Forecast of global energy storage market in 2023

China Business Intelligence Network News: Energy storage refers to the storage of electric energy, which is related to the technology and measures of using chemical or physical methods to store electric energy and release it when needed. According to the way of energy storage, energy storage can be divided into mechanical energy storage, electromagnetic energy storage, electrochemical energy storage, thermal energy storage and chemical energy storage.Energy storage is becoming one of the key technologies used by many countries to promote the process of carbon neutrality. Even under the dual pressure of the COVID-19 epidemic and supply chain shortage, the global new energy storage market will still maintain a high growth trend in 2021. The data shows that by the end of 2021, the cumulative installed capacity of the energy storage projects that have been put into operation in the world is 209.4GW, up 9% year on year; Among them, the installed capacity of new energy storage projects put into operation was 18.3GW, up 185% year on year. Affected by the rise of energy prices in Europe, it is expected that the demand for energy storage will continue to grow in the next few years, and the cumulative installed capacity of energy storage projects that have been put into operation in the world will reach 228.8GW in 2023.

Industry prospect

1. Favorable policies

The governments of major economies have adopted policies to encourage the development of energy storage. For example, in the United States, the federal investment tax credit provides tax credit for the installation of energy storage equipment by household and industrial and commercial end users. In the EU, the 2030 Battery Innovation Roadmap emphasizes various measures to stimulate the localization and large-scale development of energy storage technology. In China, the Implementation Plan for the Development of New Energy Storage in the 14th Five-Year Plan issued in 2022 put forward comprehensive policies and measures to promote the energy storage industry to enter a large-scale development stage.

2. The share of sustainable energy in power generation is increasing

As wind power, photovoltaic and other power generation modes are highly dependent on the power generation environment, with the gradual increase of the proportion of new energy such as wind and solar energy, the power system presents double-peak, double-high and double-sided randomness, which puts forward higher requirements for the security and stability of the power grid, and the market has increased demand for energy storage, peak-shaving, frequency modulation, and stable operation. On the other hand, some regions still face the problem of high rate of light and electricity abandonment, such as Qinghai, Inner Mongolia, Hebei, etc. With the construction of a new batch of large-scale wind power photovoltaic power generation bases, it is expected that large-scale new energy grid-connected power generation will bring greater pressure on the consumption and utilization of new energy in the future. The proportion of domestic new energy power generation is expected to exceed 20% in 2025. The rapid growth of new energy installed capacity will drive the increase of energy storage permeability.

3. Energy demand turns to clean power under the trend of electrification

Under the trend of electrification, energy demand has steadily shifted from traditional energy such as fossil fuels to clean electric energy. This shift is reflected in the shift from fossil fuel vehicles to electric vehicles, many of which are powered by distributed renewable energy. As clean electricity becomes more and more important energy, the demand for energy storage will continue to rise to solve intermittent problems and balance the supply and demand of electricity.

4. Decrease in energy storage cost

The global average LCOE of energy storage has dropped from 2.0 to 3.5 yuan/kWh in 2017 to 0.5 to 0.8 yuan/kWh in 2021, and is expected to further decline to [0.3 to 0.5 yuan/kWh in 2026. The decline of energy storage costs is mainly driven by the progress of battery technology, including the improvement of energy density, the reduction of manufacturing costs and the increase of battery life cycle. The continuous decline of energy storage costs will stimulate the growth of the energy storage industry.

For more information, please refer to the Research Report on the Market Prospect and Investment Opportunities of the Global Energy Storage Industry released by the China Commercial Industry Research Institute. At the same time, the China Commercial Industry Research Institute also provides services such as industrial big data, industrial intelligence, industrial research report, industrial planning, park planning, the Fourteenth Five-Year Plan, industrial investment and other services