Enabling the Low-Carbon Energy Transition of the EU: Barriers of Electricity Storage

Abstract

Large-scale, stationary electricity storage is widely regarded as one of the solutions to the flexibility challenges posed by the integration of an increasing share of variable renewables. While the energy transition is gaining traction among policymakers and industry players, enabling technologies like electricity storage are not receiving the same amount of attention as renewables and face significant hurdles in their widespread uptake. However, the success of electricity storage inherently depends on other developments in the energy transition. Contextual interactions are essential.

Research into sustainability transitions is often centred around either the TIS or transition management approach. This study builds on previous integration attempts by complementing the TIS with another key innovation process that stresses the role of agency in the window of opportunity presented by the energy transition context. In addition, this study is unique in expanding the TIS approach to the European level, which is valuable as the EU is adopting an increasingly centralised approach to transitions. Seventeen experts, sampled from most relevant stakeholders in the European electricity sector, were interviewed. Policy recommendations are given to address those barriers that are the most pressing to the system.

This study found that the barriers of electricity storage are heavily interrelated. The most pressing barriers can be identified in the form of regulatory uncertainty, a lacking strategic vision for the energy transition at large, as well as lacking remuneration possibilities in a market design that ideologically favours storage ownership by market players instead of by grid operators. These barriers are responsible for a majority of the other barriers that the system is facing and deserve priority on the policy agenda.

This study was the first attempt with an extended TIS methodology with a contextual system function, combined with an unconventional European scope. Future research should experiment more with the newly introduced system function in different case studies and transitions. In addition, the European scope requires more maturing in future research designs.

Keywords: