Tellus Materials Energy Technology Perspective
Hybrid Energy Storage Architecture Scale-Up Breakthrough: Seamless Integration of Rapid Response and Long-Duration Energy Balance
The Gushanliang 300 MW hybrid energy storage project's commercial operation signals energy storage technology's entry into a new era of diversification and differentiation. Lithium-ion batteries' millisecond-scale rapid response combined with vanadium flow batteries' ultra-long cycle life transcends single-technology limitations. Tellus' hybrid energy storage systems embody this principle, flexibly combining diverse storage technologies to address varied application scenarios while maximizing overall system value.
Hybrid energy storage has transitioned from option to operational necessity for large-scale renewable energy deployment.
Commercial Operation Milestone Achievement
A 300 MW/1,200 MWh hybrid battery energy storage system (BESS) in Ordos, Inner Mongolia has successfully entered commercial operation following rigorous performance validation testing. The project employs a hybrid configuration integrating lithium iron phosphate batteries with vanadium redox flow batteries, strategically combining rapid-response short-duration storage with extended-duration energy storage capabilities in a complementary architecture. This breakthrough hybrid storage design marks a pivotal transition toward large-scale, grid-forming energy storage technology deployment in China.
Grid-Forming Power Conversion Systems Implementation
The project utilizes grid-forming power conversion systems supplied by Sineng Electric, each rated at 1.25 MW capacity. The integrated system provides power support during grid disturbances, delivers virtual inertia and damping support to stabilize the grid, and incorporates black-start functionality to address large-scale outage scenarios. Sineng Electric's millisecond-level power support technology effectively suppresses grid frequency oscillations across the entire operational spectrum, responding precisely to both major and minor grid disturbances. System reliability has been thoroughly validated through a three-charge, three-discharge performance verification process.
The Kubuqi Desert Energy Hub Development
The facility is strategically located within the Kubuqi Desert as a core component of the Inner Mongolia region's Gushanliang energy storage power station—a multi-gigawatt energy storage initiative. The entire Gushanliang project encompasses 3 GW/12.8 GWh capacity, covering approximately 73 hectares with total investment reaching 11.2 billion yuan (approximately USD 1.58 billion). This substantial capital commitment reflects China's unwavering dedication to advanced storage technology development and large-scale deployment acceleration. The project is spearheaded by Hunan Corun New Energy Company, with participation from Xingchen New Energy and other consortium members. On December 30, 2025, Hunan Corun New Energy announced the project had progressed into testing phases, signaling that engineering construction had reached its final stages.
Technological Complementarity Design Advantages
The hybrid storage configuration's fundamental advantage lies in the complementary characteristics of both battery technologies. Lithium iron phosphate batteries deliver high energy density, rapid response capability, and elevated charge-discharge efficiency, making them ideally suited for addressing second-to-minute-scale grid frequency fluctuations. Conversely, vanadium redox flow batteries offer exceptionally extended cycle lifespans (exceeding 20,000 cycles), independent power and energy capacity scalability, and outstanding performance under extreme temperature and environmental conditions—attributes that position them optimally for providing multi-hour to multi-day energy storage services.
Within the Gushanliang project, the aggregated 300 MW power capacity derives from both storage technologies working in concert. Lithium iron phosphate batteries assume responsibility for rapid power response and virtual inertia provision, while vanadium flow batteries ensure system capacity to manage extended energy balance requirements. This architectural approach enables the overall storage system to function simultaneously as a conventional synchronous generator providing grid support, while also storing and dispatching renewable-generated electricity, effectively managing wind and solar power variability.
Establishment of Global Energy Storage Leadership
The Gushanliang project's commercial operation exemplifies China's dominant global positioning in grid-forming energy storage deployment scale. In stark contrast, comparable European and North American projects remain predominantly in pilot phases or encounter regulatory implementation barriers. Chinese developers have now advanced grid-forming storage technology to routine gigawatt-scale deployment. The facility will connect to the 500 kV Gushanliang substation, providing power support to industrial and residential consumers throughout Ordos and western Inner Mongolia. Simultaneously, the project integrates with broader northern China's electrical grid infrastructure, establishing itself as a critical pillar for regional energy security and grid stability enhancement.
This development trajectory reflects the urgent requirement within China's electrical system for flexible renewable energy dispatch capabilities, coupled with sustained government investment in advanced storage technology research and demonstration applications. The Gushanliang project's successful commissioning validates hybrid energy storage technology's operational feasibility, establishing a robust foundation for future large-scale energy transition initiatives. As additional comparable projects achieve commercialization, hybrid energy storage will progressively become the foundational infrastructure supporting clean energy system integration at scale, catalyzing global energy systems' transformation toward cleaner, more efficient, and increasingly flexible operational paradigms.
