Battery Energy Storage Systems (BESS) are vital for grid stability and integration of renewable energy. Yet the technical challenges they present are often perceived differently by those maintaining systems day-to-day and those overseeing financial performance. This discrepancy in perspectives can lead to a gap in understanding and addressing technical issues, posing a hidden risk for asset optimization and long-term profitability.
.webp)
Data from the TWAICE BESS Pros Survey1, which surveyed 83 industry professionals — including engineers, technicians, and asset managers — revealed that 73%of O&M staff encounter technical issues2 at least monthly, compared to only 53% of asset managers. Moreover, 40% of O&M staff reported issues weekly—double the rate seen by asset managers.
This discrepancy points to a disconnect between technical performance and financial oversight. While engineers typically understand the technical dynamics at play, asset managers may only grasp their importance when tied to tangible financial impact. If these operational issues are overlooked, organizations risk making decisions based on incomplete or misleading data, leading to increased downtime, unaddressed underperformance, and financial losses.
For instance, system imbalances, such as uneven cell discharging, can significantly degrade battery performance. When a single cell discharges prematurely, it can limit the usable energy of the entire system. In one customer's case, this imbalance resulted in a daily loss of 18 MWh, translating to approximately $1 million in annual losses – all from a single cell.
This is where a strong BESS data strategy and BESS analytics becomes essential. By making technical shortcomings visible and quantifiable across teams, organizations can ensure that everyone has a shared understanding of operational risks and their financial implications.
BESS produce billions of data points, which, when used in the right way, can be incredibly valuable. Teams responsible for developing and managing BESS projects should think about how they will access and use BESS data as soon as they start planning a project. Once operational, data and insights should be shared across the organization to ensure that all relevant stakeholders are aware of how technical BESS issues directly impact financial outcomes.
‍
This article is featured in kWh Analytics' Solar Risk Assessment. Read the full 2025 Solar Risk Assessment at: https://kwhanalytics.com/industry-report/
‍
[1] Survey group represents 8–10% of US/European asset owners and operators found in Rho Motion’s database.
[2] The numbers do not differentiate between severities of technical issues. Issues could range from minor software glitches to data outages, unexpected downtime or severe safety incidents. Importantly, industry data shows that failures are not spread evenly over a BESS's lifetime but are concentrated in the first two years of operation, reflecting early-stage reliability challenges.
.webp)
Join the next product webinar and explore the newest features designed to help BESS owners and operators improve revenue, performance, safety and warranty management.
