Factoring in these costs from the beginning ensures there are no unexpected expenses when the battery reaches the end of its useful life. To better understand BESS costs, it’s useful to look at the cost per kilowatt-hour (kWh) stored. As of recent data, the average cost of a BESS is approximately $400-$600 per kWh. Here’s a simple breakdown:
The cost of implementing BESS will need to come down to make it viable for the residential market, presenting attractive LCOS only for costs below 600.00 $/kWh and MRA below 9 %. Presently, to establish BESS viability at existing rates, a significant tariff discrepancy would be necessary, potentially affecting non-PV and BESS consumers as well.
Table 3 shows the technical information of the BESS battery bank and inverter. The PV system is a typical residential PV generator installed in Brazil, which range from 4 kWp to 8 kWp in most cases , . Table 2. Technical information about the PV installed at the case study PU.
It is nonetheless still eye-opening to note just how big those differences in cost are. The average for a turnkey system in China including 1-hour, 2-hour and 4-hour duration BESS was just US$101/kWh. In the US, the average was US$236/kWh and in Europe US$275/kWh, more than double China’s average cost.
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