Benefits of Energy Storage

Utility-scale battery energy storage, a key solution for stabilizing the power grid, is an essential component in diversifying and future-proofing the U.S. energy landscape. The American Clean Power Association (ACP) projects that grid-scale storage installations will grow at an impressive rate of 32% annually through 2028, reaching a total capacity of 62 gigawatts — enough energy to supply uninterrupted electricity to more than 10 million homes.

Why Is Energy Storage Important? Top 5 Benefits

The surge in energy storage projects isn’t surprising given the many advantages of this technology. Here’s a closer look at a few key benefits of battery energy storage systems (BESS).

1. Minimized Power Outages

Electricity interruptions are more than just a nuisance — outages cost Americans billions of dollars every year from lost productivity, spoiled food, and property damage. However, the impact goes far beyond financial loss. Power outages also affect critical services and hospital operations, posing a serious threat to public health. During extreme weather events, these outages can become life-threatening when essential care is unavailable.

Energy storage is critical because it helps to modernize the grid by providing uninterrupted power to consumers, reducing expensive and potentially fatal brownouts and blackouts.

2. Improved Grid Resiliency

The benefits of battery energy storage systems go beyond power outage prevention — expanding energy storage capacity makes the entire electric grid more resilient. Strategically placing batteries near areas with high energy demand, such as dense population areas and data centers, helps relieve pressure on the grid and transmission congestion.

This expanded power supply enables utility companies to implement proactive demand response and load management programs. Excess energy can be stored during off-peak times and dispatched during peak times, reducing grid strain and decreasing reliance on expensive and immediate sources of traditional electricity production. Additionally, the fast response capabilities of batteries allow them to more quickly respond to system disruptions such as a sudden loss of generation or a rapid change in demand.

3. Reduced Electricity Costs

Batteries store energy when electricity prices are low and discharge it to the grid when demand and prices are high, providing major cost savings to utilities, businesses, and consumers. For example, Texas energy storage deployments helped consumers save $750 million in energy costs in the summer of 2024 alone. Storage projects also reduce the risk of costly power outages, support the integration of affordable renewable energy, and limit volatile fuel costs.

4. Increased Use of Renewable Energy

Battery energy storage is especially valuable when combined with sources of renewable energy like solar, reducing reliance on fossil fuel sources and foreign imports. While solar technology is expanding across the U.S., its full potential to meet energy demand around the clock remains untapped without a way to store excess energy during daylight hours.

Pairing energy storage with solar allows utilities to leverage more of this affordable clean energy to power homes and businesses. Co-locating solar and storage projects also provides cost-sharing and improves the efficiency of both systems.

5. Strengthened Local Economies

Energy storage projects do more than stabilize the grid and reduce electricity costs for local communities. These projects also strengthen the local economy with new job opportunities and revenue. The battery storage industry currently supports more than 75,000 jobs across the country, according to data from the Interstate Renewable Energy Council. These jobs span roles in development, construction, maintenance, and more. ACP also reports that utility-scale energy storage projects deliver more than $580 million in annual tax revenue and land lease payments to local communities.

Expand Energy Storage in Your Community

Battery energy storage systems provide a wealth of benefits, bolstering local electric grids and the communities they support. Energy storage offers a reliable way to stabilize the grid, reduce costs, and expand access to homegrown renewable power. Contact Arevon today to learn more about deploying energy storage to capture these benefits in your community.

Explore Utility-Scale Energy Storage Frequently Asked Questions