Press Release

Renewable Battery Storage Market to Grow with a CAGR of 41.19% through 2028

Increasing deployment of renewable energy sources and improving grid stability & reliability are likely to drive the market in the forecast period.

 

According to TechSci Research report, “Renewable Battery Storage Market – Global Industry Size, Share, Trends, Competition Forecast & Opportunities, 2028”, the Global Renewable Battery Storage Market stood at USD 62.08 billion in 2022 and is anticipated to grow with a CAGR of 41.19% in the forecast period. One of the prominent drivers propelling the global Renewable Battery Storage market is the rapid expansion of renewable energy capacity worldwide. Governments, businesses, and individuals are increasingly investing in renewable energy sources such as solar, wind, and hydropower to reduce their carbon footprint and transition to cleaner energy alternatives. However, these renewable sources are inherently intermittent, dependent on weather conditions and time of day, making it challenging to maintain a stable and consistent energy supply. Renewable battery storage solutions, often based on advanced lithium-ion battery technology, address this intermittency issue. They enable the capture and storage of excess energy generated during periods of high renewable output, which can then be deployed during times of low generation or high demand. This ability to store and release energy on-demand enhances grid reliability, reduces the need for fossil fuel backup, and optimizes the utilization of renewable resources. As countries worldwide set ambitious renewable energy targets and commitments to combat climate change, the demand for renewable battery storage systems continues to grow. The renewable energy sector's rapid growth, coupled with the need for energy storage solutions to ensure grid stability, positions the Renewable Battery Storage market as a critical component of the global energy transition.

Another significant driver behind the global Renewable Battery Storage market is the ongoing decline in battery costs and continuous technological advancements in energy storage systems. Over the past decade, there has been a remarkable reduction in the cost of lithium-ion batteries, which are the most prevalent technology used in renewable battery storage. This cost reduction can be attributed to several factors, including economies of scale, improved manufacturing processes, and increased research and development efforts. As production volumes have increased and supply chains have matured, the per-unit cost of batteries has decreased substantially, making energy storage solutions more economically attractive. Furthermore, ongoing technological innovations have led to improvements in battery performance, energy density, cycle life, and safety features. These advancements not only enhance the overall efficiency and reliability of renewable battery storage systems but also expand their range of applications. As battery costs continue to decline and energy storage technologies become more sophisticated, they become increasingly accessible to a broader range of consumers, businesses, and utilities. This affordability and improved performance drive greater adoption of renewable battery storage, further accelerating the integration of renewable energy sources and contributing to the global transition toward cleaner and more sustainable energy systems.          

 

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The Global Renewable Battery Storage Market is segmented into type, end user and region.

Based on type, The Solar Power segment held the largest market share in 2022. Solar energy is one of the most abundant and widely available renewable energy resources globally. The sun shines virtually everywhere on Earth, making solar power accessible to a wide range of regions and countries. This ubiquity of solar resources allows for the widespread deployment of solar panels and photovoltaic (PV) systems.  The cost of solar PV panels has been steadily decreasing over the years due to advancements in technology, increased manufacturing efficiency, and economies of scale. This cost reduction has made solar power more economically attractive, increasing its adoption. Solar PV systems are highly modular and scalable. They can be installed on rooftops, open land, or integrated into existing infrastructure, making them suitable for various applications, from residential to utility-scale projects. This flexibility enables individuals, businesses, and utilities to deploy solar power systems based on their specific needs and available space. Many countries have implemented favorable policies like net metering and feed-in tariffs that encourage the adoption of solar power. Net metering allows homeowners and businesses to sell excess electricity generated by their solar panels back to the grid, effectively "storing" it for later use as credit. Feed-in tariffs guarantee fixed payments for solar power generation, providing financial incentives for solar system owners. Solar power generation is inherently intermittent, dependent on sunlight availability. To make solar energy more reliable and dispatchable, energy storage solutions like batteries are often integrated with solar PV systems. These batteries store excess energy generated during sunny periods and release it during cloudy days or at night, ensuring a continuous power supply.

Based on end user, The Residential segment held the largest market share in 2022. Many homeowners are increasingly interested in reducing their reliance on traditional utility companies and achieving a degree of energy independence. Renewable battery storage systems allow them to store excess energy generated from sources like rooftop solar panels and use it when needed, reducing their dependence on grid-supplied electricity.  Residential users often face fluctuating electricity prices, including peak demand charges. By pairing renewable energy sources with energy storage, such as home battery systems, homeowners can optimize their energy consumption patterns. They can store excess energy when electricity rates are low and use stored energy during peak rate periods, resulting in significant cost savings over time. Growing environmental awareness and concerns about climate change have led many homeowners to seek cleaner and more sustainable energy solutions. Solar panels combined with energy storage not only reduce electricity bills but also lower carbon emissions, aligning with eco-conscious values. In many countries, governments offer incentives, tax credits, rebates, and favorable net metering policies to encourage residential adoption of renewable energy and energy storage systems. These financial incentives make it more affordable for homeowners to invest in such technologies, contributing to their dominance in the market. Energy storage provides a degree of resilience against power outages. Residential battery systems can act as backup power sources during grid failures, ensuring essential appliances and systems continue to function. The increasing frequency of extreme weather events and grid vulnerabilities has driven interest in residential energy resilience.

 

Major companies operating in the Global Renewable Battery Storage Market are:

  • ABB Group
  • BYD Co. Ltd
  • Contemporary Amperex Technology Co., Limited
  • Fluence Energy
  • General Electric Company
  • Hitachi ABB Power Grids
  • LG Chem
  • NEC Corporation
  • Panasonic Holdings Corporation
  • Samsung SDI Co., Ltd.

 

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“The Global Renewable Battery Storage market is expected to rise in the upcoming years and register a significant CAGR during the forecast period. The global Renewable Battery Storage market is fueled by the rapid expansion of renewable energy sources like solar and wind. As businesses and governments commit to reducing carbon emissions and enhancing energy sustainability, the intermittent nature of renewables poses challenges. Renewable battery storage solutions address this issue by efficiently storing surplus energy generated during peak production periods. This stored energy can be deployed during low-production or high-demand periods, ensuring a reliable and uninterrupted power supply. The demand for such solutions continues to surge, driven by the global shift towards cleaner energy sources and the need for grid stability and energy resilience. Therefore, the market of Renewable Battery Storage is expected to boost in the upcoming years.,” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based management consulting firm.

Renewable Battery Storage Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028  Segmented By Type (Wind Power, Hydroelectric Power, Solar Power, Bio Energy, Others), By End User (Residential, Commercial, Industrial), By Region, By Competition”, has evaluated the future growth potential of Global Renewable Battery Storage Market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision-makers make sound investment decisions., The report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the Global Renewable Battery Storage Market.

 

 

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