Southern Power Grid Energy Storage: For a long period in the future, pumped hydro storage and new types of energy storage will maintain a synergistic development trend.

On November 6, State Grid Energy Storage stated at a securities strategy meeting that in the context of the "dual carbon" goal, pumped storage and new energy storage are important regulating resources for the power system, both with good development prospects. However, they have their own characteristics and different applications in the power system. Pumped storage is currently the most mature, widely used, and lowest lifecycle cost energy storage technology, with a more sensitive response time, reaching minutes, mainly used for large-scale grid regulation. The single station scale and storage capacity of electrochemical energy storage are far lower than pumped storage, but it has good regulation performance, with response speeds reaching milliseconds, along with flexible site selection and short construction period advantages. In scenarios such as regional peak shaving, frequency regulation, voltage regulation, relieving transmission line congestion, and emergency backup, electrochemical energy storage can play a significant role. Therefore, the company understands that for a considerable period in the future, pumped storage and new energy storage will maintain a coordinated development trend, leveraging their respective strengths to collectively meet the needs of grid safety, stability, and high-quality development.