China’s First Urban Underground Vanadium Flow Battery Energy Storage Project Launched
Date: 09 Mar 2026 |
Source: ASIACHEM WeChat, 8 March 2026
A pioneering 1.25 MW vanadium flow battery energy storage system designed for urban underground commercial spaces has been successfully deployed through collaboration between Sichuan Tianfu Energy Storage Technology and Sichuan Chemical Group, marking a new milestone for safe energy storage in dense urban environments.
The project is regarded as China’s first demonstration of vanadium flow battery deployment in a commercial building underground space, addressing the growing demand for safe, reliable energy storage solutions in cities where safety regulations and space constraints increasingly limit the use of conventional battery technologies.
The launch comes amid tightening safety regulations for electrochemical energy storage systems. In February 2026, Hunan Province introduced new rules restricting lithium-ion and sodium-ion battery systems from being installed in underground, semi-underground, rooftop, or densely populated building areas due to thermal runaway risks.
Vanadium flow batteries (VFBs), however, are not subject to these restrictions because they use non-flammable, water-based electrolytes, making them inherently safer for deployment in sensitive locations such as commercial buildings and underground facilities.
The 1.25 MW VFB system was specifically designed for installation in a commercial office building basement, where safety, reliability, and operational compatibility are essential.
Key safety features include:
- Non-flammable electrolyte: water-based vanadium electrolyte eliminates the risk of fire or explosion
- Decoupled energy and power architecture: separated electrolyte tanks and stacks prevent chain reactions even in the event of leakage
- Underground compatibility: no high-temperature hazards or toxic gas emissions, allowing seamless integration with building safety and fire standards
These characteristics make VFBs uniquely suited for urban underground storage applications where conventional battery technologies are restricted.
The system is designed to support a 1.1 MW air-conditioning load for the office building, ensuring stable power supply during peak demand periods and grid restrictions.
By charging during low-cost off-peak hours and discharging during daytime peak demand, the system reduces electricity costs while maintaining uninterrupted cooling during summer power shortages.
In addition to safety advantages, the vanadium flow battery system offers strong lifecycle performance:
- More than 20,000 charge–discharge cycles
- Operational lifespan exceeding 20 years
- Intelligent EMS energy management system enabling automated peak-shaving, load response, and remote monitoring
The modular design allows the system to be installed in unused basement spaces without affecting parking areas or green spaces, making it particularly attractive for commercial and urban buildings.
This project demonstrates how vanadium flow batteries can transform urban underground spaces into safe energy storage assets, providing reliable power support, reducing electricity costs, and ensuring uninterrupted building operations during grid constraints.
With tightening safety regulations for lithium-based storage in urban environments, projects like this highlight the growing role of vanadium flow batteries as a preferred solution for commercial and industrial energy storage applications.