10MW/40MWh ESS project of Huale Alloy officially launch

On September 17, 2021, the 10MW/40MWh energy storage project of Huale Alloy Group Limited Company, which provided integrated energy storage system and technical services by Sermatec Energy, was officially started.
After the project is completed, it will provide a safer and more stable power supply for the Huale Alloy Plant, reduce the capacity electricity charge significantly, and obtain considerable economic benefits by using the price difference between peak and valley power in Jiangsu Province, so as to achieve the multiple value utilization of energy storage.
Using the 3S system independently developed by Sermatec Energy, the Huale Alloy Energy Storage Project not only breaks the barrier of information exchange among the core equipments of the energy storage system, but also provides the best charging and discharging strategy by taking the power demand and the time-of-use price in peak and valley into calculation, which ensures the energy storage system to maintain high safety and optimal operation status, reduces the operation and maintenance costs of the system, and realizes the economic value of the energy storage power station throughout its life cycle.

Benefit from peak-valley price is possible

At present, with the increase of installed capacity of new energy such as photovoltaic wind power and the guidance of national favorable policies, the energy storage market is growing rapidly.
Energy storage not only plays a key role in regulating and absorbing power generation side and power grid side, but with the adjustment and implementation of time-sharing electricity price policy in various provinces, its application in industrial and commercial markets which benefit from the price difference between peak and valley on the user side is also expanding rapidly on the basis of the previous widespread in North China.

Electricity price spread table in Jiangsu Province

From the perspective of domestic industrial and commercial electricity price in 2012, 50% of the regions can reach the 3:1 peak-valley price difference requirement, and the price difference is 0.5-0.7 yuan/kWh. If the peak-valley price difference increases to 4:1, that means the price difference is 0.75-1.05 yuan/kWh, then the arbitrage yield of peak-valley price difference is 12.4%-27.9%.
According to professional calculation, there are currently 9 provinces and cities with a peak-valley difference of more than 40%, which have arbitrage space for energy storage. They are Guangdong, Jiangsu, Shandong, Zhejiang, Beijing, Jiangxi, Henan, Hunan and Guangxi.
In the future, based on the Huale Alloy Energy Storage Project, Sermatec Energy will continuously explore new modes and new technologies, and create a national model for energy storage demonstration application. Sermatec Energy will provide solutions and services to more industrial and commercial customers, and strive to optimize China’s energy structure, enable new energy development and achieve the carbon peak and neutrality goal as soon as possible.

About Lianyungang Huale Alloy Group Ltd.

Lianyungang Huale Alloy Group Co., Ltd. is the first private enterprise in Jiangsu Province to produce stainless steel in the whole process. It has more than 1600 R&D and production employees with an annual output value of 8 billion yuan.
The company is located in Banqiao Industrial Park, Lianyungang City, covering an area of 15 acres. The main products of the first phase of the company are stainless steel heat treatment strip steel, which has formed a comprehensive production capacity of 460,000 tons of nickel-containing raw iron, 620,000 tons of stainless steel coarse steel and 600,000 tons of stainless steel strip steel. The annual sales are 6 billion yuan, and the profits and taxes are 500 million yuan.