers, not on-site in Virginia.

If built, Topsoe’s largest U.S. investment would be eligible for up to $136 million in IRA incentives, Gabriel Martinez said.

Another European company, Fugro, is in the midst of bumping up the workforce at its Americas Center of Expertise for Offshore Wind in Norfolk. The Dutch geo-data business first landed in Virginia in 2007 when it was hired to help expand nearby Portsmouth’s Craney Island Marine Terminal operated by the state Port Authority.

A few years later, Fugro began pivoting to offshore wind as possibilities for the industry took shape in coastal Virginia and beyond, said Peter Tattersfield, who directs wind business development in the Americas.

Dominion Energy is on the verge of beginning offshore construction on its 176-turbine wind farm 27 miles off the coast of Virginia Beach. At peak capacity, it will generate 2.6 gigawatts of power.

Fugro deploys specialized equipment such as buoys, sensors and robots to capture information about water currents, wind speeds, wave heights and soil types to create detailed maps of the ocean floor and the surrounding maritime environment. Scientists also study sea mammal and fish habitat.

“Wind developers need to know what they’re building their turbines on and where they should be installing cables,” Tattersfield said. “Basically, we build an earth model so they can feel confident about their projects.”

Fugro will steadily add professional jobs to keep pace with the Biden administration’s goal of achieving 30 gigawatts of offshore wind energy by 2030, he said. The company isn’t in line to receive IRA money directly. Instead, business will grow as more and more wind developers take advantage of generous IRA incentives.

“Our industry is still in its infancy, but we’re strategically positioned in Virginia,” Tattersfield said. “A wind developer is like a general contractor who has all the incentives to get the house built. If he’s successful, then all the subcontractors are pulled along toward success too.”

Relatedly, Norfolk-based Lyon Shipyard announced last fall that it would be spending $8.5 million to increase its capacity so it can provide a range of services for the commercial ships and vessels that attend to offshore wind farms. The ship repair company, active along the Elizabeth River since 1928, expects to add 134 jobs.

Meanwhile, Hitachi Energy is investing $37 million to add 26,000 square feet of production space to its power transformer building in Halifax County to support the manufacture of bigger transformers specifically designed for utility and renewable energy markets.

Transformers are a crucial piece of grid resiliency because they stabilize voltage to ensure power flows efficiently and reliably.

Steve McKinney, the head of Hitachi’s transformer business in North America, said he expects the addition to the existing 607,000 square foot plant in South Boston to be online by the end of 2025. Hitachi will hire 165 employees to its current on-site workforce of 450.

McKinney said there’s a “good possibility” Hitachi would tap into IRA incentives to offset equipment costs, but didn’t yet know a dollar figure.

The Virginia investment is just a tiny slice of the $1.5 billion Hitachi is pouring into its transformer capacity globally as demand for electricity explodes because of the growth of everything from data centers to electric vehicles.

“A lot of the grid network was built decades ago, and it’s time to upgrade,” he said. “Who would have thought five years ago we would be having this conversation about this level of investment in clean energy provided by the IRA?”

Can Virginia catch up?

“We’re still in the early innings, but this is going to be transformational for the U.S.,” Amittay said about IRA infusions. “It’s complicated because there are a lot of technical details, a lot of agencies involved and some funding programs haven’t been rolled out yet.”

Despite those hurdles nationwide, Kim Jemaine, Virginia director for Advanced Energy United, isn’t confident that Youngkin has the will or the wherewithal to catch up with other states in the Southeast.

Her organization represents businesses intent on accelerating a clean energy transition.

In her eyes, the governor has spent too much time undermining the Virginia Clean Economy Act and promoting far-off energy sources such as small modular nuclear reactors.

“By touting an all-of-the-above policy, he’s missing research and development and manufacturing opportunities in other investment spaces,” Jemaine said. “What about batteries and long-term storage? There’s a ton of untapped potential there.”

She’s also worried that some of the initial excitement about transforming the Hampton Roads region into an offshore wind hub has fizzled since Youngkin took office in 2022. That political landscape means it’s easier for existing companies to expand than for new ones to move in.

With so much ground to make up, Amittay agreed, waiting around isn’t an option.

“We all know that the best time to plant a tree is 30 years ago, but the next best time is today. It’s time for Virginia to think about how it can plant some trees.”

Advocates see missed opportunities as Virginia lags its neighbors in clean energy manufacturing is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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Massachusetts’ clean peak incentive puts battery storage project on track https://energynews.us/2023/09/11/massachusetts-clean-peak-incentive-puts-battery-storage-project-on-track/ Mon, 11 Sep 2023 10:00:00 +0000 https://energynews.us/?p=2303518 The West Springfield Generating Station.

