Barriers and Challenges

As the energy efficiency landscape is continually changing, several factors play into the ease at which these measures are adopted by the end users.

Top 3 barriers and challenges to evaluating energy storage solutions for C&I customers:

Top Three Barriers:

  • Group gatekeepers sometimes do their job “too well” and prevent leader evaluation of beneficial solutions.
  • Locational and regulatory differences (affecting storage valuation, tariffs and restrictions) can cause some confusion among those investigating options.
  • Financing for technology and project development can be restricted to only the most veteran efficiency technologies.

Solutions to the Highest Voted Barriers

A survey was put forth to the industry partners to identify the largest barriers to adoption. Here are the results of the highest voted Barriers:

Barrier: First Demonstrations Dilemma

Suggested Solutions:

  • Provide incentives to commercial or other partners (willing to locate the demo)
  • Provide higher funding levels.
  • Encourage state/federal collaborations
  • Utilize government backstopping power to leverage private financing (loan guarantees)
  • Identify/facilitate site selections

Barrier: Locational/regulation (value of storage) data availability

Suggested Solutions:

  • Need to encourage DPU to back and support proposed grid modernization plans and data collection
  • Locational value assessment for identifying market opportunities

Barrier: Lack of Financing

Suggested Solutions:

  • Collect and use carbon tax
  • Find strategic partners.
  • Create a RPS equivalent for energy storage
  • Augment efficiency programs to support peak load reduction
  • Offer investment tax credits
  • Augment InnovateMass funding (and/or create storage-specific funding program)
  • Offer standard energy storage contracts/agreements and provide model templates.
Resource: Research Report