Are lithium-ion batteries the future of electricity storage?

The fastest-growing electricity storage devices today—for grids as well as electric vehicles, phones and laptops—are lithium-ion batteries. Recent years have seen massive installations of these around the globe to help balance electricity supply and demand and, more recently, to offset daily fluctuations in solar and wind.

What is the world's largest battery storage facility?

One of the world’s largest battery grid storage facilities, in California’s Monterey County, reached its full capacity in 2023 at a site with a natural-gas-powered plant. It can now store 3,000 megawatt-hours and is capable of providing 750 megawatts—enough to power more than 600,000 homes every hour for up to four hours.

Are lithium-ion batteries a good choice?

Lithium became the material of choice because it stores a lot of energy relative to its weight. But the batteries have shortcomings, including their fire risk, their need for air-conditioning in hot climates, and a finite global supply of lithium. Importantly, lithium-ion batteries aren’t suitable for long-duration storage, explains Meng.

How much does a kilowatt-hour battery cost?

The battery cost is above $100 per kilowatt-hour—meaning that a battery container supplying one megawatt (enough for about 800 homes) every hour for five hours would cost at least $500,000. Providing electricity for longer would quickly become economically unfeasible, Meng says.