Last updated October 2026.

What a battery does for a business

A battery can pay its way where a site exports a lot of midday solar and has evening or early morning demand, or where it can shift usage away from expensive peak periods. For a business that closes in the late afternoon, the extra cost often outweighs the benefit, so model it against half-hourly data first.

A battery energy storage system stores electricity when it is cheap or surplus and releases it when it is expensive or needed. For a business with solar that means capturing midday generation that would otherwise be exported for a few pence and using it in the late afternoon and evening instead of buying at the full rate. For a business without solar it means buying overnight on a time-of-use tariff and using it during the day, or shaving the peaks that drive capacity and network charges.

  • Solar self-consumption. Turning exported kWh worth 4–15p into self-consumed kWh worth 20–30p.
  • Peak shaving and tariff arbitrage. Avoiding the most expensive half-hours and reducing agreed capacity.
  • Grid services. Being paid by the system operator or an aggregator to charge and discharge on demand.
  • Resilience. Keeping critical loads running through an outage, which is sometimes the whole case.

The sums

Indicative installer pricing for commercial batteries is in the region of £400 to £700 per kWh of usable capacity installed, and it has been falling. A 100 kWh system at £55,000 cycling once a day and shifting electricity worth 18p per kWh more than it cost earns about £6,500 a year, a simple payback of eight to nine years before tax allowances, against a warranty life of ten to fifteen years. That is marginal, and it is why batteries on their own rarely stack up for a typical SME today.

CaseWhy it works
Solar system exporting heavilyBattery converts low-value export into full-value self-consumption; the solar is already paid for
Site with high capacity or peak chargesBattery flattens the peaks, cutting agreed capacity and the most expensive half-hours
Site on a time-of-use or flexible tariffBattery buys cheap overnight power and uses it during the day
Critical operationsThe avoided cost of an outage justifies the battery regardless of energy savings
Larger systems with grid-services incomeLarger systems may earn extra from flexibility services, though income varies, alongside bill savings

The cases where it clearly pays are combinations: solar plus a battery on a site with evening load, or a battery on a site with painful peak charges and a resilience need. The generic business with a flat daytime load and no solar should wait.

Talk it through with us

Send us a recent bill or a quick description of your sites and we will tell you plainly what applies to you and what it would involve. No obligation.

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Before you buy

Get half-hourly data. A battery is sized to your load shape. Without half-hourly data the sizing is a guess.
Model the whole stack. Self-consumption, peak reduction, tariff arbitrage and any grid-services income, with realistic cycling and degradation.
Check the connection. Export and import limits on your connection may need changing, and the network may charge for it.
Count the resilience value honestly. If outage protection is part of the case, cost it; if it is not, do not let a proposal lean on it.

Frequently asked questions

How much does commercial battery storage cost?

Roughly £400 to £700 per kWh of usable capacity installed at present, falling each year. A 100 kWh system is in the region of £40,000 to £70,000.

Does a battery make solar more worthwhile?

Yes, where the solar system exports a lot and the site has evening load. The battery turns low-value export into full-value self-consumption.

Can a battery reduce our capacity charge?

Yes, by discharging at times of peak demand so the site’s maximum demand, and the agreed capacity it needs, can be reduced.

How long do commercial batteries last?

Warranties typically run ten to fifteen years or a stated number of cycles, with capacity falling gradually over that period.

Can a business earn money from a battery through grid services?

Larger systems can, through aggregators that pay for frequency response and flexibility. Income varies and is best treated as a bonus rather than the core case.

Does Clearsight Energy advise on battery storage?

Yes. We look at your half-hourly data and tariff, introduce vetted installer partners and help you compare their battery proposals on a like-for-like basis.

Need help? Get in touch

Call us on 020 8036 5715, or email us, and we will take it from there.

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Clearsight Energy
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