Peak shaving
Battery storage smooths the peak load, reducing the peak power drawn from the grid — and with it the contracted capacity charge.
In peak shaving (peak demand reduction), battery storage discharges during consumption peaks, so the peak power drawn from the grid becomes lower. If this also allows the contracted capacity to be reduced (in agreement with the distribution system operator), that is a direct annual saving.
Example: at medium voltage (KÖF), the contracted capacity charge is 15,924 HUF/kW/year — a 100 kW peak reduction ≈ HUF 1.6 M/year in savings, independent of arbitrage.
This is the third source of BESS value, alongside arbitrage and capturing solar clipping. The charge components: Network usage charges.
Related terms
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