Renewable energy integration will become a significant issue as renewable penetration levels increase, and will require new generation support infrastructure; Energy storage provides one solution to this issue. Specifically, battery technologies offer a wide range of energy and power output abilities, making them ideal for a variety of integration applications. Distributed energy storage on distribution grids may be required in many areas of Canada where renewables will be installed. Peak shaving using distributed small (residential) energy storage can provide a reduction in peak loads and help renewable energy integration. To this end, a peak shaving model was developed for typical houses in several regions in Canada which provided sizing and performance results. An experimental battery bank and cycling apparatus was designed and constructed using these sizing results. This battery bank and cycling apparatus was then used to calibrate and validate a lithium iron phosphate battery energy storage system model.