Cost Projections for Utility-Scale Battery Storage (2020 Update)
In this work we describe the development of cost and performance projections for utility-scale lithium-ion battery systems, with a focus on 4-hour duration systems. The projections are developed from an analysis of 19 publications that consider utility-scale storage costs. The suite of publications demonstrates varied cost reductions for battery storage over time. Figure ES-1 shows the low, mid, and high cost projections developed in this work (on a normalized basis) relative to the published values. Figure ES-2 shows the overall capital cost for a 4-hour battery system based on those projections, with storage costs of $\$$144/kWh, $\$$208/kWh, and $\$$293/kWh in 2030 and $\$$88/kWh, $\$$156/kWh, and $\$$219/kWh in 2050. Battery variable operations and maintenance costs, lifetimes, and efficiencies are also discussed, with recommended values selected based on the publications surveyed.