first_img FacebookTwitterLinkedInEmailPrint分享S&P Global Market Intelligence ($):U.S. utilities seeking new sources of peak power are turning to solar farms integrated with battery storage systems that save energy for later use, offsetting their reliance on conventional fossil fuel-fired generators, often at lower prices.This trend is most apparent in Hawaii and the western U.S., where multiplying solar-plus-storage power purchase agreements, or PPAs, reflect a maturing class of competitively priced peak-power assets, according to an S&P Global Market Intelligence review of state regulatory filings, publicly available contracts and independent analysis.Though project configurations and contract conditions vary, prices for large-scale solar farms coupled with big lithium-ion batteries, typically offering four hours of energy storage, have fallen to between $30/MWh and $40/MWh in several recent deals and contracts under negotiation.Contracting activity for what one project developer, AES Corp., has called “PV peakers” has taken off in the southwestern U.S., for both PPAs and utility-owned projects.In 2018, California community choice aggregators Monterey Bay Community Power and Silicon Valley Clean Energy announced agreements with developers of two large solar photovoltaic, or PV, plants integrated with battery storage in Kern and Kings counties, at prices revealed in a public meeting not to exceed $40/MWh.“These types of arrangements are repeatable…despite people telling me storage was not cost-effective yet,” Monterey Bay Community Power CEO Tom Habashi said in an interview. The competitively priced projects help reduce the public agency’s exposure to expensive short-term peak-power purchases, he added, and the energy storage component represents less than $10/MWh of the total contract price.More ($): U.S. solar-plus-storage prices plunge in utility contracting surge Solar plus storage now a competitive option to replace fossil-fired peaking unitslast_img