by The Stationary Energy Storage Market is estimated to be valued at US$ 35.17 Billion in 2022 and is expected to exhibit a CAGR of 23.64% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Stationary energy storage systems refer to energy storage installations designed for stationary applications as stand-alone systems or integrated into power generation systems. They are used to store energy and supply it in off-peak hours or when required in different forms. The key products in this market include lithium-ion batteries, lead-acid batteries, flow batteries, and sodium-based batteries which are widely used for residential, non-residential, and utility-scale applications.
Market Dynamics:
The stationary energy storage market is primarily driven by the increasing adoption of renewable energy sources across the globe. Renewable energy sources like solar and wind are intermittent in nature and stationary batteries help in energy time shifting by storing excess energy produced during off-peak hours and supplying it when the sun is not shining or wind is not blowing. Furthermore, the growing demand for backup power from residential and non-residential sectors is also fueling the market growth. Stationary batteries provide backup power during power outages and help reduce economic losses. Government initiatives to promote sustainable energy and reduce carbon emissions are further supporting the adoption of stationary energy storage systems. However, the high upfront installation cost of stationary batteries remains a major challenge for widespread adoption.
Segment Analysis
The global stationary energy storage market is dominated by the lithium-ion battery segment. Lithium-ion batteries have become the preferred choice for stationary energy storage due to their higher power density, longer cycle life, and ability to continuously charge and discharge. Advantages like smaller size and lighter weight also make lithium-ion batteries suitable for residential as well as utility-scale energy storage applications.
PEST Analysis
Political:
Favorable government policies and regulations regarding renewable integration and carbon emission reductions in various countries are boosting the adoption of stationary energy storage solutions.
Economic:
Significant investment in clean energy projects around the world is driving the growth of the stationary energy storage market.
Social:
Rising concerns over environmental pollution and need for sustainable energy solutions are increasing the demand for stationary storage systems.
Technological:
Advancements in battery technology, such as lithium-ion and vanadium redox batteries, have enhanced the efficiency and lifetime of storage solutions.
Key Takeaways
The global stationary energy storage market is expected to witness high growth, exhibiting CAGR of 23.64% over the forecast period, due to increasing integration of renewable energy sources into the grid. The market, valued at US$35.17 Billion in 2022 is projected to reach over US$150 billion by 2030.
Regional analysis: North America dominates the global market currently due to supportive government policies for clean energy adoption in the US and Canada. Asia Pacific is expected to be the fastest growing market, led by China due to significant investments in grid modernization and energy storage projects.
Key players operating in the stationary energy storage market include Tesla, Duracell Power Center, Durapower Group, Contemporary Amperex Technology Co., Limited (CATL), and Toshiba Corporation. Manufacturers are focusing on developing advanced and cost-effective battery technologies to gain a competitive edge in the market.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
