What is BESS? What factors should we consider when purchasing ...

08 Sep.,2025

 

What is BESS? What factors should we consider when purchasing ...

Battery energy storage systems (BESS) play an extremely important role in energy management, storing excess electricity and maintaining a stable supply of power. The global battery energy storage system market is booming and is expected to reach approximately US$9.2 billion by . Facing the booming battery energy storage system market, MK continues to provide advanced energy solutions to meet various new needs in the industry.

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What is BESS?

BESS is an energy storage system that captures, accumulates energy from different energy sources and stores it in rechargeable batteries for future use. If electricity is needed, electrochemical energy is discharged from the battery and supplied to homes, industrial and commercial facilities, etc. Today, large-scale BESSs are already operating around the world, including the United States, Australia, the United Kingdom, Japan, China and many other countries.

It is a composite system, including hardware and elementary and advanced software. Major BESS include:

Battery system: Contains individual cells that convert chemical energy into electrical energy. The cells are arranged in modules, which form a battery pack.

Battery Management System (BMS): BMS is used to ensure the safety of the battery system. It monitors the status of battery cells, measures their parameters and status, and protects batteries from fire and other hazards.

Inverter or Converter Storage (PCS): Converts the direct current (DC) produced by the battery into alternating current (AC) for use by the facility. The inverter of the battery energy storage system allows the flow of energy in both directions, allowing charging and discharging.

Energy Management System (EMS): Responsible for monitoring and controlling the flow of energy within the battery energy storage system. EMS coordinates the work of BMS, PCS and other components of BESS. By collecting and analyzing energy data, EMS can efficiently manage multi-energy access to the system.

Depending on its function and operating conditions, BESS also includes a range of safety systems such as fire control systems, smoke detectors, temperature control systems, cooling, heating, ventilation and air conditioning systems. The safety system itself has a monitoring and control unit that provides the BESS with the conditions required for safe operation by monitoring its parameters and responding to emergencies.

Types of BESS

The classification of BESS varies depending on the electrochemistry or battery technology used.

Lithium Ion Battery

According to a report released by the U.S. Energy Information Administration (EIA), more than 90% of large-scale battery energy storage systems in the United States are powered by lithium-ion batteries, and the current overall global statistics are basically the same.

Lithium-ion battery chemistries include lithium cobalt oxide, lithium manganese oxide, lithium iron phosphate, lithium nickel manganese cobalt oxide (NMC), and others. Lithium-ion batteries have many advantages that make them one of the leading energy storage technologies. The global lithium-ion battery market is expected to double by . It is lightweight and compact, has high capacity and energy density, low maintenance costs and long service life.

In addition, lithium-ion batteries are easy to charge quickly and have low self-discharge rates. Disadvantages of this battery technology include high cost, flammability, intolerance to extreme temperatures, and the ability to overcharge and overdischarge.

Lead-acid (PbA) battery

Lead-acid batteries are one of the oldest battery technologies and are the cheapest and most common solution used in automobiles, industrial applications and power storage systems. Lead-acid batteries are highly recyclable and operate effectively in both high and low temperatures.

Sealed valve-regulated lead-acid (VRLA) batteries are more suitable for power storage solutions than their older counterparts, flooded lead-acid (FLA) batteries, due to their longer life, higher capacity and easier maintenance. Slow charging, heavy weight and low energy density are the main drawbacks of this battery technology.

The necessity of buying BESS

There are several benefits to choosing batteries for energy storage. First, there are no restrictions on location for battery energy storage – there is no need to provide huge water tanks or underground gas storage tanks.

Due to its high availability and flexibility, BESS can be well matched to applications with different power and storage capacities. In addition, modern battery technology tends to be lightweight, paying more and more attention to cost-effectiveness, safety and environmental protection.

Below are some application examples of battery energy storage systems and the basic problems it can solve.

Energy demand management: BESS helps balance loads between peak and off-peak times. Battery energy storage solutions enable users to save money on their electricity bills by storing energy when demand is low and discharging it during peak periods.

Backup power: In the event of a grid failure, BESS can provide backup power until power is fully restored. By operating as an uninterruptible power supply (UPS), commercial battery energy storage solutions can save time and money by eliminating downtime.

Black start capability: After a power outage, the black start capability based on the battery energy storage system can be used to restore power generation, thereby replacing the diesel or natural gas generators used in power plants. BESS’s fast response time helps get the system back up and running in the shortest possible time.

Frequency Control: If the amount of electricity generated does not match the actual power demand, the frequency may go above or below its rated value. These differences can result in temporary grid disconnections, power failures or power outages. BESS can respond immediately to power outages, provide sub-second frequency speed response, and stabilize the power grid.

Renewable energy integration: Combining battery energy storage systems with intermittent renewable energy sources provides cheap, continuous power for on-grid, off-grid and hybrid systems. Government subsidies and reduced tax rates have also resulted in widespread support and incentives for renewable energy-storage solutions.

