National Energy System Plan: energy storage is key technology
On Monday, July 3, Climate and Energy Minister Jetten presented the strategy for the energy system of the future. This was done with the publication of the draft National Energy System Plan (NPE) and Program Energy Master Plan. The plans paint an integrated picture of the future energy system, identifying energy storage as a key technology to make the energy transition a success.
Electricity storage challenges underexposed
The draft plan calls for scaling up all forms of storage (electricity, heat and molecules). It emphasizes the importance of large-scale battery storage for ensuring security of supply in the electricity system. The central task of achieving enough storage capacity with a scarce supply of critical materials is highlighted. The plan emphasizes the importance of innovation to meet these challenges.
Unfortunately, the cabinet's plans do not address the barriers in battery financeability. Energy Storage NL argues that swift action should be taken on lowering network tariffs, increasing the fee for congestion services and providing long-term security in contract forms in order to realize sufficient storage capacity in the Netherlands, taking into account the huge flexibility requirement of grid operators. Other solution directions, such as interconnectivity, are complementary to this but are not an alternative to ensure reliability of a separate and independent electricity grid.
Opportunities for hydrogen and heat storage
In addition to electricity storage, the NPE addresses the broad development of flexible energy supply through deployment of other forms of storage. Rapid development of molecule storage is named as essential to make current fossil seasonal storage sustainable. In this regard, the Netherlands' strong gas infrastructure is promising for hydrogen storage and distribution, including for import and export.
The role of thermal storage in collective heat supplies in the built environment is highlighted, but the plan goes little into a time frame for thermal storage and how much capacity can be realized. In addition, Energy Storage NL lacks attention to location control for thermal storage, while this is specifically mentioned for batteries and electrolysers. Following the Energy Storage Roadmap, the industry is having discussions on this with the Ministry of Economic Affairs and Climate.
A consultation on the National Energy System Plan will start soon, giving parties until September to provide input for a new version. Energy Storage NL will contribute to this and calls on participants to provide input through the existing working groups or addressed to peter.oortmann@fme.nl