Battery Energy Storage Financing Structures and Revenue Strategies Post-Inflation Reduction Act | Practical Law

Battery Energy Storage Financing Structures and Revenue Strategies Post-Inflation Reduction Act | Practical Law

This Practice Note discusses changes to financing structures for battery storage projects after the enactment of the Inflation Reduction Act. This Note also discusses the fixed and variable revenue sources available to battery storage projects based on the benefits they offer to electricity customers and grid operators. These benefits include shifting delivery of energy to times of high demand, frequency regulation, demand charge management, and voltage control.

Battery Energy Storage Financing Structures and Revenue Strategies Post-Inflation Reduction Act

by Mike Klaus, Milbank LLP with Practical Law Finance
MaintainedUSA (National/Federal)
This Practice Note discusses changes to financing structures for battery storage projects after the enactment of the Inflation Reduction Act. This Note also discusses the fixed and variable revenue sources available to battery storage projects based on the benefits they offer to electricity customers and grid operators. These benefits include shifting delivery of energy to times of high demand, frequency regulation, demand charge management, and voltage control.