Decentralized electricity storage evaluation in the Portuguese context

Portugal has made great progress in implementing renewable energy systems (RES) to use its endogenous renewable resources. As the cost of renewable energy generation is decreasing, mainly for photovoltaic energy, a significant increase in its production is expected, in particular at the local and domestic levels. Yet, much investment and development is still needed to fulfil the goals for renewable energy generation defined by the Portuguese government and the European Union, in order to decarbonize energy generation and reduce energy dependence. Besides limitations in the installed capacity, the full potential of existing and future RES is not fulfilled, mainly due to imbalances in supply and demand, resulting from the varying climatic conditions and limited energy storage capacity. Although some investment was made in large scale Energy Storage Systems (ESS), especially pumped hydro, distributed energy storage (DES), in particular for stationary domestic storage appliances, have received little attention from decision makers. When properly defined, designed and implemented, they can contribute to increase the efficiency of existing and future RES and the capacity factor. Thus, in this work the questions regarding the implementation of DES are analysed. The main criteria that have to be considered when selecting the proper storage technology for DES are defined, taking into account information and data from current legislation and/or strategic plans and goals, and the technical and scientific literature, in order to support decision making and policy definition at different levels. The proposed application of the various criteria leads to the conclusion that for DES, electrochemical based ESS are the most adequate, among which Li ion batteries and redox flow batteries, particularly suited for local and/or household applications. The current policies sought out for Portugal are also examined in order to identify which aspects should be improved to promote and increase the relevance of DES in the Portuguese energy mix, and it is concluded that specific policies and support are needed to increase the relevance of decentralized electricity storage systems.