Emerging business models for energy storage: Applications to the power, transport and heat sectors

Energy storage seems set to play a key role in the transition to a low-carbon economy. The achievement of 2050 carbon emission targets set by the EU (emissions should be cut to 80% below the 1990 levels) will require an important electrification of the transport and heat sectors and also the decarbonisation of the power sector. Thus, the aim of this paper is to evaluate the different emerging business models regarding energy storage systems applicable in three case studies: power (distribution utilities); transport (electric vehicles for domestic use); and heat (heat pumps in residential buildings) sectors. A review and discussion of potentially relevant business models is undertaken in order to analyse the diverse frameworks (including innovation) and their suitability to the case studies. This will highlight the kind of services to be offered, how these services create value and how this value can be monetised. The main challenges in the implementation of energy storage (with a focus on market and regulatory issues) are also evaluated. This study will identify the emerging business models with the highest value and the related challenges within each of the three case studies.