The large amounts of solar and wind energy supplied to the Dutch electricity grid are causing problems that impact companies’ ability to expand, according to Pieter Hofstede, CTO of ELIX, discussing the growth of energy storage solutions in the Netherlands.
What types of PV or solar plus storage projects does ELIX focus on?
ELIX is one of the largest EPC companies in the Netherlands and we have been around since 2016. We started with smaller PV projects and scaled up to C&I and to utility-scale PV projects. Our largest project, which will amount to 30 MWp, is currently under development this year. We have built with Huawei products from the beginning.
What we see in general is that the market is moving from mono-asset projects to multi-asset projects. So in addition to PV, we have also added ESS to our energy solutions for customers, and they are completely based on the Huawei product. We started with 0.2 MWh up to about 20 MWh, which is our largest project. We are also starting to work on EV projects so that we can offer our customers a complete energy solution.
In addition, we saw that our customers also needed an energy trading solution. That is why we are also an energy trader and are registered to buy and sell kilowatt hours on the Dutch energy trading markets.
We have responded to this transition from supplying PV to supplying complete energy solutions by expanding our engineering team. In the last three years we have gone from two engineers to currently eleven engineers. We understand that when we have the knowledge in our team, we can come up with a solution for the technical requirements of our customers.
Can you tell us something about the development of your current energy storage projects for the C&I segment?
At ELIX we start with a complete technical design based on the customer’s request and after assessing their business case. We then come up with a technical design that meets their energy needs. We also do a commercial assessment to find the best solution, so we know our customers are spending money in the right way. We then arrive at a final design and start with the general layout. We take full responsibility for obtaining the necessary approvals from authorities, including the Dutch Fire Department and the Dutch local government.
For the 6 MW/12 MWh distribution center project in Veghel, our customer wanted an energy system to power the center, and they wanted to use the battery for energy trading. The ESS system has already been ordered and there will be a total of six containers. Once the equipment is ready, construction will take approximately six weeks. This will be followed by the final two-week commissioning and design acceptance tests. So we will have a system running for the customer by the end of 2024.
We also have a large C&I project in Dordrecht, where we installed 1 MWh ESS using 15 Huawei’s SUN2000-100KTL inverters on the roof of a distribution center. This system can supply energy to the company and feed it directly back to the grid, depending on how much the customer uses. Any excess that the customer does not use is temporarily stored in the battery.
We also do energy trading with this battery system. So when the time is financially favorable to put energy into the grid, we fully supply the energy stored in the battery. And when energy prices are low, we purchase energy, store it in our battery and then supply the energy to the distribution center or back to the grid at certain times.
This also contributes to keeping the Dutch electricity grid stable. We have one of the most stable grids in the world, but due to high PV and wind production, there are times when we have way too much energy, and that surplus has to be pushed somewhere. Batteries are the perfect place to store excess energy.
Image: Huawei
How do you see the PV-plus-ESS market developing in the Netherlands and what impact will this have on the growth of electric vehicles?
In 2023, more than 50% of the total electrical energy that entered the electricity grid in the Netherlands came from sustainable sources. Because our networks cannot match the high construction and dismantling speeds when supply and demand are out of balance, we have quite a few problems with network congestion. ESS solutions therefore help to keep the energy system in balance, and that is what drives the growth of that market in the Netherlands.
The problems with congestion on the electricity grid also affect the growth of the Dutch EV market. For example, companies with electric trucks are having trouble charging their fleet due to network issues. Therefore, DC chargers are sometimes used in addition to ESS and PV to ensure that EVs can still be charged. 2025 and 2026 will be years for massive scale-up of BESS and EV DC charging solutions.
Moreover, the grid problems lead to expansion problems for companies. Our customers want to expand, but that is not possible because the grid operator is trying to keep the system in balance and will not provide a new connection or extra capacity for free. That is where we come into the picture: to compensate for that lack of capacity by adding an energy solution on top of the existing grid connection.
Can you tell us about your partnership with Huawei and why their products were selected for your projects?
We chose Huawei primarily because they have the best product range. Huawei supplies the power electronics critical to the system, as well as the battery cells, inverters and transformer stations. On the EV side, they offer the super fast DC chargers.
Moreover, Huawei has highly reliable, high-quality products, along with excellent support. For example, they have engineers in the Netherlands. They have very good product documentation. And ultimately, of course, a good price. For ELIX, Huawei is more than the product we receive. It is also the support and knowledge that helps us find a good solution.
This article appeared in Huawei Corporate Edition 2024. You can access and read the entire edition here.
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