The report found that customer-sited battery storage is by far the lowest priced new winter peaking resource now available to Massachusetts utilities.
Winter electric peaking capacity (called “winter reliability” in New England) provides an important value to the electric grid by helping to avoid winter blackouts. As heating and transportation are increasingly electrified to meet climate goals, winter peak energy needs will grow; and as fossil-fueled generators are phased out due to emissions caps, new, clean sources of winter peaking capacity will need to be found.
Although winter peaking capacity has traditionally been provided by gas and oil peaking generators (peaker plants), it can also be provided by cleaner, “behind-the-meter” customer resources such as battery storage.
Currently, this service is undervalued in the Massachusetts programs that provide battery customers with performance payments to supply power back to the grid at times of high demand. These customer performance payments should be adjusted to reflect the true value of winter electric peaking capacity in the region.
