Insight certainty 4/5 debate potential 2/5

Jaramillo: 100-hour storage provides physical market hedge short duration cannot

Mateo Jaramillo · What do you do with a 100-hour battery? · Dec 14, 2023 · at 36:23

Mateo Jaramillo, CEO of Form Energy, explains how multi-day iron-air storage creates unique market hedging opportunities in wholesale electricity markets like MISO.

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“Having a hundred hour duration resource is a physical hedge against price spikes in a way that you can only really financially hedge right now unless you have, again, thermal resources. So it sort of opens up a new A new frontier for market participation in a way that short duration storage does not.”

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More from Mateo Jaramillo

Opinion
Jaramillo: Displacing lithium-ion for intraday storage up to 12 hours is unlikely
“Displacing lithium ion is going to be really hard. I mean, the grid markets are sort of the tail on the dog of the automotive markets right now driving the production of lithium ion at scale. And so, so the industry that we're in, the electric industry gets to…”
Mateo Jaramillo Dec 14, 2023 ▶ 11:40 What do you do with a 100-hour battery?
Insight
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Mateo Jaramillo Dec 14, 2023 ▶ 17:02 What do you do with a 100-hour battery?
Prediction Open · timeframe Dec 2028
Jaramillo: Grids will pay for 100-hour storage at $20 per kWh
“All the modeling that we did confirmed by third priority modeling is that a hundred hours and 20 dollars per kilowatt hour is sort of the magic combination. And if you can hit 20 dollars per kilowatt hour, the system will pay for a hundred hours of duration.”
Mateo Jaramillo Dec 14, 2023 ▶ 22:06 What do you do with a 100-hour battery?
Insight
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Mateo Jaramillo Dec 14, 2023 ▶ 32:40 What do you do with a 100-hour battery?
Insight
Jaramillo: 100-hour lithium-ion storage cannot clear grid energy markets economically
“In the case of lithium ion, Let's say that's roughly a hundred dollars a kilowatt hour. You're adding a hundred dollars for every hour you want to discharge. And the industry normalizes around dollar per kilowatt in terms of comparative resources. So everythin…”
Mateo Jaramillo Dec 14, 2023 ▶ 9:37 What do you do with a 100-hour battery?
Assertion Supported
Jaramillo: Iron-Air Raw Materials Cost Under $1/kWh vs $30–$35 for Lithium-Ion
“One quick point of reference, you know, lithium ion active materials. So you pull the active materials out of the ground, you put them on the table, it's maybe 30, 35 dollars a kilowatt hour, unprocessed, right? Not turned into a cell at all. For us, it's less…”
Mateo Jaramillo Dec 14, 2023 ▶ 25:57 What do you do with a 100-hour battery?
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