Factors to consider when purchasing BESS

The global battery energy storage market is well supplied. As battery costs fall, off-the-shelf battery energy storage systems become more affordable for consumers. When choosing a battery energy storage system, in addition to price, we should also consider the following factors:

The integrity of the system and the availability of related subsystems and supporting equipment, the chemical safety and other characteristics of the battery, the quality, availability and continuity of supply of hardware components, and the reliability of the software, etc. Battery management system (BMS) software is responsible for charging, discharging and battery safety, and plays an important role in the overall performance of the battery energy storage system.

Buying a ready-made BESS can save you time, especially if you need a plug-and-play solution with no specific consumption requirements. But off-the-shelf systems can have unreasonably priced, poor-quality pre-installed software and other unnecessary features that add to costs. Tailor-made BESS solutions can meet the exact needs of potential customers.

Finally, product certification is something you need to consider. In addition to international standards such as IEC, ISO, IEEE and UL, BESS will most likely need to meet each country’s specific national standards and certification requirements. The BESS vendors we select must be well-versed in certification requirements and applicable standards, which helps mitigate risk in system design and deliver high-quality products to end users on time and within budget.

Recap

BESS is a multi-component energy storage system capable of storing varying amounts of electrochemical energy and used for application purposes including peak reduction, energy harvesting or black start. BESS manufacturers offer a rich selection of various storage capacities suitable for any application. Applications and budgets.

Different Types of Battery Energy Storage Systems (BESS)

As the world shifts towards cleaner, renewable energy solutions, Battery Energy Storage Systems (BESS) are becoming an integral part of the energy landscape. BESS enable us to store excess energy for later use, stabilizing the grid and improving the efficiency of renewable energy sources like solar and wind. Whether you're a homeowner considering solar panel integration, a business looking to cut energy costs, or a utility-scale provider, understanding the different types of BESS and how they function is essential.

This article will break down the types of battery energy storage systems (BESS), provide a comparison of key technologies, and offer practical advice on how to choose the right system for your needs.

What are Battery Energy Storage Systems (BESS)?

Battery Energy Storage Systems (BESS) are devices that store energy in chemical form and release it when needed. These systems can smooth out fluctuations in renewable energy generation, reduce dependency on the grid, and enhance energy security. BESS can be used in various scales, from small residential systems to large grid-scale storage projects.

When choosing the types of battery energy storage systems, it’s crucial to consider factors such as energy capacity, cycle life, cost, and environmental impact. As technology advances, the choices in BESS have expanded, making it possible to meet specific energy needs more efficiently.

Types of Batteries (Including Chemistries) for Energy Storage

The types of battery energy storage systems (BESS) are primarily determined by the battery chemistries used. Below, we discuss the most common and emerging chemistries in the industry:

Lithium-Ion Batteries (Li-Ion)

Lithium-ion batteries are the most widely used type of BESS, especially for residential applications like Tesla Powerwall. They offer high energy density, a long lifespan (up to 20 years), and fast charge/discharge times.

Pros: High efficiency, long cycle life, scalable for residential and commercial applications.

Cons: Higher upfront cost, sensitive to extreme temperatures.

Subtypes of Lithium-Ion Batteries:

Lithium-ion batteries come in different types, each with unique features:

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  • Lithium Iron Phosphate (LFP): Known for being safer and having a longer lifespan, but slightly lower energy density.
  • Lithium Nickel Manganese Cobalt Oxide (NMC): Offers higher energy density and better efficiency, but is generally more expensive.

These subtypes allow users to choose the best battery for their needs, whether it's for better safety, longer life, or higher energy output.

Lead-Acid Batteries (PbA)

One of the oldest types of rechargeable batteries, lead-acid is still widely used in applications like off-grid power systems and backup power supplies (UPS). They are cheaper than lithium-ion but have a shorter lifespan and lower energy density.

Pros: Low cost, widely available, recyclable.

Cons: Shorter lifespan (5-10 years), less efficient, slower charge times.

Flow Batteries

Flow batteries use liquid electrolytes to store energy. This makes them highly scalable and capable of long-duration storage. The Vanadium Redox Flow Battery (VRFB) is one of the most popular types for grid-scale storage.

Pros: Long lifespan (up to 25 years), scalable, safer with non-flammable electrolytes.

Cons: Lower energy density, higher initial cost.

Sodium-Ion Batteries

Sodium-ion batteries are emerging as an alternative to lithium-ion, especially in areas where sodium is more abundant and cost-effective. They are better suited for high-temperature environments and offer safety advantages.

Pros: Safer, environmentally friendly, cost-effective.

Cons: Still in early development, lower energy density than lithium-ion.

