Navigant: As energy storage takes off, global revenues will rise to $68B
- Worldwide revenue from energy storage for the grid and ancillary services is expected to total $68.5 billion from 2014 through 2024, according to new data from Navigant Research.
- The firm estimated 362.8 MW of storage projects were announced in the 2013-2014 period, with an almost equal distribution between North America, Asia Pacific and Western Europe.
- While incumbent pumped storage remains dominant in terms of installed capacity, Navigant said the market has started moving quickly to adopt a number of technologies including lithium ion, power-to-gas, flow battery, and compressed air systems.
The rise in distributed generation has utilities struggling with how to maintain grid reliability, and increasingly they are turning to energy storage solutions. New research from Navigant indicates the utility-scale storage market is growing rapidly and evenly. Worldwide revenues are expected to total $68.5 billion from 2014 through 2024. And from 2013 to 2014 North America announced 103.3 MW of storage projects; Asia Pacific announced 100.5 MW; and Western Europe another 91.1 MW.
“Developing energy storage that is viable for grid applications has been a goal of vendors and grid operators for a number of years,” said Anissa Dehamna, senior research analyst with Navigant. “Recently a number of factors, including the falling price for lithium-ion battery systems, have begun to converge to bring that goal close to fruition.”
In 2014, Navigant projected the global market for advanced batteries for utility-scale energy storage applications will grow from $164 million in 2014 to more than $2.5 billion in 2023.
- Transmission & Distribution World Revenue from Grid-Scale Energy Storage is Expected to Total More than $68 Billion from 2014-2024
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