

836: The Battery Paradox: Why C&I Solar Isn’t Installing Battery Storage
Jul 22, 2025
Jason Smith, Solutions Engineer at CPS America, dives into the intricacies of battery energy storage systems in commercial and industrial solar. He discusses major barriers hindering battery adoption, like complex installations and long lead times. Jason highlights exciting advancements that promise 3.5-year paybacks thanks to demand charge reductions. Learn about the significance of UL 1741 standards and how HVAC control can turn buildings into thermal batteries. This conversation is a game-changer for installers and developers eager to stay ahead in the energy storage landscape.
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Demand Charge Drives Battery Adoption
- Demand charge mitigation is the key driver for integrating batteries with commercial solar installations.
- Net metering changes have reduced revenues, increasing the attractiveness of battery storage for using PV power efficiently.
Battery Footprint Shrinks Dramatically
- The biggest barrier to C&I battery adoption is the large footprint of older battery systems.
- Advances in cell technology now allow for much smaller, denser battery systems, easing this constraint.
Faster Payback On Batteries
- Payback periods for commercial battery storage are shrinking, now as low as 3.5 years.
- This rapid payback happens before warranty expiration, driven mainly by demand charge reductions.