Global installed energy storage systems for renewable integration (ESRI) could total 45.1GW by 2025.
That’s because the growth of renewables such as wind and solar and the decreasing cost of advanced batteries present opportunities for energy storage systems, according to a report by Navigant Research.
While system costs are still one of the biggest barriers to the industry’s growth, declining prices and a flood of new system integrators are opening up new markets, it adds.
The report states the growing amount of variable energy generation being added to power grids worldwide is causing “significant shifts” in the global electric power industry.
The report analyses the global energy storage for renewables market, focusing on commercial, residential, utility-scale solar integration and utility-scale wind integration.
Anissa Dehamna, Principal Research Analyst with Navigant Research: “The business cases for ESRI will vary significantly depending on the geographic location, market structure, target customers and type of renewable energy being integrated. While this diversity presents challenges in the short term, there is enormous potential for companies able to make sense of this complexity and offer solutions that the market demands.”
According to a report by the University of East Anglia (UEA), government subsidies should be used to encourage investment in energy storage to fully integrate renewables in the sector.