|Date||May 19, 2022|
The 2022 Energy Storage Forum, co-hosted by European Union Centre in Taiwan, the ECCT LCI, and TÜV Rheinland, kicked start on May 19. I. On behalf of InfoLink, which served as the co-organizer, senior ESS analyst Dr. Fang-wei, Yuan and researcher Judy Zhao attended the event, providing detailed analysis of Taiwan’s energy market in terms of trends, policy frameworks, and practical experiences.
2021 marks a milestone for energy storage in Taiwan
Dr. Yuan commented on the status quo of energy storage in Taiwan. After Taipower signed the 15-MW bilateral contracts with five companies in an auction held in 2020, there are more concrete experiences for reference in terms of ESS project construction, commercial activities, and supply chain relations. Doubled with clearer business models and policy framework from the Taipower, 2021 was a decisive year for Taiwan’s energy storage industry.
Dr. Yuan attributes this to three key factors: “Clear profit models of ancillary services and the launch of power trading platform, the introduction of E-dReg that underscores Taiwan’s progress as to long-duration energy storage, and actively running energy storage supply chain.”
This year, Taipower’s continual efforts in promoting solar-plus-storage application underlines the grid’s dependence on energy storage and how energy storage has progressed from the grid side to the generation side. However, despite vigorous activities on the market, InfoLink projects Taiwan to see 100-120 MW of installed ESS capacity this year, a significant growth on the previous year, but disproportionate as compared with robust applications for feeders Taipower saw in 2021.
This is resulted from cell shortage, equipment price hikes, and the lack of companies capable of project construction, Dr. Yuan said. He expects evident increases in 2023 and 2024, putting forecast for installed ESS capacity by 2025 at 1.5 GW / 3 GWh.
Meanwhile, an energy storage accident this year underlines the imperative of establishing safety standards and fire code. Regarding the high-profile issue of battery safety, Dr. Yuan pointed out that the market should improve safety measures and regulations, rather than blaming the materials or even refraining from using it.
Just returning from Germany, Dr. Yuan also shared market insights from The Smarter E Europe this year, taking a leaf out of the book of European markets for Taiwan’s energy storage industry.
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Senior ESS Analyst
Dr. Yuan Fang-wei is a senior analyst with more than six years of experience in R&D in lithium-ion battery and related materials. With expertise in battery storage development, materials, and market forecasting, Dr. Yuan provides comprehensive data and insights of energy storage. Prior to joining InfoLink, Dr. Yuan has worked in China for three years. He holds a doctorate in Chemical Engineering from the National Tsing Hua University.