BESS System: everything you need to know

Energy storage systems, known as BESS (Battery Energy Storage Systems), have become a key solution for companies seeking to optimize their electricity consumption, reduce electricity bills, and improve their environmental footprint.

This technology is increasingly in demand due to current trends in energy efficiency and environmental sustainability, adopted mainly by industrial and commercial companies to optimize processes and conserve resources.

What is a BESS system and why is it important?

The BESS system is designed to store electrical energy in batteries and manage its use efficiently. Unlike a conventional battery, a BESS system not only includes batteries, but also components such as inverters, transformers, and an EMS (Energy Management System, which is control software).

The importance of BESS systems lies in their ability to solve critical problems in the energy sector, such as peak demand management, power quality, economic savings in the amount of energy consumed, continuity in the power grid, and the integration of renewable energies.

In addition, they enable companies to reduce their energy costs by up to 35% and comply with energy quality regulations, such as the Network Code in Mexico, which establishes that companies must comply with energy quality parameters in relation to harmonics, power factor, etc. Specifically speaking about the power factor, it is established that it must be above 0.95, and companies that manage to maintain these levels are “rewarded” by the CFE with a corresponding discount on their electricity bill. On the other hand, those that fall below the established power factor will be charged a “penalty” on their bill.

How does a BESS system work?

In Mexico, the operation of a BESS system is closely related to the hourly rates (base, intermediate, and peak) established by the Federal Electricity Commission (CFE) for large energy consumers (commercial and industrial).

The CFE charges different rates depending on the time of day when energy is consumed:

• Base time: 11:00 p.m. to 6:00 a.m. (lowest energy rate).
• Intermediate time: 6:00 a.m. to 6:00 p.m. (average energy rate).
• Peak hours: 6:00 p.m. to 10:00 p.m. (highest energy rate and demand charge).

These concepts are also essential to understanding how an Industronic BESS system works, as it is based on two key strategies: load shifting and peak shaving.

1. Load shifting: consists of charging the BESS during base hours, i.e., when electricity is cheapest, and discharging it during peak hours, when the rate is highest. This allows companies to use energy (kWh) efficiently. The same amount of energy or kWh is being consumed, but more efficiently, as that energy is charged at the lowest price.
2. Peak shaving: this process involves reducing demand peaks (kW) during peak hours. It should be noted that CFE only charges for the highest peak demand (kW) of the entire month during peak hours. This charge is called “Capacity.” By discharging the energy previously stored in the batteries during peak hours, demand is reduced and, therefore, the maximum peak recorded by CFE. This translates into a decrease in the capacity charge, which in turn is directly reflected in savings on the total monthly bill. This capacity charge represents about 30% of the total cost of the bill, so reducing this cost generates savings corresponding to that 30%.

Therefore, the BESS is operated for both peak shaving and load shifting. It is charged when electricity is cheap and discharged when it is expensive. As a result, customers can save up to 35% of the total cost of their electricity bill.

As mentioned above, the BESS control software is essential for optimizing the processes mentioned above. The control software or Energy Management System (EMS) acts as the “brain” of the BESS, as it is responsible for managing how the batteries are charged, at what times they are charged and discharged, and in what proportion. It also monitors energy consumption, system parameters, power quality, and savings generated in real time.

This control software is developed entirely by Industronic. It is used to control all parameters of the Industronic BESS, depending on the type of project or customer profile, to optimize or customize your system. In addition, through AI, the software forecasts consumption, loads systems, optimizes consumption, discharges energy, monitors more than 9,000 system variables, and therefore ensures that energy is always available to operate and generate savings.

Benefits of implementing a BESS system

The implementation of a BESS system offers multiple advantages for companies, including:

1. Economic savings: BESS systems can reduce electricity bills by up to 35% by optimizing consumption during peak hours and reducing demand peaks.
2. Power backup: BESS systems can guarantee operational continuity by storing energy that can be used when the power grid is not supplying power to the customer. And when combined with UPS, they can do so with automatic transfer, meaning no interruption in power supply.
3. Improved power quality: By filtering the energy passing through the system, BESSs ensure greater stability and quality in the power supply, which is crucial for sensitive industrial operations. They also help to comply with the Grid Code.
4. Sustainability: By charging batteries during off-peak hours, when energy is generated using cleaner technologies, and discharging them during peak hours, when more polluting sources are used, BESS systems help reduce companies’ carbon footprint.
5. Customization: BESS systems are highly flexible as they can be tailored to the specific needs of each company. For example, two companies may pay the same amount on their electricity bill but have completely different consumption profiles. One may consume more energy during base hours, while the other may have higher consumption during peak hours. BESS systems through Industronic’s EMS adjust to these differences, optimizing consumption according to each company’s needs and maximizing savings.
6. Attractive return on investment: The return on investment is typically 3 years on average, with a useful life of 20 years. This represents an attractive investment and project for any company.

