BESS Pros & Cons

BESS Pros & Cons

Battery Energy Storage Systems (BESS) are essential for integrating renewable energy into modern grids. They store energy during periods of surplus and release it during peak demand, providing a reliable supply of clean energy. California has rapidly expanded its BESS capacity from 500 MW in 2018 to over 10,300 MW by 2024, with a projected need of 52,000 MW by 2045. This article examines the advantages and challenges of BESS, showcasing their critical role in meeting energy goals.

Infographic highlighting the five times increase in energy storage capacity that is expected in California from 2024 to 2045 (California Energy Commission, 2024).

The Benefits of BESS

Grid Balancing

One of the primary benefits of BESS lies in their ability to enhance grid balancing. As modern grids integrate an increasing amount of renewable energy, maintaining a stable energy supply becomes more challenging. BESS effectively address this challenge by balancing supply and demand across three critical dimensions: Energy, voltage, and frequency. 

The table below summarizes these three grid balancing dimensions and the key to balancing each.  Importantly, BESS are extremely versatile and can balance the grid in all three dimensions: 

By addressing these dimensions, BESS ensure that renewable energy sources like solar and wind can be utilized even during fluctuations in generation or demand. This capability is essential for preventing blackouts, reducing grid congestion, and maintaining energy flow during peak usage periods.

Renewable Energy Integration

Battery Energy Storage Systems (BESS) are crucial for unlocking the full potential of renewable energy sources like solar and wind. These resources are inherently variable—solar panels generate electricity only during daylight hours, and wind turbines depend on weather conditions. BESS bridge these gaps by storing excess energy produced during periods of high generation and dispatching it when renewable resources are unavailable.

This capability makes renewables dispatchable, ensuring a stable and clean energy supply around the clock. For example, the Humidor project enables renewable energy generated in California’s Central Valley to reliably reach Los Angeles, even during peak demand periods or times when solar and wind output is low. By reducing reliance on gas peaker plants, BESS allow more clean energy to flow into the grid, displacing fossil fuel-based generation.

The Humidor Battery Storage Project ensures a stable and clean energy supply by easing congestion in California’s Central Valley, preventing curtailment, and reliably delivering solar energy to Los Angeles—even during peak demand or low renewable output. By reducing reliance on gas peaker plants, it displaces fossil fuels and strengthens grid resilience. The green icons on the map represent large solar plants, and the blue icons indicate gas peaker plants—highlighting how Humidor maximizes solar energy from the Antelope and Central Valleys while curtailing gas peaker generation within the LA basin.

Job Creation

BESS projects are an asset for local economies, creating high-paying union jobs during construction and providing long-term operational roles. These projects support local workforces, offering stable employment opportunities. For example, the Humidor project will employ 100 construction workers and will continue to support ongoing maintenance staff, boosting economic activity in the region. 

Tax Revenue

In addition to job creation, BESS projects generate substantial tax revenue for local governments. The Humidor project alone will contribute $2 million in local taxes annually, providing vital funding for schools, emergency services, and infrastructure improvements. These funds directly enhance the quality of life for residents, ensuring that communities benefit from the clean energy transition. 

Community Benefits

BESS projects often go a step further by directly supporting local initiatives, an addition referred to commonly as community benefits. The Humidor project will allocate $100,000 annually to community-specific programs. These funds empower local leaders to address targeted needs, ranging from educational programs to infrastructure enhancements, creating tangible benefits for the communities hosting these projects. Potential Community Benefits can be provided in the form of Solar Microgrids that deliver economic, environmental, and resilience benefits to communities, like the Solar Microgrids that the Clean Coalition facilitated for the Santa Barbara Unified School District (SBUSD).  

Potential for Solar Microgrids 

When paired with Solar Microgrids, BESS amplify resilience and energy independence. For example, Solar Microgrids installed at Santa Barbara Unified School District (SBUSD) schools reduced utility costs while ensuring critical facilities remain operational during outages. Read more about how Solar Microgrids facilitated by the Clean Coalition for the SBUSD guaranteed bill savings of $7.8 million (now tracking to more than $25 million due to rapidly increasing electricity rates) and an additional $6.5 million in value-of-resilience (VOR) for free. 

Environmental Impact 

BESS play a crucial role in reducing the environmental footprint of energy generation. By minimizing the reliance on gas-fired power plants, which are often significant sources of air pollution, BESS directly reduce harmful emissions that contribute to climate change and local air quality issues. This reduction is especially impactful in disadvantaged communities (DAC), which are disproportionately affected by the presence of industrial facilities and their associated pollution.

Gas-fired power plants, typically located in or near lower-income neighborhoods, emit pollutants like nitrogen oxides (NOx) and particulate matter that degrade air quality and increase health risks, such as asthma and cardiovascular diseases. By enabling more renewable energy to replace these plants, BESS significantly reduce industrial pollution in these areas, improving environmental conditions and fostering public health equity.

Beyond localized benefits, the broader environmental impact of BESS extends to reducing greenhouse gas emissions on a systemic level. By ensuring that renewable energy can be reliably integrated into the grid, BESS contribute to meeting climate targets and reducing the overall carbon intensity of electricity generation.

Safety Enhancements 

BESS have made significant advancements in safety. Modern systems often utilize Lithium Ferrous Phosphate (LFP) batteries, a safer and more stable alternative to traditional lithium-ion chemistries. LFP batteries are less prone to thermal runaway, a condition that can lead to overheating or fires, making them a preferred choice for large-scale energy storage projects.

