The global energy storage battery market size was valued at USD 4,385.50 million in 2018. The global energy storage battery market is growing, due to the rising investments in renewable sector and proposed energy storage capacities across the world. In addition, the adoption of electric or hybrid vehicles in developed and developing economies is increasing at a high growth rate that can push the market over the next few years.
Energy storage battery systems are especially used to store the energy generated by power plants, particularly renewable power plants in order to ensure smooth flow of electricity despite fluctuations in power generation. Electrochemical energy storage solutions have been in use in different verticals for several years such as in utility, residential, and non-residential solutions. Energy storage battery engrosses the largest share in the market due to its property of rechargeable battery and can store energy from the electric grid or solar arrays and provide that energy to a home or business area in the form of electricity. Energy storage battery consists of advanced technologies such as artificial intelligence (AI) for energy storage systems which is expected to provide growth opportunities for the market over the next few years.
The value of the Energy Storage Battery market is projected to grow to US$ 44.86 Bn with an estimated CAGR of 26% by 2032
Furthermore, the demand for electricity supply is increasing due to population rise, rapid urbanization and economic development. The development of power grids for uninterrupted supply of electricity is likely to improve economies by boosting production output in various industries. The expanding electricity grids is likely to comprise of renewable energy which has become cost-effective. These factors are expected to drive the demand for energy storage batteries over the next few years. However, the requirement of high capital investment for deployment and lacking standards in order to ensure safe installation, and usage of battery energy storage systems might hinder the overall growth at a global level.
Lithium Ion batteries are widely adopted over other energy storage batteries due to its penetration across the automotive and consumer electronics sector. Over the next few years, the usage of lithium ion batteries is set to significantly increase due to its installation in all types of electric vehicles. Division of the global energy storage battery market into five major continents shows that North America is at the leading position with the highest CAGR in 2018 making up 64.3% of the total market share. The penetration of Energy storage battery in this region is moving towards its peak, thereby, implying maturity with more scope for growth.
Energy Storage Battery Market Scope
|Revenue forecast in 2032
|US$ 44.86 Bn
|CAGR of 26 % during 2022-2032
|By Storage System, By Element, By Battery Type, Regions
|North America, Europe, Asia Pacific, South America, Middle East and Africa
|Key Players Profiled
|BYD Company Limited (China), SAMSUNG SDI Co., Ltd. (South Korea), LG Energy Solutions Co., Ltd. (South Korea), and Panasonic Corporation (Japan)
Key segments of the global energy storage battery market
Type Overview (USD Billion)
- Lithium Ion Battery
- All-Vanadium Flow Battery
- Zinc-bromine Flow Battery
Application Overview, (USD Billion)
- Utility Solution
- Residential Solution
Regional Overview, (USD Billion)
- North America
- Asia Pacific
- South Korea
- Latin America
- Rest of the world
Frequently Asked Questions (FAQ) :
The global energy storage battery market has shown an exceptional growth in the recent times. Battery energy storage system is a cost-effective way of providing electricity to the population living off-the-grid. Lithium-ion batteries are used in various industries such as automotive and electronics. The rising sales of vehicles (electric or hybrid) is having substantial growth, the market for energy storage battery will also bolster in the future.
There is an increase in sale of consumer electronics which will generate demand for energy storage batteries. Focus of governments across the world to reduce carbon emissions due to electricity production is likely to be one of the key factors driving the global energy storage battery. Increasing investments in renewable sector in which governments are also entering into public-private partnerships to increase the use of renewable energy. Uninterrupted supply of electricity is needed to support urbanization and to improve economy by pushing production output in various industries. These industries keep on developing and anticipates the demand for Energy storage battery in future.
The Energy storage battery market is hampered due to the demand of high capital investment for deployment and lacking standards in order to ensure safe installation. Declining battery costs coupled with an increase in adoption of electric or hybrid vehicles are the drivers anticipated to offer growth opportunities to the global battery energy storage system.
The energy storage battery market has been segmented based on type, application and regional. Based on type, the market has been classified into lithium ion battery, all-vanadium flow battery, zinc-bromine flow battery and others. Lithium ion battery is leading the energy storage battery market on the basis of type and is expected to remain largest segment over the forecast period due to its penetration across the automotive and consumer electronics sector. The rising sales of electric vehicles is predicted to compound the market growth of this battery energy storage resolution.
The energy storage battery market has been segmented on the basis of application, the market is classified into utility, residential, and non-residential solution. Utility solution application of energy storage battery is the largest and expected to remain largest due to declining battery costs coupled with an increase in state renewable energy. The fastest growing application is non-residential due to the need of uninterrupted power supply and reduction in energy costs.
Based on regional segmentation, the market for energy storage battery are in North America, Europe, Asia Pacific, Latin America, and rest of the world. North America region is having the largest market share in global energy storage battery market due to the development of power grids for uninterrupted supply of electricity to support urbanization and improve their economies by boosting production output in various industries.
Major companies profiled in the global energy storage battery market report are NGK Insulators Ltd., Sungrow-Samsung SDI Energy Storage Power Supply Co., SMA Solar Technology AG, Aggreko, SOCOMEC, ABB, AEG Power Solutions, Tesla Energy Operations Inc. (SolarCity), and ZEN among others.