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Efficient energy storage systems for the energy transition

Powerful storage facilities will be needed if the energy transition is to succeed and sun and wind are to become the most important sources of electricity in the future. Energy storage is essential for balancing supply and demand.

Energy
Renewables
Article

Jul 08, 2025

Compensate fluctuations, avoid energy waste

Imagine a world where the air is fresh, the skies are clear, and the planet is thriving. A world where energy is no longer a scarce resource, but an abundant and clean one. This is the vision of a future powered by renewable energy. But as we accelerate towards this goal, we're faced with a critical challenge: how to store the energy generated by the sun and wind, so it can be used when we need it most. The answer lies in modern and efficient energy storage systems, which can compensate for fluctuations, keep power grids in balance, and avoid unnecessary energy waste. In this article, we'll explore the crucial role that energy storage systems play in empowering a greener future, and how semiconductors are driving innovation in this field.

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From pumped-storage hydroelectricity to battery-electric storage

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From ancient clockwork mechanisms to modern battery systems, the quest for efficient energy storage has been a driving force behind human innovation. Throughout history, we've experimented with various solutions to harness and store energy, from mechanical devices like flywheels and compressed air to electrochemical principles that led to the development of batteries. For a long time, hydroelectric power and pumped-storage power plants were the only technologies available for storing energy on a large scale and over long periods of time or balancing day and night. Now, two more technologies are coming into play: In addition to high-performance battery systems, green hydrogen is predicted to have a great future, mainly because hydrogen can be stored in large quantities and can be transported and made available flexibly. And there is another aspect: Portable energy storage devices are becoming more and more important. They can be used as a power source for outdoor activities like camping or as an emergency backup in case of a grid outage.

Balancing energy supply and demand

From a utility perspective, the value of energy storage systems is to increase grid reliability and stability, balance capacity constraints during energy transmission and manage weather-related supply and demand fluctuations. Specifically, energy storage systems provide a solution in the face of uncertain circumstances such as power outages, natural disasters or technical problems and deliver energy when other sources are unavailable. During transmission, capacity constraints can be critical when demand increases heavily at the same time. Here, energy storage systems provide an option to stretch the energy needed during peak periods, bridging the time when there is no sun or wind and balancing the mismatch between supply and demand. Looking at commercial and residential buildings, for example offices or homes that already have a photovoltaic system on the roof, the energy can be stored during the day to be used at night or fed into the grid.

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Semiconductors provide stability in highly complex distributed networks

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The power grid is evolving from one-way power flow from the power plant to the industrial and consumer sectors to a highly complex distributed network. That’s why mobile and stationary energy storage systems made possible by semiconductor technologies are becoming an essential part of the entire energy supply chain. Semiconductors provide a wide array of technological approaches, letting energy storage systems manage the supply-demand situation driven by the shift to renewable sources. State-of-the-art semiconductor technologies are needed everywhere, whether for efficient energy conversion at various points in the energy supply chain or for battery management to make the most out of storage. Since potentially every point, where electricity is produced and consumed, can become an active, intelligent node in the system, energy efficiency enabled by Infineon semiconductors is crucial at all interfaces.

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Defining energy storage systems: Power conversion and battery management

Two main capabilities made possible by semiconductors characterize energy storage systems: energy-efficient power conversion and the battery management system. The power conversion system (PCS) handles AC/DC and DC/AC conversion, with energy flowing into the batteries to charge them or being converted from the battery storage into AC power and fed into the grid. The energy-efficiency of this power conversion process depends heavily on semiconductor technologies.

However, when it comes to energy storage, it’s equally important to manage the battery safely and efficiently. For this reason, the battery management system (BMS) is a key component of energy storage systems. Based on dedicated ICs and complemented by a microcontroller that handles system control and communication, the BMS is responsible for cell protection, charging and discharging, cell balancing, power optimization, and health assessment.

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Our goal is to drive sustainability in this area by developing solutions to get as much as possible out of used batteries as well. Infineon therefore supports battery management approaches that give old batteries a second life with the help of semiconductor technologies.

As we accelerate towards a future powered by renewable energy, the importance of efficient energy storage systems cannot be overstated. By compensating for fluctuations, avoiding energy waste, and enabling the efficient distribution of clean energy, these systems will play a vital role in creating a sustainable tomorrow. And with semiconductors driving innovation and efficiency in energy storage, we can unlock a future where energy is no longer a scarce resource, but a clean and abundant one.

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