What is liquid air energy storage (LAES) and how does it work?

Liquid air energy storage (LAES) is a technology that converts electricity into liquid air by cleaning, cooling, and compressing air until it reaches a liquid state. This stored liquid air can later be heated and re-expanded to drive turbines connected to generators, producing electricity. LAES offers a unique approach to energy storage, sharing some characteristics with compressed air storage but providing advantages such as higher energy density, fewer geographical constraints, and the ability to utilise existing components from the chemicals and oil and gas industries, which can lower infrastructure and maintenance costs.

What are the advantages of LAES compared to other energy storage technologies?

One of the primary benefits is its geographical flexibility, as LAES does not require proximity to water sources or existing power grids like pumped storage hydropower (PSH) and battery energy storage systems (BESS). The technology also benefits from established legacy systems, allowing for reduced construction times and costs. Furthermore, LAES systems can potentially last up to 50 years with proper maintenance, significantly outlasting conventional batteries.

What are the current challenges facing LAES technology?

Despite its potential, LAES faces significant challenges, particularly regarding energy efficiency and economic viability. The round-trip efficiency of LAES systems currently ranges from 20% to 60%, which is lower than that of PSH and batteries. dditionally, the economic feasibility of LAES is contingent on external factors, such as the price of natural gas and the availability of subsidies. Without gas assistance, LAES has struggled to prove economically viable in various locations.

What is the future outlook for liquid air energy storage?

The future of liquid air energy storage appears promising, particularly as the demand for diverse and tailored energy storage solutions continues to grow. While current economic viability remains a challenge, ongoing advancements in technology and design are expected to improve both cost and energy efficiency. As financial support mechanisms, such as the UK's "cap and floor" pricing scheme, become more prevalent, they may facilitate the development of larger LAES projects.