Proving the Business Case for the Internet of Things

Stem to support grid response services for Hawaiian Electric

Iain Morris
September 16, 2014

Energy technology player Stem says it is working with Hawaiian Electric Company on providing support for grid response services.

The company is to deploy one megawatt of behind-the-meter energy storage during a demonstration project with the Hawaiian utility.

Stem (Millbrae, CA, USA) also says it will manage an advanced energy intelligence solution for commercial and industrial customers throughout the main island of Oahu.

The intention is to provide additional grid capability during periods of variable solar generation and peak demand.

Stem claims that its energy storage and data analytics technologies are able to predict and rapidly respond to spikes in customers’ electricity demand and then draw on stored power to reduce energy costs without affecting operations.

The company also plans to take advantage of Hawaiian Electric’s (Honolulu, HI, USA) renewable forecasting and monitoring project during its work.

Stems says the deployment will ultimately support the transformation of the Hawaii electric grid from one that is mainly dependent on fossil fuels to one that incorporates large amounts of solar and wind.

“Hawaii’s renewable energy growth and isolated location present unique and significant challenges for local grid operators,” said John Carrington, the chief executive of Stem. “Utilities and regulators are watching Hawaii to determine the viability of storage-enabled grid services.”

The project will see Hawaiian Electric and Stem work together on identifying and enlisting the participation of commercial and industrial customers using rooftop solar systems.

They expect all installations to be completed by March 2015.

“We see energy storage supported by smart grid software as an increasingly essential component of the modern grid,” said Alan Oshima, the incoming president and chief executive of Hawaiian Electric. “Through partnerships with innovators like Stem, we will further modernize our system, integrate more renewables, and better serve our customers at lower costs.”
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