A review of energy storage financing-Learning from and partnering with the renewable energy industry

Innovative financing mechanisms such as corporate power purchase agreements (PPAs), hybrid bonds, co-operatives, and flip-models have played a pivotal role in financing the development of renewable energy projects. Some elements of these mechanisms can apply to energy storage as well however, energy storage PPAs will be more complex than renewable energy PPAs due to the multifunctional capability of an energy storage facility. Energy storage developers can look to renewable energy as a guide for how nascent technologies can compete against established energy technologies in the market. The industry is in need of case studies, not to showcase that the technologies perform, but to demonstrate different mechanisms that projects can implement to achieve successful commercialization.