Grid-connected Energy Storage Capacity will Surge to 21 GWh by 2025
July 29, 2016 | IHS MarkitEstimated reading time: 1 minute
The global energy storage market is expected to double, from 1.4 gigawatt hour (GWh) added in 2015 to 2.9 GWh this year, offering unique growth prospects for many energy companies as global energy markets continue to cool. Global grid-connected energy storage capacity will surge to 21 GWh by 2025, according to IHS Markit. Over the next decade, Lithium-ion (Li-ion) batteries will become the mainstream energy-storage technology, and more than 80 percent of global energy storage installations will include the technology by 2025.
“Energy storage is set to grow as fast as solar photovoltaic energy has in recent years, sparking strong interest from a wide range of players and underscored by recent mergers and acquisitions among car manufacturers, major oil and gas companies, and conventional power suppliers,” said Marianne Boust, principal analyst, IHS Markit. “The United States and Japan are leading the way, but we’re also seeing activity in South Africa, Kenya, the Phillippines and other countries, as the cost of batteries continues to decline.”
According to the IHS Markit Grid-Connected Energy Storage Forecast Database, Japan and the United States will be the largest energy storage markets, generating a third of market revenues totaling $50 billion over the next decade. In Australia and Japan, energy storage penetration is expected to exceed 5 percent of installed power capacity in 2025, underscoring the growing role that energy storage will play in grid stability, renewable integration and overall energy management.
Half of all energy storage installations will occur behind the meter, driven by self-consumption and back-up needs. Eight countries will each have cumulative behind-the-meter storage power exceeding 1 GWh, including Japan, China and the United States. “Looking ahead to the future, half of all energy storage will come from households and businesses seeking to control their energy consumption, which will massively disrupt the traditional business models from established utilities and large equipment manufacturers,” Boust said.
About IHS Markit
IHS Markit is a world leader in critical information, analytics and solutions for the major industries and markets that drive economies worldwide. The company delivers next-generation information, analytics and solutions to customers in business, finance and government, improving their operational efficiency and providing deep insights that lead to well-informed, confident decisions. IHS Markit has more than 50,000 key business and government customers, including 80 percent of the Fortune Global 500 and the world’s leading financial institutions. Headquartered in London, IHS Markit is committed to sustainable, profitable growth.
Suggested Items
Northrop Grumman, Mitsubishi Electronic to Support Core Mission Capabilities in Japan
07/15/2024 | Northrop GrummanNorthrop Grumman Corporation and Mitsubishi Electric Corporation (MELCO) signed a Memorandum of Understanding (MOU) to develop new opportunities for mission solutions in the United States and Japan.
Ibiden Named Among Continuous Selection of Constituent Companies for FTSE Russell ESG Investment Indexes
07/12/2024 | IBIDENIBIDEN Co, Ltd. is pleased to announce that it has been selected for FTSE4Good Index Series for the nineth consecutive year, FTSE Blossom Japan Index for the eighth consecutive year, and FTSE Blossom Japan Sector Relative Index for the third consecutive year.
AI Server, AI Notebook Hardware Upgrades Drive Demand for High-Capacitance MLCCs, Boosting Average Supplier Prices
07/11/2024 | TrendForceThe AI hardware boom is in full swing: TrendForce reports that the first half of this year witnessed a robust increase in AI server orders.
Ibiden Announces Continuous Selection of Constituent Companies for MSCI ESG Indexes
07/10/2024 | IBIDENIBIDEN Co, Ltd. is pleased to announce that it has been selected for inclusion in MSCI Inc.'s MSCI ESG Leaders Indexes Constituent, MSCI Japan ESG Select Leaders Index, and MSCI Nihonkabu ESG Select Leaders Index.
JPCA Show Review: Sizing Up the Market in Japan
07/09/2024 | James Stone, IECAs a relatively newer member of the PCB industry, I found the Japan Printed Circuit Association (JPCA) show, held in June at the Tokyo Big Sight Convention Hall, to be a great experience. This year’s show was considered smaller compared to past years, but I was still impressed by the size and number of attendees.