How Is The Global Grid-Scale Battery Storage Market Defined?
Grid-scale battery storage refers to large-scale energy storage systems that store electricity for utility and grid management purposes. These systems help balance supply and demand, provide backup power, and enhance the stability and reliability of the electricity grid. They are typically deployed by utilities or energy providers to support renewable energy integration, peak shaving, and grid services such as frequency regulation.
Grid-scale Battery Storage Global Market Report 2024 provides data on the global grid-scale battery storage market such as market size, growth forecasts, segments and geographies, competitive landscape including leading competitors’ revenues, profiles and market shares. The grid-scale battery storage market report identifies opportunities and strategies based on market trends and leading competitors’ approaches.
How Is The Global Grid-Scale Battery Storage Market Size Expected To Expand, And At What Annual Growth Rate?
The grid-scale battery storage market is experiencing rapid growth, with its size projected to increase from $5.73 billion in 2023 to $7.51 billion in 2024 at a CAGR of 31.0%. This growth has been fueled by rising energy consumption, the retirement of fossil fuel plants, a focus on energy independence and resilience, corporate sustainability goals, and regulatory support for ancillary services. The market is expected to expand exponentially in the coming years, reaching $22.22 billion by 2028 at a CAGR of 31.1%. Growth drivers include the development of hydrogen energy storage, advances in alternative battery technologies, electric vehicle integration, decarbonization policies, and greater renewable energy penetration. Key trends for the future include a focus on sustainability and recycling, the rise of virtual power plants, increased use of AI, hybrid renewable energy systems, and the growth of long-duration energy storage solutions.
What Are The Key Drivers Fueling Growth In The Grid-Scale Battery Storage Market?
The rise in renewable energy demand is driving the grid-scale battery storage market. Renewable energy sources like solar and wind require efficient storage solutions to ensure a steady power supply during fluctuations in generation. In March 2024, the European Environment Agency reported that renewable energy accounted for 23% of the EU’s energy consumption in 2022, up from 21.9% in 2021. The growth in renewable energy adoption highlights the critical role of battery storage in maintaining grid reliability.
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What Are The Principal Market Segments In The Global Grid-Scale Battery Storage Market?
The grid-scale battery storage market covered in this report is segmented –
1) By Type: Lithium-Ion Batteries, Sodium-Based Batteries, Flow Batteries, Advanced Lead Acid Batteries, Solid State Batteries, Nickel-based Batteries, Fuel Cells, Other Types
2) By Capacity: Small, Medium, Large
3) By Ownership Model: Public, Private
4) By Application: Industrial, Residential, Commercial, Utility, Renewable Integration, Microgrids, Electric Vehicles
Which Emerging Market Trends Are Altering The Grid-Scale Battery Storage Sector?
Prominent companies in the grid-scale battery storage market are developing innovative solutions, such as advanced energy storage systems, to enhance energy density, efficiency, and longevity without degradation in power or capacity. Energy storage systems capture and store energy for later use, balancing supply and demand to improve reliability. For example, in April 2024, Contemporary Amperex Technology Co. (CATL), a China-based battery manufacturing company, launched the TENER energy storage product. TENER is tailored for large-scale applications, featuring high energy density and extended cycle life. Utilizing advanced lithium-ion technology, it offers improved safety and efficiency, while its modular design allows for flexible scalability to meet varying grid demands. Additionally, TENER performs reliably in extreme temperatures, making it suitable for diverse environmental conditions.
What Is The Leading Region In The Grid-Scale Battery Storage Market?
North America was the largest region in the grid-scale battery storage market in 2023. The regions covered in the grid-scale battery storage market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