Clean energy advocates hope a battery storage project under development at the former site of a fossil fuel power plant can be a model for phasing out fossil peaker plants.

Massachusetts’ clean peak incentive puts battery storage project on track is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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The West Springfield Generating Station.

A battery storage development is replacing a fossil-fuel-burning power plant in western Massachusetts, providing a model that supporters say could be emulated elsewhere.

The project is only financially viable, however, because of a unique state incentive program designed to cut emissions related to peak electricity demand. 

Power company Cogentrix is developing the facility at the site of the former West Springfield Generating Station, which was shut down in June 2022. The $80 million project includes 45 megawatts of storage that will be able to send electricity onto the grid for up to four hours. It is expected to come online sometime in 2025. 

“This will be really big, and set a nice precedent for transitioning from fossil fuel to storage and renewables,” said Rosemary Wessel, founder of No Fracked Gas in Mass, a program of the Berkshire Environmental Action Team.

This transition is happening at a time when there has been increased discussion about the role of so-called “peaker plants” — facilities that are only called upon at times of peak power demand. Peakers are generally older facilities that emit more greenhouse gasses than other plants, and the power they generate is more expensive. 

Utilities have said peaker plants are necessary to ensure a reliable electricity supply in emergencies and times of high demand. Wessel’s organization and other environmental groups, however, argue that storage technology, especially when paired with renewable generation, can also meet these needs. They contend no new peakers should be built, and old ones should be taken out of use as quickly as possible. 

“These are really the low-hanging fruit for starting to take existing fossil fuels off the grid,” said Wessel, whose group has been pushing power companies that own peaker plants in western Massachusetts to consider transitioning to renewable energy generation and battery storage.

The West Springfield story

The plan for the West Springfield plant came about when longtime energy developer Chris Sherman, vice president of regulatory affairs at Cogentrix, wanted to take his work in a new direction. He has a background in clean energy — he was project development manager for the ill-fated Cape Wind offshore wind plan — and was interested in returning to this work. 

His employer put him in touch with Wessel, who had reached out to the company about the future of the West Springfield Generating Station. The plant first started generating power in 1949, initially burning coal. In the 1960s it was converted to an oil-burning plant, and in the 1990s the ability to burn natural gas was added. It was officially shut down in June 2022. 

Once power plants shut down, the land is often hard to redevelop, Sherman said. However, the properties are already surrounded by the infrastructure needed to send power into the grid, so building battery storage and renewable energy installations on these sites is a promising strategy. 

Sherman and Wessel met in June 2021, and it was quickly clear that their goals aligned. The two began working together to create plans for the site, which had not yet closed officially. Their collaboration, Sherman said, has made it easier to bridge the perceived gap between the logistical, technological, and financial aspects of his work, and the environmental and social concerns of community members.

“If I were to just call people and say ‘energy developer,’ they might not be willing to enter into an objective discussion,” Sherman said. Wessel “has done an incredible job at generating interest and then facilitating communication in the broader stakeholder community.”

The plan that emerged is a pragmatic one that attempts to satisfy environmental goals while also dealing with the financial realities of the energy market. The initial plan calls for charging batteries during times when demand and emissions are lower, and then discharging at times of higher demand. Cogentrix hopes to eventually install solar panels to make the energy it stores even cleaner and lower cost. 

The project is now in the early permitting stages, with the goal of beginning site work over the coming winter and installing battery containers in the spring. 

West Springfield leaders have expressed support for the project and the chance to put the property, formerly the largest taxpayer in the city, back on the tax rolls, noting that revenue took a hit when the plant closed last year. They are also pleased to see emissions-free batteries and solar panels take the place of the pollution the former plant created. 

“I look forward to the potential redevelopment of this site,” said West Springfield Mayor William Reichelt. “Though we are in the early stages of what’s possible, overall any improvement to the site will certainly benefit the community and the region.”

Proving the potential

Because the plan for the site represents a new sort of energy development, existing revenue models don’t necessarily apply. Sherman had to work hard to convince investors that the novel approach will turn a profit. There is enough room on the site to develop about 100 megawatts of storage, but his investors are only willing to back 45 megawatts until they see convincing results, he said. 

A small amount of revenue will be made by charging batteries during times, such as overnight, when prices are lower, then selling the power back onto the grid and higher-demand, higher-priced times. Another block of money will come from participation in the regional capacity market, in which power sources are paid for committing to be available to provide electricity at some future point. 

Additionally, almost half of the project’s revenue is expected to come from the Massachusetts Clean Peak Standard, an incentive system unique to the state. The standard, which took effect in 2020, offers incentives to clean energy generators and battery storage owners that discharge power into the grid at times of peak demand, helping to lower the demand on power plants. 

