Construction cost of compressed air energy storage per kwh

What is compressed air energy storage?

Compressed air energy storage (CAES) is one of the many energy storage options that can store electric energy in the form of potential energy (compressed air) and can be deployed near central power plants or distribution centers. In response to demand, the stored energy can be discharged by expanding the stored air with a turboexpander generator.

What is the cost of energy storage?

The cost of energy storage varies by technology. According to a 2018 report by RedT Energy Storage, the cost of their Gen 2 machines starts at $490/kWh.

What are the most cost-effective energy storage technologies?

PSH (Pumped Hydropower Storage) and CAES (Compressed Air Energy Storage) are the most cost-effective energy storage technologies evaluated within this report, on a $/kWh basis.

What is Compressed Air Energy Storage (CAES)?

Compressed Air Energy Storage (CAES) is a hybrid energy storage and generation concept. It has many potential benefits, especially in a location with increasing percentages of intermittent wind energy generation.

What is the lowest annualized cost per kW?

On an annualized basis, Li-ion has the lowest total annualized $/kWh value of any of the battery energy storage technologies at $74/kWh, and ultracapacitors offer the lowest annualized $/kW value of the technologies included.

What is the cost per kW for a 500 MW system?

For a 500 MW system, the cost per kW is estimated to be $245/kW. Per International Renewable Energy Agency (IRENA 2012), the $/kW for electrical and mechanical equipment decreases with increasing power and is estimated to be $570/kW for a 4 MW system, $485/kW for a 48 MW system.