LG Energy Solution Vertech has lined up 10 grid-scale battery energy storage (ESS) projects in the United States that will provide 10 gigawatt hours of storage to support the adoption of renewable energy and grid resilience.
The new ESS systems will incorporate lithium-ion batteries along with hardware integration and system controls software, including the company's AEROS cloud, altogether diverting about 16 million pounds of carbon emissions each year, LG Energy Solution said. Energy storage systems are a valuable element of grid decarbonization as renewable energy sources often generate more energy than demand requires at a given time. Battery storage may keep this energy from being wasted and support the grid when renewables are experiencing lower rates of energy generation.
In order to continue contributing to the U.S. energy storage market’s growth, LG Energy Solution will also construct a battery manufacturing plant in Queen Creek, Arizona, where electric vehicle batteries and lithium iron phosphate batteries used for ESS will be produced. The facility will reportedly produce 16 GWh worth of energy storage batteries.
“Thanks to our unique processing technology, the new Long-Cell based LFP batteries produced in Queen Creek, Arizona will feature improved energy density and safety,” said Hyung Kim, head of the ESS business division at LG Energy Solution. “We will continue to strengthen our position in the North American power grid ESS market.”
The company said the immense growth that the U.S. energy storage industry experienced in 2023 played a role in the plans, with an expected 35% increase in capacity during the year. In 2024, the grid-scale ESS market is expected to reach 30 GWh total.
The International Energy Agency considers grid-scale energy storage an essential part of U.S. net-zero goals, yet the global industry is considered behind schedule despite increasing renewable energy development.
For example, California currently has the largest solar capacity than any other state, but without enough storage, generated energy will be wasted. More than 75% of installed utility-scale battery capacity planned in the U.S. will reportedly go to California along with Texas, another major solar and wind energy location, as more renewable energy projects arise in both states.
Beyond the support of renewables, battery storage may also help restore energy to the grid during blackouts, which are becoming more common as extreme weather events increase. Toward the end of 2023, LG Energy Solution announced the launch of residential energy storage systems that may also support customers during power outages.