“But for that standard, our project would not be viable,” Sherman said. 

Wessel and Sherman both express hope that this project might be the beginning of a trend toward locating storage and power plant sites. Cogentrix is looking at potential projects on sites in Maine, Maryland, and New Jersey. In these cases, the power plants have not yet been retired, though Sherman said the plans should still reduce emissions.

For the concept of replacing peakers with batteries to really catch on, states will need policies that add incentives such as Massachusetts’ Clean Peak Standard that can dispatch stored power at peak demand times, Sherman said. State-backed policies, he said, will help convince backers that such projects are financially feasible. 

“What I need to demonstrate to investors,” he said, “is that we can have predictable, durable, long-term revenue streams.”

Massachusetts’ clean peak incentive puts battery storage project on track is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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Xcel Energy pulls funding for Minneapolis resilience hub projects https://energynews.us/2023/06/14/xcel-energy-pulls-funding-for-minneapolis-resilience-hub-projects/ Wed, 14 Jun 2023 13:02:57 +0000 https://energynews.us/?p=2301390 Sabathani Community Center in South Minneapolis.

The utility had previously committed to spending $9 million for batteries as part of three solar-powered microgrids designed to serve as emergency response hubs in environmental justice neighborhoods.

Xcel Energy pulls funding for Minneapolis resilience hub projects is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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Sabathani Community Center in South Minneapolis.

Minneapolis “green zone” community leaders are contemplating their options after utility Xcel Energy this week unexpectedly revoked funding for a resilience-focused microgrid project.

The city has identified the neighborhoods as high priorities for green investment due to their demographics and histories of environmental injustice.

The Resilient Minneapolis Project aims to install solar-powered microgrids on two community centers and a job training center. The locations would serve as hubs in the event of climate or other emergencies, offering food, electricity, information, and medical care for neighbors and first responders.

“There are substantial benefits to these communities and the grid,” said Jamez Staples, a North Minneapolis clean energy entrepreneur and the visionary behind the Regional Apprenticeship Training Center, one of the planned resilience hub sites. The others are the American Indian Center and Sabathani Community Center in south Minneapolis.

Jamez Staples speaking at a podium.
Minneapolis solar entrepreneur Jamez Staples. Credit: Courtesy

Xcel Energy had committed to using $9 million in ratepayer funds to install and operate batteries at each site before abruptly pulling that funding this week, putting the entire project on hold until the city and community leaders can assess next steps and possible replacement funding.

“We have been informed of Xcel’s decision to discontinue the Resilient Minneapolis Project and are disappointed. These projects were negotiated with the City of Minneapolis and approved by the state Public Utilities Commission and hundreds of hours of collaboration and evaluation have gone into making the projects a reality,” a city spokesperson said in a written statement.

The city is in the process of adopting a new Climate Equity Plan, updating its decade-old climate plan with a new focus on equity. The resilience hub concept is a key piece of that plan, and the city said in its statement that it would continue communicating with Xcel Energy to determine if the project could be revived.

Xcel Energy cited inflation as the reason it was walking away from the project. In a statement, the utility said project costs had increased more than 70% and that supply chain issues “challenged the project timeline.”

“We remain deeply invested in working with our partners and intend to continue discussions on potential future collaborations, including community resiliency projects, as we continue our commitment to connect with and support our communities,” the company said.

The announcement comes a week after the Minnesota Public Utilities Commission approved a rate increase for the company that was less than half of what it originally sought. In the wake of that decision, the company said it would need to reevaluate its planned investments in clean energy.

Research by Bloomberg NEF showed lithium-ion battery pack prices increased 7% from 2021 to 2022 and would likely increase slightly again this year. Lithium prices have significantly escalated as demand grows from various markets for automobile manufacturers, battery and battery storage companies.

Staples and his partner, Michael Krause of Kandiyo Consulting, have contacted the city, Sabathani and the American Indian Center about options for continuing the project. Construction crews are already replacing Sabathani’s roof this summer, a project in part driven by the opportunity to install solar panels as part of the Resilient Minneapolis Project.

With money available from the Inflation Reduction Act, the state and other sources, Staples hopes the Resilient Minneapolis Project can continue even without Xcel.

Xcel Energy pulls funding for Minneapolis resilience hub projects is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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St. Paul battery startup sees promise in helping businesses manage power https://energynews.us/2023/05/19/st-paul-battery-startup-sees-promise-in-helping-businesses-manage-power/ Fri, 19 May 2023 09:59:00 +0000 https://energynews.us/?p=2300590 Zahra and Adam Iliff.

