How does energy storage work?

MeterHome’s battery energy storage system (BESS) converts and stores electricity from renewables like solar or wind, or during off-peak times when electricity is cheaper. It releases stored energy during peak demand or when renewable sources are inactive (e.g., nighttime solar), using components like rechargeable batteries, inverters for energy conversion, and sophisticated control software. This technology reduces reliance on costly peak-power plants, lowers greenhouse gas emissions, and enhances grid stability. BESS plays a critical role integrating renewable energy into our electricity grids by helping to address the inherent supply-demand imbalance of intermittent renewable resources. BESS contributes to grid stability by absorbing excess power when production is high and dispatching it when demand is high. This leads to fewer power blackouts and ensures a more consistent electricity supply, particularly during extreme weather events.

BESS or Battery Energy Storage System

BESS stands for Battery Energy Storage System. BESS is a technology that uses batteries to store energy, typically for later use, and is increasingly important in the context of renewable energy integration and grid stability. BESS allows homeowners to control their energy consumption and spending, while providing peace of mind backup power during outages or energy interruptions.

ESS Inverter

An energy storage system (ESS) Inverter is a smart and versatile component that enables the efficient use of stored energy, the integration of renewable energy sources, and the creation of more resilient and cost-effective power solutions.

ESS Battery

An energy storage system (ESS) battery is often used in conjunction with a larger energy storage system to store electrical energy for later use. These batteries are commonly part of systems designed to manage and store energy from renewable sources like solar and wind.

BMS or Battery Management System

A battery management system, or BMS, is smart technology that oversees a big battery made up of lots of smaller batteries. It helps make sure the battery gives just the right amount of power, for just the right amount of time, to whatever it’s helping—like a house, a car, or a toy—so everything works the way it should.

RMS or Remote Monitoring System

A remote monitoring system, or RMS, enables MeterHome to monitor your battery 24/7. This cloud-based monitoring service is critical to ensure your MeterHome battery is running smoothly to deliver maximum on-time and energy savings. Our industry-leading software means that your MeterHome battery can self-diagnose and remotely fix issues that may arise before you even know something is wrong.

Peak Utility Rates

Many utility companies charge users a different rate for their energy, depending on the time of day. Higher electricity rates are charged during periods of high demand on the power grid, typically in the afternoon and evening on weekdays during summer months. These rates are higher because the utility company has to generate more power to meet the increased demand, which can involve using more expensive resources or running additional power plants. Off-peak rates are lower because the demand on the grid is lower, often during the nighttime hours and on weekends.

Time of Use

Adjusting your energy consumption schedule to align with peak rates is known as Time of Use. By using stored battery energy during peak rate hours, most MeterHome customers save 20% – 60% on their monthly energy bills.

Net Metering

Network metering, or net metering, is a way to measure and account for the net flow of electricity between a customer and the utility grid. It is a billing mechanism where a customer with on-site electricity generation (like solar panels) is credited for the excess electricity they send back to the grid. This credit is then used to offset their energy consumption from the grid at a later time, typically within the same billing cycle. Utilities in some states, like California, have devalued the credit each home receives for the kilowatt hours they feed back to the grid.

Peak Shaving

Peak shaving is a strategy used to reduce electricity costs by minimizing energy consumption during periods of high demand, often referred to as peak hours, and lowering demand charges. Peak shaving involves either reducing power consumption or using on-site energy sources like battery storage to supplement the grid during peak demand.

Load Shaving

Load shaving is a strategy to reduce or eliminate spikes in electricity consumption, primarily to lower energy costs and improve grid stability. This is achieved by temporarily reducing power usage during peak demand periods, either by scaling down operations, utilizing on-site power generation, or relying on energy storage systems like batteries.

VPP or Virtual Power Plant

A virtual power plant (VPP) is a network of small to medium power generating, consuming, and storage devices that are remotely operated to respond to increases in demand on the electrical grid. VPPs provide power and demand response that replaces gas-fired “peaker” power plants, which are more expensive and produce more emissions than other types of power plants.

Critical Loads

Critical loads are those connections to the meter that are essential for maintaining operations and/or safety during an energy blackout or event. For hospitals, critical loads include emergency lighting, necessary medical equipment, and communication centers. For a homeowner, critical loads might be the refrigerator, lights and WiFi.

Main Panel

The main electric panel sends power to the home’s electrical circuits.

Backup Panel

A backup panel is the control center for a household’s critical loads. When a power outage occurs, the backup panel sends power to the house’s chosen critical loads (e.g., refrigerator, lights, WiFi, etc.).

Emergency Backup Power

Emergency backup power is a system designed to provide electricity during interruptions of the primary power supply, like a blackout or energy event.

Frequently Asked Questions