Global energy storage deployment may hit 500 GW by 2031

European energy without Russian gas Du liest Global energy storage deployment may hit 500 GW by 2031 4 Minuten Weiter Wirsol secures approval for hybrid solar-storage power plant

3. Aug 2022

https://www.pv-magazine.com/2022/08/03/global-energy-storage-deployment-may-hit-500-gw-by-2031/

Wood Mackenzie said it expects the United States and China to represent 75% of global energy storage demand in a highly consolidated market.

AUGUST 3, 2022 RYAN KENNEDY

Image: Wood Mackenzie

As renewable energy plays a growing role in the electricity grid, energy storage buildout is quickly following behind. Wood Mackenzie said it expects 500 GW in global deployment by 2031, with the United States and China representing 75% of worldwide demand.

Wood Mackenzie said it sees the United States on a path to be a 27 GW annual market by 2031, and 83% of that figure will be utility-scale storage. However, projections for 2022 and 2023 have been trimmed by 34% and 27%, respectively, due to disruptions from antidumping and a countervailing duties tariff suit in the second quarter. Solar-plus-storage projects were impacted heavily by the investigation, leading to about 35% of grid-scale projects being delayed as a result.

The market is expected to be highly consolidated over the next decade. The top 10 nations for deployment are expected to represent 91% of the global demand, with grid-scale storage representing the largest share of capacity.

The European market is expected to increase five times over the next decade, however project economics in Europe are hampering buildout, said Wood Mackenzie. Policy may improve project economics. The European Commission’s REPowerEU plan has provisions to streamline permitting processes for storage and PV systems, and calls for higher renewables targets, which in turn will drive demand for energy storage.

Popular content

The Hydrogen Stream: Construction begins on world’s largest integrated green hydrogen, ammonia plant26 JULY 2022In other news, German energy company Uniper said it will test a new salt cavern built for hydrogen storage, while Serbia and Hungary signed a memoran…New residential lithium-ion battery from China1 AUGUST 2022Chinese manufacturer Bslbatt has unveiled an upgraded version of its residential battery. The device has a storage capacity ranging from 5.12 to 12.8…Dubai mega solar project to be finished in 2027 and could be scaled back27 JULY 2022The Dubai Electricity and Water Authority has a tendency to reveal changes in the project’s specification by publishing updates emphasizing the progr…European energy without Russian gas3 AUGUST 2022Scientists in Denmark have modeled the likely impacts of reduced gas supply on the European energy mix up to 2050. Their research finds that if the c…The Hydrogen Stream: $8 billion green hydrogen facility near the Suez Canal29 JULY 2022Egypt is taking several steps to support renewable and hydrogen projects, aiming to produce 42% of its electricity from renewable sources by 2030. Me…Chinese PV Industry Brief: China may install up to 100 GW of solar this year22 JULY 2022The country added more than 30 GW of new PV capacity in the first half of 2022 and its cumulative installed solar power reached 340 GW at the end of…

Europe’s energy storage market is characterized by distributed storage more than grid-scale. Distributed storage has numerous benefits, one of the most important being a lessened need for high-power transmission and substation buildout. It also makes the power grid more decentralized and able to respond to extreme weather events and grid outages.

China released a five-year plan for energy storage this year that calls for a large-scale development supply chain by 2025, in which the nation targets a 30% reduction in system costs through improved technology performance. Since the plan was released, 12 provinces and cities announced deployment targets for energy storage, totaling 40 GW.

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.