Battery Storage Systems: Prescribed Energy-Storage Projects

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The Nova Scotia Regulation 250/2023, formally titled “Prescribed Energy-Storage Projects Regulations,” was made on December 21, 2023, under the authority of the Governor in Council, pursuant to subsection 4D(9) of the Electricity Act. The regulation was established based on a report and recommendation submitted by the Minister of Natural Resources and Renewables. This regulatory framework addresses the implementation of energy-storage projects in Nova Scotia, specifically focused on battery energy storage systems (BESS), in alignment with the province’s goals of improving the energy grid’s efficiency and reliability.

The regulation officially prescribes Nova Scotia Power Incorporated’s (NSPI) lithium-ion battery storage project as an energy-storage project under Section 4D of the Electricity Act. These projects represent a key development in modernizing the province’s electrical grid to support the integration of renewable energy sources and manage energy demand more effectively. The regulations stipulate that NSPI must install three grid-scale lithium-ion batteries, each with a capacity of 50 MW and a 4-hour duration. The energy storage rating for each battery is set at 200 MWh, providing a substantial reserve of energy that can be stored and dispatched to the grid when needed. This ensures that these systems can support peak energy demands and provide critical backup power during periods of low renewable generation or other grid disruptions.

Each of these 50 MW battery systems will be housed in separate facilities at designated locations across the province. Specifically, the batteries are to be installed at the following sites: Bridgewater in Lunenburg County, the Canaan Road substation on White Rock Road in Kings County, and Spider Lake in Halifax County. These strategic locations will provide widespread benefits to different regions, improving the resiliency and flexibility of the power grid across Nova Scotia.

An important provision within the regulation is the requirement for NSPI to report annually on the status and performance of each battery project. This includes detailed reporting on the services provided by the batteries, such as load balancing, grid stabilization, or peak shaving, and the general usage of the facilities. These reports must be submitted to both the Board and the Minister of Natural Resources and Renewables each year up to and including 2030. The inclusion of such a reporting mechanism ensures transparency and accountability in the operation of these energy-storage systems and allows for ongoing assessment of their effectiveness in meeting the energy needs of the province.

The use of lithium-ion batteries in this capacity is intended to support the government’s goals of transitioning to a cleaner energy future by accommodating higher levels of renewable energy, such as wind and solar, into the electrical grid. By providing a reliable means of storing and dispatching energy as needed, these projects aim to mitigate some of the challenges associated with the intermittent nature of renewable energy sources.

Nova Scotia (250/2023) January 12, 2024