Energy storage refers to the process of storing electrical energy through media or equipment and releasing it when needed. According to the forms of energy storage and conversion, it can be divided into physical energy storage and chemical energy storage. Physical energy storage mainly includes pumped storage, gravitational energy storage, compressed air energy storage, and flywheel energy storage, while chemical energy storage mainly includes lithium-ion batteries, sodium-ion batteries, flow batteries, lead-acid batteries, and more.

In recent years, the installed capacity of distributed photovoltaic systems has grown rapidly, but photovoltaic power has randomness and volatility, posing challenges to the power quality and power balance of the grid. Energy storage can achieve smooth renewable energy output, improve the consumption ratio of photovoltaic power, respond to grid demands, perform peak shaving and valley filling to increase revenue, and other effects through charging and discharging on demand. Therefore, energy storage has become an essential component of virtual power plants, smart microgrids, and new power systems.

Constructing distributed photovoltaic and energy storage on the load side can build small microgrid systems. In the event of power supply abnormalities such as power restrictions or outages, the system can switch to off-grid mode to ensure critical or basic load demands. The construction of distributed photovoltaic paired with energy storage is conducive to easing the cost of energy storage system construction and helping users save energy costs and other power equipment investment costs.

The combination of distributed photovoltaic paired with energy storage can be integrated with electricity sales, charging, battery swapping, load management, and other scenarios, realizing the integrated development of "source-grid-load-storage" on the user side, achieving regional energy self-coupling, and favoring the combination of multiple energy strategies to maximize the utilization of new energy and reduce energy consumption costs. This also cultivates new business models under new scenarios, promoting high-quality development of energy consumption.