Arbitrage remains leading use case for US grid-scale batteries

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From ESS News

The latest data from the US Energy Information Administration (EIA) confirms that arbitrage – the practice of buying electricity when prices are low and selling it when prices are high – remains the dominant use case for utility-scale battery energy storage systems in the United States.

In 2024, operators reported that 66% of all utility-scale battery capacity included arbitrage among its applications, while 41% of total capacity was used primarily for arbitrage.

The next most common application was frequency regulation, which was the primary use for 24% of battery capacity. Frequency regulation plays a critical role in maintaining the grid’s stability by keeping it operating at a steady 60 cycles per second.

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