Rising Electricity Demand Challenges Traditional Energy Strategies
Global electricity consumption is surging due to digitalization and electrification. The International Energy Agency (IEA) projects that data centers alone will consume 945 TWh annually by 2030. In the U.S., total electricity demand is expected to rise by 25% between 2023 and 2030. This trend places significant pressure on industrial automation systems, control systems, and factory operations to manage energy more efficiently.
Battery Storage: A Strategic Tool for Energy Flexibility
Battery energy storage systems (BESS) enable energy shifting—storing excess renewable energy and discharging it during peak demand. This reduces reliance on fossil fuel-based generators and enhances grid stability. For industrial facilities using PLCs and DCS platforms, integrating BESS supports load balancing and improves energy resilience.
However, despite the benefits, high capital costs and complex infrastructure have limited BESS adoption in commercial and industrial sectors.
Removing Barriers with BESS-as-a-Service
ABB and GridBeyond propose a BESS-as-a-Service model to overcome procurement hurdles. This approach eliminates upfront capital expenditure and shifts the investment to a predictable operational expense (OPEX). Businesses gain access to behind-the-meter battery storage without assuming technology or performance risks.
ABB handles system design, installation, and lifecycle management, including maintenance and replacement. This model aligns with procurement strategies focused on cost control and risk mitigation.
Transitioning from CapEx to OPEX in Energy Procurement
Traditional procurement models require significant capital investment, which can delay or prevent energy storage deployment. BESS-as-a-Service transforms this by offering a managed service agreement over 10 to 20 years. This shift supports agile energy strategies and aligns with broader digital transformation initiatives in industrial automation.
By outsourcing battery operations to ABB, companies can focus on core production while benefiting from energy cost savings and improved sustainability metrics.
AI-Driven Optimisation Enhances BESS Performance
To maximize return on investment, BESS assets must operate intelligently. GridBeyond’s AI platform enables real-time optimization by forecasting renewable generation, market prices, and load profiles. This ensures batteries participate effectively in energy markets and support dynamic load management.
AI algorithms analyze historical data, weather trends, and operational patterns to optimize dispatch schedules. For facilities with integrated control systems, this enhances coordination between energy storage, production lines, and auxiliary systems like HVAC or EV charging.
Strategic Value for Industrial Automation and Control Systems
For manufacturers and facility operators, BESS-as-a-Service offers more than energy savings. It supports decarbonization goals, improves energy independence, and enhances operational resilience. When integrated with factory automation platforms, BESS can stabilize voltage, reduce peak demand charges, and support microgrid configurations.
This model also complements other smart infrastructure investments, including heat pumps, EV charging stations, and renewable generation assets.
Expert Insight: A Scalable Model for the Energy Transition
Stuart Thompson of ABB emphasizes that battery storage now delivers immediate financial and operational value. By removing financial and technical barriers, the as-a-service model empowers businesses to adopt advanced energy solutions without disrupting cash flow.
Michael Phelan of GridBeyond highlights AI’s role in navigating volatile energy markets. Their platform ensures that BESS assets remain agile, competitive, and aligned with evolving grid conditions.
Application Scenario: BESS-as-a-Service in a Smart Factory
Consider a mid-sized electronics manufacturer with a 5 MW solar array and a PLC-based control system. By adopting BESS-as-a-Service, the facility stores excess solar energy during midday and discharges it during evening production peaks. The AI platform forecasts demand and market prices, enabling the battery to participate in demand response programs. As a result, the factory reduces grid dependency, lowers energy costs, and improves power quality—without any upfront investment.