Energy Storage System Market Analysis

Technology (Pumped Hydro Storage, Compressed Air, Battery Energy, Flywheel Storage)

The global energy storage system market is segmented and analyzed for demand and supply by technology into pumped hydro storage, compressed air, battery energy, flywheel storage, and others. Out of these five types of segments, the pumped hydro storage segment is estimated to gain the largest market share over the projected time frame. The growth of the segment can be attributed to the worldwide exceeding demand and adoption for pumped hydro storage power generation, coupled with the growing energy consumption throughout the world. For instance, as per a report, till 2021, pumped hydro energy storage accounted for approximately 94% of total global storage power capacity and nearly 97% of total global storage energy volume. Besides this, a rising initiative by the government of nations for renewable energy generation to attain zero carbon footprint is also projected to propel the growth of the segment in the coming years.

Application (Grid Storage, Transportation)

The global energy storage system market is also segmented and analyzed for demand and supply by application into grid storage, transportation, and others. Amongst these three segments, the grid storage segment is expected to garner a significant share. The growth of the segment can be ascribed to the extensive use of grid energy storage systems across the globe, along with the radically rising demand for energy in the industrial sector is another major factor that is estimated to boost the growth of the segment in the coming years. As per the International Energy Agency (IEA) report, by the end of 2021, the total installed grid-scale battery storage capacity was up to 16 GW, the majority of which was installed over the last five years. Installations climbed significantly in 2021, jumping by 60% over 2020 as more than 6 GW of storage capacity was installed. That was the second year in a row in which the installations increased significantly. Besides this, large-scale energy storage allows for a continuous and efficient power supply. This, as a result, is also anticipated to create numerous opportunities for the growth of the segment in the coming years.

Our in-depth analysis of the global market includes the following segments:

By Technology	Pumped Hydro Storage Compressed Air Battery Energy Flywheel Storage Others
By Component	Sodium Sulfur Lithium Lead Acid Nickel Cadmium Others
By Application	Grid Storage Transportation Others
By End-User	Residential Non-Residential Utility

Frequently Asked Questions (FAQ)

Worldwide growing demand for energy, an upsurge in investments in renewable energy, and massive surge in the demand for batteries are the major factors driving the market growth.

The market is anticipated to attain a CAGR of 6% over the forecast period, i.e., 2023-2035.

Extreme expenditure requirement for installation of battery energy storage systems, and need for high initial investments for the production of flow batteries are estimated to be the growth hindering factors for the market expansion.

The market in the Asia Pacific region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.

The major players in the market are East Penn Manufacturing Co., Inc., Electrovaya Inc., Langley Holdings PLC, LG Chem, Ltd., Hitachi, Ltd., The General Electric Company, ABB Ltd, NEC Corporation, and others.

The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.

The market is segmented by technology, component, application, end-user, and by region.

The pumped hydro storage segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.

Energy Storage System Market Analysis