In addition to safer battery technology, comprehensive emergency response plans are a standard requirement for BESS installations. These plans outline detailed protocols for preventing and addressing potential incidents, ensuring that facilities operate safely even under challenging conditions. 

The Challenges of BESS

Safety Concerns

One of the most frequently cited concerns about BESS is the risk of thermal runaway and fires. While these risks are real, modern BESS designs have significantly mitigated them through advanced safety technologies. Systems now incorporate module-level containment, which isolates individual battery cells to prevent the spread of overheating, and automatic fire suppression systems that quickly extinguish incidents before they escalate. Historical data shows that no BESS fire has ever spread beyond its facility, with risks comparable to Class A fires, similar to house fires.

In contrast, gas infrastructure poses far greater safety risks. Gas systems are notoriously vulnerable to earthquakes, fires, and landslides making them less resilient and harder to restore after disasters. A stark example of these dangers is the 2010 gas pipeline explosion in San Bruno, California. 

2010 San Bruno gas pipeline explosion obliterated a block of homes, killing numerous people.

Land Use and Community Impact 

BESS can occasionally spark concerns among community members, particularly about their proximity to residential areas and their visual impact on the landscape. However, these challenges are effectively mitigated through thoughtful planning and design.

BESS projects are often strategically located on disturbed industrial land, away from residential zones, to minimize potential disruptions. For instance, the Humidor project is sited in an industrially zoned area, buffered by roadways and rail lines. This approach not only ensures minimal impact on surrounding neighborhoods but also makes efficient use of already disturbed land, avoiding further environmental degradation.

To address aesthetic concerns, many BESS facilities incorporate visual screening measures such as landscaped barriers, fencing, and other design elements that blend with the surrounding environment. These measures help to reduce the visual footprint of the facilities, making them less intrusive and more acceptable to nearby communities.

Lifecycle and Recycling Challenges

The lifecycle of BESS presents certain challenges, particularly regarding the extraction and disposal of battery materials. Mining for materials such as lithium, cobalt, and nickel can have significant environmental and social impacts, while the disposal of used batteries poses risks to both human health and ecosystems if not managed properly.

However, the industry is rapidly advancing solutions to these challenges. Innovations in battery design are making BESS more recyclable, reducing waste, and recovering valuable materials for reuse. Equally important, advancements in recycling technology are making these processes increasingly cost-effective, encouraging widespread adoption of sustainable practices.

It is worth noting that the BESS industry is still in its infancy. As the market grows and matures, continued improvements in material sourcing, manufacturing, and recycling infrastructure are expected to significantly mitigate lifecycle concerns.

Case Studies

Humidor BESS

Located in North Los Angeles County, the Humidor BESS exemplifies the transformative potential of large-scale energy storage. With a capacity to store 400 MW and 1,200 MWh of energy, this project will play a pivotal role in reducing the region’s reliance on gas-fired power plants, directly contributing to cleaner air and lower emissions.

The Humidor project will generate significant economic and community benefits. It will provide $2 million annually in tax revenue, funding critical local services like schools, emergency response, and infrastructure development. Additionally, it will allocate $100,000 annually for community-specific initiatives, empowering local leaders to address targeted needs. The project also will create 100 high-paying union jobs during construction and will continue to support long-term operational roles.

Careful design ensures the facility prioritizes safety and minimizes disruption to the surrounding community. Located in an industrially zoned area on already disturbed land, the site is buffered by roadways and rail lines to further limit its impact. The facility will incorporate visual screening and secure fencing to blend seamlessly with its environment.

The safety of the Humidor BESS has been a central focus, with Los Angeles County Fire Chief Anthony Marrone providing full confidence in its design and emergency preparedness during his testimony at the Los Angeles County Board of Supervisors hearing, which ultimately approved the project. His endorsement underscores the facility’s commitment to state-of-the-art safety measures.

Vallecito Energy Storage Resilience (VESR)

The Vallecito Energy Storage Resilience (VESR) project, located in Santa Barbara County, demonstrates the value of smaller-scale, community-focused BESS installations. Situated on just one acre of leased agricultural land, the facility has a storage capacity of 10 MW and 40 MWh. Despite its compact size, VESR delivers critical reliability improvements for a grid-constrained community and ensures resilience during power outages.

Since its commissioning in January 2021, VESR has operated smoothly, showcasing the effectiveness of localized energy storage in addressing regional energy challenges. Its strategic location near public schools, residential areas, and agricultural land ensures that it provides stability to the grid while serving as a reliable backup during emergencies. 

Google Map image of VESR location demonstrates its proximity to public school, residential areas, and agricultural land.

By enhancing energy reliability and providing resilience for local infrastructure, VESR serves as a model for the effective deployment of grid-scale BESS in smaller, grid-dependent communities.

Conclusion

BESS are indispensable for building a sustainable energy future. By enabling the integration of around-the-clock renewable energy, they reduce dependence on fossil fuels. Beyond their environmental benefits, BESS create economic opportunities through job creation, tax revenue, and community benefits.

While challenges like safety, lifecycle management, and siting concerns persist, ongoing technological advancements and thoughtful deployment strategies continue to address these issues. Modern designs showcase how BESS can balance energy needs, minimize community disruption, and prioritize safety while delivering significant economic and environmental benefits.

As California works toward its ambitious renewable energy goals, BESS will be a foundational component of the state’s energy transition. Projects like Humidor highlight the scalability and transformative potential of this technology, paving the way for a cleaner, more resilient, and equitable energy future.