System-level issues account for nearly half of BESS production defects, says CEA

February 20, 2024
LinkedIn
Twitter
Reddit
Facebook
Email
Chart showing the frequency of system-level issues for battery energy storage systems.
Nearly half of the issues detected by the CEA came at the system level with Fire Suppression System and Thermal Management System with a high percentage. Chart: Clean Energy Associates.

A recent report from the Clean Energy Associates found that system-level issues accounted for nearly half of all defects found in battery energy storage systems (BESS), of which two issues related to increased risk of fire.

In its report, BESS Quality Risks, the CEA conducted quality audits on over 30GWh of lithium-ion energy storage projects over the past six years, with more than 1,300 manufacturing issues identified.

Of these issues identified, almost a third (26%) of BESS units inspected by the CEA had defects in the Fire Suppression System, while 18% of units had Thermal Management System defects, both of which are critical for functional safety, as defects in these systems can lead to increased risk of fire.

Some of the problems detected were a non-responding release actuator for the fire extinguisher agent, which, if malfunctioning, could potentially allow the fire to propagate further; non-responding smoke and temperature sensors, which wired incorrectly, could prevent the smoke sensor from detecting the presence of smoke within the system.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

In the US, New York has been one of the leading states in its approach to safety issues regarding fires and earlier this month recommended changing the state fire code to better manage risks associated with battery storage systems installed in the state.

Moreover, an industry-led initiative from the American Clean Power Association (ACP) recently published a battery safety incident guide for first responders. Whereas in California, the state passed legislation last year that requires BESS owners to put in place safety and communications protocols with first responders and other key stakeholders.

Half of the issues came from system-level

These two issues – Fire Suppression System and Thermal Management System – were among the highest defects detected in the system integration of a BESS. Despite much of the industry’s attention being on cell selection, system-level should not be overlooked, as a potential source of problem, since these represent nearly half of (48%) the defects found by CEA.

A higher level of system-related issues is due to two reasons, the first is due to the BESS integration process being mostly manual and labour-intensive, while the second is problems originating from defects in upstream components might not have been caught in earlier quality checks.

Within that category, balance of system (58%) and enclosure (34%) had the majority of system-level findings. Although only 8% of the findings came from performance test, these had larger and more complex issues associated with them.

Recently, Energy-storage.news hosted a webinar with the CEA presenting some of the most common issues seen in the factory, their typical root causes and steps that can be taken in the manufacturing process to prevent these issues. During the webinar, George Touloupas, senior director of technology and quality, solar and storage at CEA, explained that the reason why the report focused on lithium-ion batteries was because: “Nobody is buying anything else than lithium-ion.”

One of the key takeaways from the report was that “quality assurance is the most efficient means to mitigate risks during mass productions,” added Touloupas.

Cell and module issues

Despite a higher automation process, cell issues represent 30% of the CEA’s issues found, with a third of the incidents occurring during electrode manufacturing, 38% during cell assembly and 30% during cell finishing.

The last category was for the module which represented 23% of the total findings, which is largely due to production lines being more manual. Half of the issues were related to interconnection wielding. This is due to the manual aspect of it and a lack of efficient quality control procedures.

For more details on issues related to each category, the report can be accessed here.

24 February 2026
InterContinental London - The O2, London, UK
This isn’t just another summit – it’s our biggest and most exhilarating Summit yet! Picture this: immersive workshop spaces where ideas come to life, dedicated industry working groups igniting innovation, live podcasts sparking lively discussions, hard-hitting keynotes that will leave you inspired, and an abundance of networking opportunities that will take your connections to new heights!
9 June 2026
Stuttgart, Germany
Held alongside The Battery Show Europe, Energy Storage Summit provides a focused platform to understand the policies, revenue models and deployment conditions shaping Germany’s utility-scale storage boom. With contributions from TSOs, banks, developers and optimisers, the Summit explores regulation, merchant strategies, financing, grid tariffs and project delivery in a market forecast to integrate 24GW of storage by 2037.

Read Next

December 24, 2025
In this Energy-Storage.news roundup,  Hydrostor receives permitting approval for its California project, Hawaiian Electric is set to begin construction on a Maui battery energy storage system (BESS) and Peregrine and Wärtsilä advance construction of a Texas BESS.
December 18, 2025
Two US companies, GridStor, and CPS Energy are making advancements on Texas energy storage deployments, with GridStor executing a tolling agreement and CPS Energy issuing a new request for proposals.
December 17, 2025
In an upcoming conversation with Energy-Storage.news Premium and Optimisation platform provider Ascend Analytics, CEO Dr. Gary Dorris PhD, discusses the ‘roller coaster’ revenues of the Electric Reliability Council of Texas (ERCOT) market.
December 17, 2025
According to the Q4 2025 US Energy Storage Monitor from Wood Mackenzie Power & Renewables and the American Clean Power Association (ACP), 2025 energy storage installations surpassed 2024 capacity.
December 16, 2025
In this edition of the Energy-Storage.news US news roundup, EticaAG partners with Shell on battery immersion tech, Pacific Northwest National Laboratory begins utility-scale battery testing, and ON.Energy announces a transformer supply agreement.