Vessyll, founded in 2020, was recently selected to participate in a regional clean energy accelerator program and is deploying its first system this month as part of a pilot project on a northern California microgrid.

St. Paul battery startup sees promise in helping businesses manage power is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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Zahra and Adam Iliff.

A St. Paul, Minnesota, startup company is developing an energy storage system to help businesses lower their utility bills and keep the lights on during power outages.

Vessyll was founded in 2020 by Adam and Zahra Iliff, who moved to the Twin Cities after deciding they wanted to raise their family in the Midwest. The company was recently selected to participate in a regional clean energy accelerator program and is deploying its first system this month as part of a pilot project on a northern California microgrid.

The U.S. energy storage sector is an estimated $7.5 billion annual market with several big-name players such as Tesla, Toshiba and Siemens already holding a stake. Most of the activity has been around large battery systems designed to help utilities manage the electric grid as they also install more variable wind and solar generation.

Where Vessyll sees an opportunity is in the middle tier — bigger than Tesla’s residential Powerwall but smaller than utility-scale systems — in a niche that includes commercial and industrial customers, as well as some larger residential uses.

“Vessyll is ahead of the curve [for a sector] that will grow exponentially, and they have an absolute chance to be a player in it,” said Nina Axelson, president of Grid Catalyst, the Twin Cities-based startup incubator that selected Vessyll this spring as part of its first cohort.

Adam previously worked as a senior project manager in Tesla’s battery division, where he became a student of the technology. His experience there led him and Zahra to try to design an easy-to-use battery system that wouldn’t require much work by contractors to install or set up.

The result is the Vessyll, which holds up to 46.5 kilowatt-hours of power, more than three times the storage of Tesla’s Powerwall. Tesla discontinued its mid-sized Powerpack product last year and now focuses on smaller residential systems and larger utility systems.

“Vessyll is a plug-and-play device that holds more power than other batteries” that target the commercial and residential markets, he said. “We’ve also developed what we call our ‘secret sauce,’ which is the energy management system built into the battery.”

Initially, Adam and Zahra had no preference for the type of battery technology. However, after speaking with scientists and other experts, they chose lithium iron phosphate technology because it uses a water electrolyte that is less prone to fire risk than the chemical electrolyte found in lithium-ion, Zahra said.

The couple also liked that the technology has been around for years and costs less than lithium-ion batteries because it requires significantly less nickel and cobalt. One downside is that it is less energy dense and requires more physical space than lithium-ion technology. 

Adam hopes Vessyll could someday tap Minnesota’s iron ore industry for materials, which he said operates in a much better regulatory environment than other countries. “We’re trying to stay away from child labor and African mining,” he said.

The Vessyll’s controls, he said, offer greater sophistication than other energy storage devices. He said the power output is three to four times faster than competitors, and the software can more precisely transfer stored energy to match building loads.

The first Vessyll pilot begins this month at the Colusa Indian Community in northern California. The tribe has a casino, resort and residences powered partly by large solar arrays functioning within a microgrid. Vessyll will provide uninterruptible power during outages, offering the tribe enough time to start diesel generators capable of providing backup electricity for hours, Adam said.

Bruce Geveden, owner of California-based Geveden Industrial Inc., will install a Vessyll on the tribe’s land. Geveden has known Adam since his years at Tesla and he likes Vessyll’s technology and size. Energy storage has become more popular as California’s utilities have moved to use time-of-use pricing.

“Batteries have become important over the past couple of years to reduce demand charges,” Geveden said.

Adam said Vessyll will ship five units in the third quarter of this year and 15 devices in the first quarter of 2024. Clients pay upfront for batteries before they receive the delivery.

Vessyll builds the systems at the University Enterprise Labs near the University of Minnesota. The long-term dream is to create a factory that would employ 1,500 people and produce a gigawatt of storage annually. For now, Adam has not given up his day job working for a San Francisco solar company, nor has Zahra.

In the short term, Adam said that if he can move to a manufacturing facility, the lead time needed to produce a Vessyll will go from 26 weeks to six to eight weeks. A dedicated manufacturing space with materials on hand “would be fantastic,” he said.

Aaron Hanson, energy program specialist at the University of Minnesota’s Institute on the Environment, said for commercial and residential customers batteries could become more valuable than just backup power as utilities move toward time-of-use pricing. Customers with energy storage will have an easier time shifting electricity use to hours when rates are lower, potentially shaving their utility bills.

Hanson added that battery storage needs more diversity of materials in technological applications. 

“We need more than one approach in battery storage technology,” he said. “It will be interesting to see how this technology performs.”

St. Paul battery startup sees promise in helping businesses manage power is an article from Energy News Network, a nonprofit news service covering the clean energy transition. If you would like to support us please make a donation.

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