Solid-State Batteries

Solid-state batteries are considered the next frontier in battery technology. They replace the liquid electrolyte with a solid material, offering improved energy density, safety, and charging speed.

Pros: Higher energy density, faster charging, greater safety.

Cons: Still in the development phase, high production cost.

Zinc-Air Batteries

Zinc-air batteries use oxygen from the air to react with zinc in the battery, producing electricity. These batteries are becoming more popular due to their high energy density and environmentally friendly characteristics.

Pros: High energy density (better than many traditional batteries), lower environmental impact (made from abundant materials).

Cons: Limited cycle life, expensive to manufacture.

Applications: Typically used for niche applications such as backup power systems and small-scale energy storage solutions.

Nickel-Cadmium (NiCd) Batteries

Nickel-cadmium (NiCd) batteries are well known for their robustness and reliability. They perform well in extreme temperatures and have a long cycle life, making them ideal for certain industrial and off-grid applications.

Pros: Excellent performance in extreme temperatures, long lifespan and cycle life.

Cons: Environmental concerns due to the toxic nature of cadmium, lower energy density compared to lithium-ion.

Applications: Often used in backup power systems, industrial settings, and remote off-grid locations.

Sodium-Sulfur (NaS) Batteries

Sodium-sulfur (NaS) batteries are high-temperature batteries that operate around 300°C (572°F). These batteries offer high energy density and are primarily used for large-scale applications, such as grid storage and load balancing.

Pros: High energy density, well-suited for large-scale energy storage.

Cons: Require special heating systems to maintain operating temperature, limited cycle life compared to lithium-ion.

Applications: Mainly used for utility-scale energy storage and balancing electrical loads on the grid.

Factors to Consider When Choosing a BESS

Choosing the right battery energy storage system requires a balance between several factors. Here’s what you need to consider:

Energy Needs and Capacity

Do you need a system to store energy from solar panels for your home, or are you managing grid fluctuations for a utility company? Determine the storage capacity (kWh) and power output (kW) needed for your application.

Cycle Life

A battery’s cycle life indicates how many times the battery can be charged and discharged before it begins to lose performance. For instance, lithium-ion batteries last around 5,000 cycles, while flow batteries can last up to 20,000 cycles.

Cost and Budget

The cost of a BESS depends on the technology, with lithium-ion being the most expensive, followed by flow and sodium-ion batteries. However, there are several financial incentives and rebates available to help reduce these upfront costs, especially for homeowners installing solar energy storage systems.

For example, the Inflation Reduction Act (IRA) now offers a 30% tax credit for battery and energy storage systems, a significant increase from the previous 26%. This tax credit also applies if you're retrofitting your existing solar panels with a battery storage solution, making it easier for homeowners to upgrade.

In addition to federal incentives, local programs also provide financial benefits. For instance, in California, PG&E's Emergency Load Reduction Program allows homeowners to earn money for storing electricity in their batteries, which helps reduce grid demand during peak times. Similarly, in Long Island, New York, PSEG offers upfront discounts on battery storage systems as part of their Battery Storage Rewards Program. These initiatives help lower the financial barrier to adopting energy storage while also contributing to a more sustainable energy grid.

Environmental Impact

Consider the environmental footprint of the battery technology. For example, lithium-ion batteries have a higher carbon footprint than lead-acid or sodium-ion. Additionally, recycling technologies are improving, but battery disposal remains a challenge.

Practical Tips and Recommendations

Choosing the right BESS for your needs can be overwhelming, but here's a checklist to guide your decision:

  • Evaluate Your Energy Needs: How much energy do you need to store, and for how long? This will help determine the size of the system you need.
  • Assess Available Space: Consider the available space for your battery storage. Systems like ACE Battery offer compact designs that are ideal for residential installations with limited space.
  • Consider Budget: What is your budget, and what financial incentives are available? Don't forget to check for local rebates and tax incentives to reduce upfront costs.
  • Factor in Scalability: Can the system be expanded if your energy needs grow? Many systems, including ACE Battery, are modular, allowing you to easily scale as your energy requirements increase.
  • Prioritize Safety: Choose systems with built-in safety features, especially for residential applications. ACE Battery, for example, includes advanced thermal management systems to ensure safe operation.

By using this checklist and considering home battery energy storage systems like ACE Battery, you'll be able to make an informed choice that fits both your energy needs and budget.

Conclusion

Battery Energy Storage Systems (BESS) are crucial for improving energy efficiency, enhancing the integration of renewable energy, and contributing to a more sustainable energy future. By understanding the different types of batteries, their advantages, and the factors to consider when choosing a system, you can make an informed decision that suits your specific energy needs.

As technologies continue to evolve, new solutions like solid-state batteries and sodium-ion batteries promise to push the boundaries of what's possible in energy storage. With the right BESS, whether for home, business, or large-scale grid applications, we can move toward a cleaner, smarter energy future.

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