Top 5 Benefits of Residential Battery Storage with Solar PV

As more homeowners invest in solar PV systems, adding residential battery storage has become a game-changer for maximizing solar energy and boosting energy independence. In this post, we explore the top five benefits of pairing battery storage with solar PV.

Introduction

Solar energy is transforming the way we power our homes, providing a renewable, sustainable source of electricity. However, traditional solar PV systems alone don’t solve one key challenge: they only produce energy when the sun is shining. By adding residential battery storage, homeowners can store excess solar energy for use when they need it most, providing greater control, savings, and reliability. Let’s explore the top five benefits of combining battery storage with a solar setup.

Benefit 1: Energy Cost Savings

One of the biggest advantages of battery storage is the potential for significant energy cost savings. With solar batteries, homeowners can store excess energy generated during the day and use it during peak hours when electricity rates are higher. In Germany, for instance, electricity prices have steadily increased over the past decade, reaching an average of 0.32 EUR per kWh for households. 

By avoiding high evening rates and drawing on stored solar power instead, households can reduce their overall electricity costs. According to the U.S. Department of Energy, using stored solar energy can lower monthly energy bills by up to 30% for some homes, depending on their energy consumption patterns. Over time, these savings add up, making battery storage a smart financial choice.

Benefit 2: Increased Energy Independence

Battery storage empowers homeowners by reducing reliance on the traditional grid. During the day, a solar PV system might generate more electricity than a household consumes, allowing the surplus to be stored in the battery. Later, when the solar panels aren’t producing power (such as at night or on cloudy days), homeowners can draw on this stored energy rather than relying on grid electricity. This means that in a realistic case 60-80% of your consumed electricity is produced by you. And only 20-40% must be purchased from the grid. This gives you, especially during summer, nearly full autonomy over your daily electricity consumption.

This independence means reduced vulnerability to utility price hikes and less dependency on fossil fuel-based energy sources. Also, home batteries can play a vital role in achieving a more resilient and decentralized energy grid.

Benefit 3: Backup Power During Outages

In regions where power outages are becoming more frequent, having a reliable backup power source is invaluable. According to a report from the U.S. Energy Information Administration (EIA), American homes experienced an average of eight hours of power interruptions in 2020, marking a steady increase over previous years. In Europe, climate events and infrastructure changes have also led to more frequent outages. 

A home battery system can provide crucial backup electricity during such interruptions, ensuring that essential devices and appliances keep running. This peace of mind is especially valuable for people with medical equipment needs, remote work setups, or a general desire to maintain comfort and safety in their homes.

Benefit 4: Positive Environmental Impact

Battery storage not only benefits homeowners but also contributes to a more sustainable future. By storing and using more of the solar energy produced on-site, homeowners reduce their reliance on non-renewable energy sources, leading to lower carbon emissions. 

According to the Solar Energy Industries Association (SEIA), each kWh of solar energy generated can offset approximately 0.5 kg of CO₂ emissions. When combined with battery storage, more solar energy can be retained and used, maximizing the environmental impact of a PV system and reducing the need for backup from fossil-fuel-generated electricity. For a typical household with a middle sized PV system of 5 kW and a storage capacity of  6 kWh, the CO2 savings would equal to the amount of CO2 emitted by driving your family car 7000 km.

Benefit 5: Potential for Future Smart Home Integration

As smart home technology advances, residential battery storage is poised to play a critical role in energy management. Many battery systems are already compatible with smart home ecosystems, allowing for better control and automation of energy use. For instance, systems like Tesla’s Powerwall or LG Chem’s RESU are designed to integrate with home energy management systems, providing real-time data on energy use and storage levels.

Investing in battery storage now opens the door to future integrations, including features like time-of-use energy management and predictive charging that is making it a valuable.

Benefit 6: Additional Revenue and Faster Payback Time

It is clear that when the sun shines, we have two options either to consume it or to sell it to the grid. However, including a battery system, adds another option besides storing excess energy for self consumption later in the day. 

In Europe the consumption peaks of a country are usually around 8 a.m when most people wake up and 6 p.m when most people come home.This are also the times when electricity costs the most. Let's check out the following graph for the 25th of October in Germany:

In green the stock market price for electricity in ct/kWh and in blue the daily average

Source: https://transparency.entsoe.eu

Imagine the following scenario:

You have a middle sized energy storage of 6 kWh capacity. At 2 am during the night time electricity costs cheap at around 7 ct/kWh. You buy this electricity and charge up your storage fully. 6 kWh times 7ct/kWh equals expenditures of 42 cents. Going now to 8 am. Electricity prices doubled. Now you sell the electricity by discharging your storage partly. And this leads to additional earnings of potentially 35 cents on a daily basis. However, you can do this several times a day. Taking a more conservative estimation you can save up to 100€ additionally by using this functionality, reducing the payback time of your battery by 1-3 years. And finally saving up to 10% of your yearly electricity costs according to a recent IRENA study.

Conclusion: Discover Your Best Battery Storage Solution

Residential battery storage is an empowering technology, offering homeowners greater energy control, financial savings, and peace of mind. If you're considering adding battery storage to your solar PV system, start by exploring your options with StoreNow’s new beta tool. Our platform is designed to match you with the best storage solutions tailored to your needs—helping you maximize the benefits of solar energy with ease. 

Ready to take control of your energy and unlock your residential potential in a few minutes? Visit StoreNow data-driven platform and discover the perfect battery storage solution for your home today!

Sources:

1. Electricity Prices in Germany: Eurostat, "Electricity Prices for Household Consumers," [Eurostat](https://ec.europa.eu/eurostat/statistics).

2. Energy Cost Savings from Battery Storage: U.S. Department of Energy, "Solar and Battery Storage Savings," [Energy.gov](https://www.energy.gov/).

3. Backup Power During Outages: U.S. Energy Information Administration (EIA), "Electric Power Monthly," [EIA](https://www.eia.gov/todayinenergy/detail.php?id=50316).

4. Environmental Impact of Solar Energy: Solar Energy Industries Association (SEIA), "Environmental Benefits of Solar Energy," [SEIA](https://www.seia.org/).

5. Smart Home Integration with Battery Storage: Tesla Powerwall and LG Chem RESU specifications, [Tesla](https://www.tesla.com/powerwall) and [LG Chem](https://www.lg.com/).