Today I was talking with a fellow about the renewable energy storage, the so-called “holy grail” of renewables.

As energy storage becomes cheaper, more efficient, more effective and wipespread, I think renewables will become reliable “baseline” power sources.  Unused energy generated will then not be sold at inopportune prices (as it is now) but saved till later when it can be better utilized.

If storage gets effective enough, and we have enough dispersed generation, does that mean that energy becomes like money?  Large utilities and smaller sources are generating it, sometimes storing it in their accounts (energy storage) sometimes using it.  And yes, the storage will not be ideal meaning the amount of energy will decreases in time much like currency value decreases over time because of inflation.

Long long term, would there even be a need for conventional currency if energy started acting as a currency?  After all, what does conventional currency do?  It provides an implicitly agreed to contract of value that motivates people to expend the energy to transact products and services.

Well, isn’t that superfluous if energy becomes a currency?

Instead of giving you $2 dollars for that hotdog, I give you 20 watts.  It cost you 15 watts of energy to make so you get a 5 watt profit.