Deliverable Report: Cost-Benefit Analysis of Additional Energy Storage Procurement

The present project aims to provide information on the preferred configuration of energy storage technologies for supporting a decarbonized California electricity system. Energy storage technologies have been identified as critical for enabling compliance with California’s electricity decarbonization goals. While lithium-ion batteries are currently the leading option for meeting energy storage needs, particularly in the near term, a diverse array of other commercial or near-commercial energy storage technologies are available that have characteristics better suited to meet the particular needs of a future electricity system.In this context, the present project aims to determine which energy storage technologies are best suited to serve different functions required to operate a future, decarbonized electricity system in California and elucidate how energy storage technology characteristics map to their suitability for different applications. This will be accomplished by meeting the following objectives:  Determine the net costs associated with deploying different energy storage technology portfolios to facilitate an electricity system that complies with SB 100 goals and IRP targets.  Compare the costs and benefits associated with the use of different energy storage technology portfolios in terms of expenditures and system-wide electricity system operations.  Determine the energy storage characteristics that are better suited for providing different grid services at a minimal net cost