What Bill Gates Got Wrong About Green Energy - lithium ion battery price

On Tuesday, Bill Gates called for a "new invention" in energy storage to make solar and wind power more economical.
The Microsoft founder, who published a blog post in his annual letter, said he stored energy with lithium
Ion batteries used when the sun falls or the air is still three times the average kilowatts
An hour of electricity in the United States.
"That's why we need new inventions to improve our ability to store energy cheaply and efficiently," Gates wrote . ".
"Getting them will make it easier for solar and wind to be a big part of our zero --carbon future.
He explained that this figure is based on the capital cost of lithium
Ion batteries amortized over the service life of the battery.
For example, a battery of $150 per kilowatt
The hourly capacity with a life cycle of 500 costs will cost $150/500 or $0 over its lifetime. 30 per kilowatt-hour.
So if consumers try to store enough power in this lithium
She has to pay at least $0 to run her house. 30 per kilowatt-
Battery for one hour.
According to the environmental impact assessment, the average electricity price for American consumers is about $0. 10 per kilowatthour.
EU with an average price of 20 cents per kilowatt
Prices in India range from 2 cents to 15 cents, with similar sharp increases.
The problem is double.
Electricity pricing in the United States provides bad incentives for storing excess solar and wind energy, and expensive batteries.
During the day, when solar panels generate energy, electricity is more expensive and cheaper at night.
Utilities will buy excess solar energy generated by consumers during peak hours and recycle it into the grid and then sell it at a cheaper night price without solar panels producing energy.
Therefore, there are very few motivations for people to use solar energy.
If they can sell energy to utilities at peak prices and buy it back later at a cheap price, then they will grab the battery of energy during the day.
This is still a problem in most states.
But according to Matt Roberts, executive director of the trade group Energy Storage Association, Gates is wrong about the high cost of energy storage technology.
Roberts told Huffington Post by phone on Tuesday: "There is a view that costs need to be reduced for what is going to happen . ".
"The focus on costs is a bit far-fetched.
What we need to see is more focus on value.
"For the enterprise, long-term
The long-term benefits are obvious.
Last year's historic climate deal in Paris set a low
The carbon economy, which signals companies that renewable energy will be a smart investment, even if these tangible benefits will not emerge in the coming years.
According to Roberts, the cost of storing energy could fall by 50% over the next five years.
This makes sense.
Electric vehicle maker Tesla, which released two storage batteries last year, is currently building a $5 billion manufacturing plant in Nevada called the Gigabit battery plant, which is expected to be in it
Than the ion batteries produced worldwide in 2013 within one day.
Roberts said Gates will better serve the renewable energy campaign by highlighting the positive outlook for energy storage rather than pointing out the obstacles that are already falling.
"These costs are still falling," he said . "
"But the big thing that opens this is value.