Having the flexibility to adapt business models as the energy storage market is becoming increasingly diverse and sophisticated, driven by technological innovations and evolving market conditions. These models not only enhance the economic viability of energy storage projects but also play a crucial role in the broader energy transition towards a more sustainable and resilient grid network across Europe and beyond.

In this article, we’ll showcase how Trina adapts its business model in response to market changes in an approach that is multifaceted, focusing on vertical integration, standalone storage projects, and strategic investments. Whilst countries in Europe have a different approach to integrating energy storage into their energy infrastructure, we’ll focus on how the UK, Spain & Italy have policies connected to the respective Governments.

Vertical integration

Vertical integration remains a cornerstone of our strategy. By controlling the entire value chain; from manufacturing our own lithium iron phosphate (LFP) cells to integrating them into our Elementa series Battery Energy Storage Systems (BESS), we ensure high quality, cost efficiency, and reliability. This approach allows us to respond swiftly to market demands and technological advancements, maintaining our competitive edge and ensuring that our products meet the highest standards of performance and safety.

Energy Storage News recently interviewed Helena Li, Trina Solar executive president, and they mentioned that: “Trina Solar is known for its vertical integration in everything from materials processing to cells and modules and even solar trackers, Trina Storage makes its own battery cells, which equip products like the Elementa series for grid-scale battery applications.“ Following this, Helena Li replied saying, “In an increasingly competitive market, Trina always tries to have the best quality controlled, mass production skill set.”

Standalone storage projects are becoming increasingly vital as the energy market shifts towards more complex trading and grid services. These projects provide essential services such as frequency regulation, grid stability, and peak shaving. Our Elementa 2 system, with its high capacity and advanced management features, is designed to meet these needs efficiently. By participating in capacity markets and renewable-plus-storage auctions, we secure stable revenue streams and support the broader energy transition.

Standalone storage projects

Standalone storage projects are becoming increasingly important as the energy market shifts towards more advanced utility-scale grid network solutions. As an evolving strategic proposition, they play a crucial role in energy outreach and frequency regulation. By storing excess energy and releasing it during peak demand, they help balance the grid, ensuring stability and preventing outages. They also assist in maintaining the grid's frequency, enhancing overall grid reliability and efficiency.

Trina is at the forefront of developing innovative standalone storage solutions. Our advancements in lithium-ion battery technology and system integration offer superior performance and reliability. To date, we have delivered 1GWh in standalone projects that meet the UK market needs; these innovations provide large-scale energy management benefits, including enhanced grid services, reduced operational costs, and improved energy efficiency for utility-scale and C&I customers.

Solar + Storage operating model

With our extensive 20+ years of experience in the solar industry, we have positioned ourselves as a leader in the rapidly growing solar plus storage market. The company's dedicated global storage business unit launched in 2015 demonstrating our commitment to providing innovative and integrated solar plus storage solutions.

It's our approach to solar + storage that leverages vertical integration capabilities, extending from materials processing to cells, modules and even solar trackers. This comprehensive expertise allows Trina to offer highly efficient and cost-effective solutions that address the intermittency of renewable generation while maximising energy use.

Here are some of Trina's latest highlights:

• Over 5GWh of installed energy storage systems globally by the end of 2023.
• ESS production capacity is expected to reach more than 25GWh annually by Q2 2024
• Delivery of integrated and flexible solutions that enhance grid stability and resilience across various markets.

Our forward-thinking strategies with the solar + storage model are backed by continuous innovation. Trina's latest offerings, such as the Elementa 2 containerised BESS solution, feature both 306Ah & 314Ah Trina Storage cells with an expected lifetime of 12,000 cycles. This level of vertical integration allows Trina to respond directly to customer needs and market trends.

Investment in energy storage

Investment in energy storage is experiencing significant growth, driven by increasing demand for renewable energy integration and grid stability.

Global investment in energy transition technologies, including energy storage, reached $1.8 trillion in 2023, a 17% increase from the previous year. This surge reflects growing interest from various sectors:

• Investment funds
• Governments
• Utility companies

Government policies and incentives are playing a crucial role in driving energy storage investments because they offer a range of benefits including the following:

• Supportive policies
  Many countries are implementing strategies to encourage energy storage deployment.
• Financial incentives
  Governments are offering grants, tax credits, and other financial support. The US Inflation Reduction Act, for example, provides significant tax incentives for energy storage projects.
• Regulatory frameworks
  Policymakers are developing regulations to integrate energy storage into electricity markets, creating new revenue streams for storage operators.

With a broad knowledge of these initiatives, we are able to leverage positions within the broader Trina ecosystem. Trina Storage is well-equipped to attract investment and drive innovation in the rapidly growing energy storage market.

Government policy

UK

The UK government has emphasised the need for long-duration energy storage to support its Net Zero targets by 2035. Recent policy shifts, such as the introduction of capacity markets and strategic reserves, aim to enhance grid reliability and integrate more renewable energy sources. Trina Storage is well-positioned to capitalise on these opportunities with our advanced storage solutions that meet stringent regulatory requirements and offer long-term reliability.

Spain

Spain's regulatory environment is evolving to support renewable energy and storage integration. The recent Royal Decree-Law 8/2023 extends administrative milestones and introduces new procedures for grid access, making it easier for storage projects to come online. Trina's strategic focus in Spain includes leveraging these regulatory changes to expedite project development and enhance grid services through highly efficient and reliable storage systems.

Italy

Italy's energy storage market is encouraged by supportive policies and significant investments in renewable energy infrastructure. The NRRP's focus on green transition and technological innovation aligns perfectly with our capabilities. Italy's high electricity prices and strong demand for renewable integration make it a prime market for Trina's storage solutions, designed to maximise efficiency and reduce costs for utility-scale and commercial applications.

It's important to note that all European countries adopt varied approaches to energy storage integration due to a combination of regulatory, economic, and infrastructural factors.

Conclusion

Trina Storage's evolving business model reflects our commitment to innovation, quality, and customer-centric solutions.

By focusing on vertical integration, standalone storage projects, and strategic investments in key markets, we are well-equipped to meet the dynamic needs of the energy storage sector. As we continue to expand our footprint and enhance our product offerings, we remain dedicated to supporting the global energy transition and delivering reliable, efficient storage solutions to our customers.

For more detailed insights and to explore our innovative, market-leading energy storage solutions, please contact our team at Trina Storage.