American energy storage system integrator Powin Energy is partnering up with Taiwan's Leader Energy Storage Technologies, making Leader an exclusive agent in Taiwan. By signing a deal with Leader, Powin has become the second one-stop energy storage system supplier in Taiwan after Tesla.
Powin is the third largest energy storage system integrator in the world.
Leader chairman Chuang Chia-Yuan said their collaboration may expand to the Philippines, Thailand, and Vietnam in the future.
Development of energy storage has been constrained due to shortages of lithium batteries as the electric vehicle (EV) industry grows at a fast pace.
Powin chairman Joseph Lu said energy storage plays an essential role in stabilizing power supply for all industries.
Powin is the only supplier that insists on using air-cooling to dissipate heat while others turn to water-cooling methods, dependent on the design of each system.
Powin and Tesla are the most well-known one-stop energy storage system suppliers. For an one-stop energy storage system, each step of assembly and data transmission needs to meet the standards set by the EMS provider prior to going down to the power conditioning system supplier for connection with power grids.
According to Chuang, Leader spent six months evaluating most suppliers and found that Powin offers the longest warranty that lasts 20 years. Leader then took quick actions to contact Powin and sealed the deal by guaranteeing orders and prepaying deposits.
Chuang explained that Powin provides three security checks in its operating system Stack to prevent fires, and Powin so far has reported no incidence of fire in company history. The long lifecycle and monitoring systems of Powin's product reduce the maintenance costs and danger that could follow.
Lu said stable electricity supply is one of the motivations that could drive EV ownerships, while the lack of charging infrastructures at home could deter car owners from buying an EV and charging at public charging points eventually causes many inconveniences and higher costs.
Lu added that stable electricity supply is the prerequisite for any country to promote renewable energy, to raise the price for electricity at peak hours, or to encourage EV ownership. Although renewables might instead add instability to power supply and thus offset the efforts, the world sees no excuses for not developing green energy.
Lu said Powin generally faces no trouble getting batteries under the long-term agreements signed with most suppliers.
Leader plans to build up energy storage capacity to 700MWh for mostly solar and wind power within the next two years, according to Chuang, and the company sees high likelihood to reach that goal with the clients they now have in hand. Investment in the energy storage industry in Taiwan has the potential to reach NT$100 billion (US$3.56 billion) and Leader aims to account for 25% of that.
Beyond Taiwan, the two companies could extend their partnership to other Southeast Asian counties where Chuang sees more demand for energy storage as power grids are less stable in region.