Very interesting blog post by Marc Gunther – sustainability expert/Fortune Contributing Editor – yesterday on the importance of emerging energy storage technologies. Energy Storage & Power, a joint venture with COMPETE member PSEG, is pioneering some innovation in the form of Compressed Air Energy Storage technology that stores off-peak energy for release when needed during peak demand hours.

Energy storage offers numerous benefits, most notably the ability to match electricity supply (especially renewable energy) with demand. It helps facilitate greater use of renewable energy sources such as wind and solar. Many power generators are already pursuing energy storage capabilities. COMPETE member Beacon Power Corp., for example, is working on a 20-megawatt storage project in New York.

Why do we care about this? Competitive electricity markets promote innovation and renewable energy sources. The ability to store renewable energy for use at high-demand and peak price hours allows consumers to choose their power source and reduce their bills. Innovative technologies like energy storage solutions give generators and consumers alike more reliability and choice – whether at a peak or non-peak time.