Applications of BESS systems in industry and the energy sector

BESS systems have a wide range of applications in different industrial and energy sectors. The best candidates for implementing these systems in Mexico are companies with electricity bills exceeding 400,000 pesos per month (GDMTH, DIST, and DIT rates). These systems are ideal for sectors such as:

• Manufacturing: companies such as those in the textile, automotive, or food sectors with high energy consumption.
• Retail, supermarkets, and shopping centers: these establishments tend to have high energy consumption due to air conditioning and strategic lighting in restaurants or areas with products that require refrigeration.
• Airports and ports: critical infrastructure that requires a stable and reliable power supply can use BESS systems as backup, as well as to reduce operating costs.
• Hotel industry: especially large hotels, which have constant energy consumption due to lighting and air conditioning in corridors, rooms, and entertainment areas.
• High-capacity clinics and hospitals: Hospitals require a constant and reliable power supply to operate critical medical equipment. BESS systems not only help reduce costs, but also provide backup power in the event of power outages.

Factors to consider before implementing a BESS system

Before implementing a BESS system, it is important to consider several factors such as:

1. Energy consumption: the system must be sized according to the company’s consumption profile, as it is essential to reduce the kWh energy consumed and peak demand at peak times as much as possible. This is especially important when using small, optimized systems controlled by control software. Industronic carries out customized projects for each company and each connection.
2. Maintenance: BESS systems require minimal maintenance, mainly cleaning. However, it is essential to have a supplier that offers continuous technical and operational support to carry out preventive maintenance, not just corrective maintenance. In the case of Industronic, thanks to BESS monitoring through the EMS and its specialized team of technical support engineers, you will be able to carry out maintenance more efficiently.
3. Physical space: BESS systems are compact and can be installed indoors or outdoors without the need for additional infrastructure or specific conditions, as the containers or modules are designed to withstand a variety of environmental conditions.

BESS and the future of energy storage

The future of energy storage is closely linked to the evolution of BESS systems. This solution has been developed and operated worldwide for many years. Currently, the most developed and proven battery technology is lithium-ion, thanks to its characteristics (longer service life and higher energy density, allowing more energy to be stored in less space). However, other technologies may be implemented in the future, such as sodium or hydrogen.

In addition, the growing integration of renewable energies into the electricity grid will make BESS a key component in ensuring the stability and efficiency of the global energy system.

Why choose Industronic for the implementation of your BESS system?

At Industronic, we specialize in providing customized, high-quality energy storage solutions. Our BESS systems use Tier 1 batteries, ensuring safety, durability, and efficiency. In addition, we have advanced proprietary control software that allows our customers to monitor and manage their energy consumption in real time. These actions are carried out taking into account a set of important variables that will help optimize consumption: savings, battery SOH (or health), essential variables such as equipment temperature, energy consumption behavior, environmental impact, and energy quality. Similarly, Industronic’s BESS offers customers access to a platform for viewing all this information in real time, as well as allowing the download of information and historical data.

In terms of financing, Industronic offers a range of options to facilitate the acquisition of these systems. In addition to direct purchase, companies can opt for leasing schemes, where the savings generated by the system cover the cost of the lease. In other words, the equipment pays for itself. There are also staggered payment options, which allow companies to spread the cost over different stages, reducing the initial financial impact.

It is important to note that our BESS systems are designed with a recyclable life cycle approach. At the end of their 20-year useful life, the battery components can be recycled. This not only reduces the environmental impact but also contributes to a circular life cycle, where materials can be reused in other processes or products.

In conclusion, our commitment to sustainability and innovation consolidates us as leaders in the energy sector, offering advanced technological solutions and solid support for our customers’ energy future. As a Mexican company with more than 50 years of experience and a presence throughout the country, we guarantee energy optimization and quality. In addition, our BESS systems can be integrated with other power quality equipment, providing complete and efficient solutions.