Home energy storage devices store electricity locally, for later consumption, also known as “Battery Energy Storage System” (or “BESS” for short), at their heart are rechargeable batteries, typically based on lithium-ion controlled by a computer with intelligent software to handle charging and discharging cycles. Companies are also developing smaller flow battery technology for home use.

As local energy storage technologies for home use, they are smaller relatives of battery-based grid energy storage and support the concept of distributed generation. When paired with on-site generation, they can virtually eliminate blackouts in an off-the-grid lifestyle.