Businesses ranging from investment firms and clothing companies to agricultural giants have made public pledges to reduce greenhouse gas (GHG) emissions. But when you peek behind the curtain, a lot of them have difficulty measuring and reporting on those commitments, and that might be due to a lack of technology. That is changing with emerging software, like for energy storage systems (ESS), which are ideally suited to enable businesses to achieve their environmental, social, and governance (ESG) goals. A smart ESS can match the energy generation from renewable sources to a users’ demand, and as a result, reduce GHG emissions. To put ESS to the test, a recent study has shown that a 600 MW site that pairs solar + storage can result in carbon dioxide reductions equivalent to removing 73,000 cars off the road. 

Read on to learn how Stem partners with companies to install ESS to reduce GHG emissions and to achieve ESG goals.  

New technology for tracking and reporting GHG emissions

Stem provides an end-to-end ESS solution and GHG emissions savings reports to partners and customers. As the leader in California C&I installations, Stem also takes a proactive role in providing GHG data. For example, Stem’s artificial intelligence (AI)-driven energy storage software, Athena®, optimizes for California’s Self-Generation Incentive Program (SGIP) requirements for GHG reduction, guaranteeing that the ESS operations comply with program rules. By including GHG emission reductions in Athena’s optimization, we ensure that maximum SGIP rebates are earned, which covers 15-20% of the typical ESS project cost. 

Simulate GHG impacts on your ESS project

Before you begin any energy project, it is important to know the expected environmental impacts ahead of time. Athena uses Stem’s proprietary simulation tool that provides partners and customers a window into Athena’s operation for pre-contract and pre-sales revenues. With AI driving all our simulations, Athena provides a series of operational and financial simulation comparisons with a view of how an ESS will perform, including GHG emissions reductions as shown in Figure 1. This creates a realistic representation of the value that storage can provide to our partners and customers.

Stem's Athena AI - Greenhouse Gas Emission Reduction

Figure 1: Track Your GHG Emissions with Athena®
Source: Stem, Inc. 

Tracking GHG emissions for state programs 

In California, for example, Stem works closely with the CPUC to guide policy decisions and requirements for SGIP. Stem’s Athena software uses GHG data from WattTime—a non-profit that collects grid-level, GHG emissions data—to reduce GHG impact from sites based in California by matching electricity consumption in real time to the marginal GHG emissions intensity of the utility-supplied power. This key feature of the Athena software supports the CPUC’s SGIP, which provides funds for qualifying sites that reduce grid-related GHG by at least five kilograms of carbon dioxide, on an annual basis, per kilowatt hour of ESS capacity. 

In Massachusetts, partners can help customers reach the state’s goal of achieving net-zero GHG emissions by 2050. Although Massachusetts doesn’t currently require GHG tracking from energy storage users, Athena’s ability to track GHG helps partners and customers work towards and proactively report on state goals.

Capabilities to track GHG metrics will be key nationwide

While California is on the vanguard of promoting innovative energy policies and is the first to implement GHG reduction requirements when tied to energy storage incentives, it is expected that new, similar incentive programs will soon appear across the U.S. Stem is actively exploring ways to report GHG emissions in markets beyond California. When that happens, Stem’s ability to report GHG emissions will be compatible with new market requirements as well.

Case Study: Stockmans Leverages Stem to Enter California’s Energy Storage Market

Stem helped Stockmans, an electrical contractor, quickly get up the learning curve on energy storage, providing crucial educational and sales support that helped the company land its first major energy storage project. The water district’s customers will benefit from more reliable service with fewer GHG emissions, just as California’s SGIP intended. Plus, the 1,856 kWh system, at a water district in San Bernardino County, will provide backup power to the facility and better service to customers, in line with state resilience and climate goals. Stockmans and Stem are now pursuing several diverse projects – for schools, agricultural clients, and other utility districts – while eyeing broader trends at the intersection of storage, solar, and electric vehicles. Read the full case study.

“Stem has the most experience and longest track record of any energy storage company in the world.” -Kirk Story, President, Stockmans 

Contact Stem Today
Businesses with vested interest in reducing GHG emissions can turn to Stem’s Athena AI software—now with new GHG functionality—to help achieve ESG goals. Stem partners with enterprise Fortune 500 companies like Walmart and Amazon to reduce GHG emissions through our ESS. In fact, investors are rewarding companies with strong ESG strategies and leveraging Stem is a simple way to deliver results with a purpose.

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