Storing Solar Energy: A great idea caught on contested ground

Adding energy storage to sites with rooftop solar power generation offers a range of potential benefits. A battery can help smooth out solar’s inherently variable supply of power to the local grid, and even keep buildings powered during blackouts. Consequently, power-conversion innovators are developing a host of new products designed to reduce the cost and improve the efficiency of integrated solar-storage systems.

Some analysts project a boom in the co-location of solar and energy storage. GTM Research, for example, foresees that co-located PV and storage will grow from $42 million in 2014 to more than $1 billion by 2018. However, the market is moving slower than it might thanks to a little-discussed regulatory roadblock in the United States.

According to Vic Shao, CEO for the Santa Clara, California-based energy storage startup Green Charge Networks, tightly integrating storage with photovoltaics in some key states—including Hawaii and California—runs afoul of the “net metering” rules by which PV owners earn lucrative retail rates for the surplus power they feed to the grid. Adding storage can disqualify solar systems for net metering, in which utilities can pay their owners wholesale power rates that are several times lower than retail. “That is obviously a pretty big problem for anybody considering solar. That could kill a lot of projects,” says Shao. Continue reading

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