Demand for battery storage for small-scale solar power systems in Germany will experience massive growth over the next four years, from 6,000 units last year to an estimated 100,000 units in 2018.
“A battery is the next logical investment for people who are owners of solar power installations and whose systems are coming to the end of their 20 year contract lifetime,” said Tobias Rothacher, Senior Manager Renewable Energies at Germany Trade & Invest (GTAI), in reference to feed in tariff contracts.
“Most of these systems will still produce electricity even after their 20 year feed-in tariff period. The system owner can then decide if he wants to waste this electricity or if he wants to use his low-price electricity rather for himself by installing a battery system. We believe most people will decide for the latter:”
Germany is home to 1.4 million solar installations, with more than 1 million of those on private buildings. Just as it led the way with feed in tariffs, it appears the nation will also lead on home energy storage. Many solar installers in the country are already offering energy storage solutions.
Uptake will be helped along by subsidies that kicked in on May 1 last year. The purchase of new battery storage for solar panel systems is currently subsidised at around 30% of current battery costs.
No doubt the rise of storage will see more homes and businesses dumping the grid altogether. Even before the storage revolution has really begun, generation from small scale solar power systems is already putting the pinch on fossil fuel based generators in Germany – a sign of what some say will become a widespread ‘death spiral’ for utilities around the world.
However, not everyone is convinced utilities face such a fate; including Warren Buffet. Another, former U.S. Energy Secretary Steven Chu, says it can be avoided if utilities stop resisting solar and start embracing the opportunities offered by working with small scale producers instead of fighting them with strong-arm tactics and what he termed “bullshit” arguments.
Closer to home, a recent report states regional towns and new housing estates in Australia have the potential to dump mains grid electricity supply quite soon; but it can be done in an orderly fashion so as to minimize impact on utilities.
