Previous Module
Grid Storage Economics

Storage Siting: Where to Build?

Understanding the complex challenges of locating energy storage facilities in the right places

The Storage Siting Challenge

Energy storage siting is one of the most complex challenges in the energy transition. Unlike traditional power plants, storage facilities can be located almost anywhere, but optimal placement requires balancing technical, environmental, economic, and social factors. Poor siting decisions can lead to higher costs, environmental damage, community opposition, and grid integration challenges.

Different storage technologies have vastly different siting requirements. Lithium-ion batteries can be deployed in urban environments, while pumped hydro requires specific topography. Compressed air storage needs underground caverns, and flywheels thrive in city centers. Understanding these requirements is crucial for successful project development.

Why Siting Matters

Proper siting can reduce costs by 20-50%, improve project timelines by months, and increase community acceptance. Poor siting can doom projects before they begin, regardless of the technology's technical merits.

Interactive Storage Technology Siting Matrix

🔋

Lithium-ion Batteries

💧

Pumped Hydro Storage

💨

Compressed Air Energy Storage

Flywheel Storage

🔥

Thermal Storage

Siting Criteria Matrix

Hover over criteria to see descriptions. Higher scores (5) are better for siting.

TechnologyLand Use IntensityEnvironmental ImpactCommunity AcceptanceGrid IntegrationSiting CostScalability
🔋Lithium-ion Batteries
3
Moderate
4
Good
5
Excellent
5
Excellent
4
Good
5
Excellent
💧Pumped Hydro Storage
1
Very Poor
2
Poor
2
Poor
4
Good
2
Poor
3
Moderate
💨Compressed Air Energy Storage
2
Poor
3
Moderate
3
Moderate
4
Good
3
Moderate
4
Good
Flywheel Storage
4
Good
5
Excellent
4
Good
5
Excellent
4
Good
2
Poor
🔥Thermal Storage
3
Moderate
4
Good
4
Good
3
Moderate
3
Moderate
4
Good