Global Battery Energy Storage Systems Market Set For CAGR Of 27.9% On Grid Modernisation

Apr 22, 2022 10:55 AM ET
  • According to an evaluation by ESOMAR-certified marketing research as well as consulting company Future Market Insights, the battery energy storage systems market is expected to be valued at US$ 64.92 B in 2032, with 27.9% CAGR throughout the forecast duration.

The market's development can be credited to increasing demand for grid energy storage systems because of ongoing grid modernization, enhancing infiltration of lithium-ion batteries in the renewable resource sector, as well as the increasing trend of adopting a low-carbon fossil-fuel-free economy, along with the ongoing renewable energy revolution.

One of the most common renewable energy kinds stored in grids are solar and also wind energy. Nonetheless, the energy generation process is interrupted when the sun is covered by clouds or by altering wind currents. In addition, the substantial economic investment required to construct battery energy storage devices, on the other hand, is restricting industry development.

Such oscillations require the implementation of flexible grid services for energy storage. Grid modernization is increasingly utilizing battery energy storage innovation.

Nonetheless, utility application growth has actually been hindered by the sudden outbreak of an unique coronavirus. In 2021, there was a decline in battery energy storage systems set up in numerous jobs. Furthermore, the closure of manufacturing facilities throughout the world in the first as well as second quarters of 2020 adds to the market's fall in development in 2020.

Numerous federal governments around the world, specifically in creating countries, are attempting to develop far-off places like isolated rural areas and also peri-urban areas and tiny islands removed from national grids. Bringing electrical power to rural and also remote areas is known as rural electrification. Rural electrification can take advantage of battery energy storage devices.

Because of the aforementioned factors, the battery energy storage systems market is most likely to rise to US$ 15.1 Bn by 2027.

Secret Takeaways:

  • Lithium-ion batteries had the most substantial market share in 2021, which is anticipated to continue throughout the projection period.
  • In 2021, the on-grid category will hold one of the most significant share of the battery energy storage systems market, with a significant CAGR predicted over the forecast period. The sector's growth is most likely to be fueled by reduced energy bills for customers that rely on the utility system for power.
  • In 2021, the utility application market will certainly project. The necessity to meet peak electrical energy demands is a basic aspect driving the development of the utility industry.
  • From 2022 to 2027, the APAC market is anticipated to establish at the fastest rate. In 2021, the area will have one of the most considerable share of the battery energy storage systems market.

Competitive Landscape

The battery energy storage systems market is controlled by BYD Company Limited (China), SAMSUNG SDI Co., Ltd. (South Korea), LG Energy Solutions Co., Ltd. (South Korea), and Panasonic Corporation (Japan).

The substantial investment by the key players can be a favorable contribution to the battery energy storage systems market.

  • SAMSUNG SDI Co., Ltd. revealed PRiMX, a new battery brand name, in December 2021 to provide customers with quality, performance, and a shown benefit, which indicates individual ease attained by the company's developed technology. In Korea and also Europe, the brand name has been trademarked, as well as it will certainly be signed up in the United States soon.
  • LG Energy Solutions Co., Ltd. and also Siemens AG signed a Memorandum of Understanding (MoU) in December 2021 for collaboration in battery manufacturing, specifically the digitization of the manufacturing process. LG Energy Solutions Co., Ltd. produced wise battery manufacturing techniques at its manufacturing facilities utilizing innovative innovation due to this calculated partnership.

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