Solar and battery systems offer homeowners an unprecedented opportunity to own and control the production, storage, and consumption of their essential electricity needs. Contact online >>
Solar and battery systems offer homeowners an unprecedented opportunity to own and control the production, storage, and consumption of their essential electricity needs.
While installing solar panels is relatively straightforward, pairing them with battery storage is a little more nuanced given the various types of batteries available and what they''re able to do.
So, in this article, we''ll explore which batteries pair best with solar panels to accomplish the three most common energy goals: Cost savings, essential backup, and whole-home backup.
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Let''s start with a quick recap of the different types of batteries on the market.
There are three distinguishing features that determine a battery''s "type."
There are no fewer than five types of battery chemistries that could be used (theoretically or practically) for residential energy storage. However, Lithium-ion (Li-ion) and Lithium Iron Phosphate (LFP) have emerged as the dominant chemistries today, as they provide an ideal balance of energy density and efficiency.
Side note: The “F” in LFP is for “ferro,” which is a synonym for iron.
Compared to Lithium-ion, LFP batteries generally last longer, allow greater depth of discharge, handle a wider range of temperatures, and have a virtually non-existent risk of thermal runaway.
On the other hand, Lithium-ion batteries tend to cost less and are less affected by maintaining a high state of charge, which is common for essential backup systems.
Another distinguishing feature to consider is whether a battery is AC- or DC-coupled. Certain batteries can charge on Direct Current (DC) electricity while others charge on Alternating Current (AC) electricity.
In general, DC batteries are more efficient while AC batteries are much easier to configure into existing solar systems.
The third distinction to consider is whether the battery is backup-enabled or configured for self-consumption only. While backup power is typically thought of as the primary benefit of battery storage, there is a growing demand for battery storage without the additional costs attributed to the equipment, labor, and programming required to enable backup power when the grid goes down. Given this smaller scope of work, consumption-only battery projects typically costs around two-thirds of comparable backup-enabled battery projects.
With that in mind, consumption-only batteries (aka "non-backup" batteries) are typically used by homeowners who:
For example, under California''s NEM 3.0 solar billing policy, it''s much more cost-effective to store and use your own solar production in a consumption-only battery than to trade electricity back and forth with the utility grid.
If your primary goal is energy cost savings and you have no need for backup power, then the best battery to pair with solar panels is a Lithium Iron Phosphate (LFP) consumption-only battery. Whether an AC- or DC-coupled battery is best depends on whether or not you already have solar panels.
Some of the best LFP batteries currently on the market include:
Many of these batteries are offered as consumption-only packages.
Batteries used primarily for cost savings typically operate in solar self-consumption mode. This means that the battery will only charge on solar power and discharge as soon as the solar panels can''t meet household electricity demand.
In self-consumption mode, the battery is charged and discharged (aka "cycled") on a daily basis and carries a very low charge overnight (known as a low “state of charge").
Based on a 2020 study by the National Renewable Energy Laboratory (NREL), LFP batteries are more resilient to daily cycling and actually prefer a low state of charge, which makes them particularly suited for self-consumption mode.
By leaving out the equipment, labor, and programming required to enable backup power, consumption-only batteries typically come at around two-thirds of the cost of a traditional backup battery. And if your primary goal is to save money, then a battery with a lower upfront cost provides a quicker return on investment.
While consumption-only batteries can provide greater energy cost savings, it''s worth emphasizing that they do not provide backup power during grid outages.
While DC batteries are more efficient – and thus provide more energy bill offset per kWh of solar production – they typically come with a greater upfront cost, especially if when adding a DC battery to an existing solar system.
If your primary goal is cost savings, it''s worth crunching the numbers for your specific situation to see whether an AC or DC battery provides the greatest return on investment.
If the primary goal is powering essential systems (lights, Wi-Fi, refrigeration, etc) during grid outages, the best battery to pair with solar panels is a backup-enabled Lithium-ion battery. Again, whether an AC- or DC-coupled battery is best depends on whether or not you already have solar panels.
Some popular batteries that fit this criteria include:
Obviously, if you want to provide backup power, then a backup-enabled battery is required and consumption-only configurations are not an option.
Unlike LFP batteries, which prefer a low average state of charge, Lithium-ion batteries (particularly the NMC chemistry used by Tesla, LG, and Generac) tend to prefer maintaining a high state of charge – which aligns well with backup batteries.
In backup mode, batteries go through fewer charge/discharge cycles and maintain a high state of charge until the grid goes down. According to the NREL, Lithium-ion (NMC) batteries maintain their original capacity longer under these conditions than LFP batteries, as shown in the figure below.
The choice between AC and DC batteries is typically dictated by whether you already have solar panels installed.
If you have an existing system, then AC-coupled batteries will be easier (and less expensive) to add to the mix. If you don''t have solar panels, then DC-coupled batteries becoming a much more attractive option.
About Solar panels and batteries for home
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