With the global energy transition and the rapid development of renewable energy, the energy storage market has increasingly become the focus of attention in the energy field. What is expected to happen to the energy storage market in the second half of 2024? This article will combine industry trends, policy environment, technological progress and other factors to give you a detailed analysis of the outlook for the energy storage market in the second half of 2024.

, global energy storage market profile

according to the international energy agency (IEA) report, The global energy storage market reached 180 gigawatt hours (GWh) in 2019 and is expected to reach 420 GWH by the end of 2024. Among them, lithium-ion battery energy storage market share is the largest, accounting for more than 70% of the global energy storage market. In addition, energy storage technologies such as pump storage, flywheel, and sodium-sulfur batteries are also gradually developing.

2, 2024 in the second half of the energy storage market trends

1. Increasingly perfect policy environment

With the development of energy storage technology and the reduction of costs, more and more countries will introduce policies to support the energy storage industry. For example, the United States, Europe, Japan, China and other countries and regions have introduced a number of policies to promote the large-scale application of energy storage. It is expected that in the second half of 2024, more than 50 countries and regions in the world will introduce energy-storage related policies, providing a good development environment for the energy storage market.

2. Renewable energy grid energy storage market demand growth

with renewable energy capacity increasing, the energy storage requirements will continue to ascend. According to the Global Energy Internet Development Cooperation Organization (GEIDCO), the global renewable energy installed capacity will reach 200 GW in 2024, and the energy storage market will reach 80 GWH. Among them, wind power and solar power are the main drivers of the energy storage market.

(3) storage cost further reduce

as technology advances, the cost of the energy storage system gradually reduced. According to the International Renewable Energy Agency (IRENA), the cost of energy storage systems in the second half of 2024 will be more than 30% lower than in 2019. The reduction of energy storage costs will promote the expansion of the energy storage market, especially in the fields of grid peak regulation, renewable energy grid connection, and electric vehicles.

4. Diversified energy storage technology development

in the lithium ion battery energy storage technology continues to advance at the same time, other energy storage technology is also in gradual development. For example, energy storage technologies such as sodium-sulfur batteries, solid-state batteries, and flywheels have advantages in terms of safety, cycle life, and cost, and are expected to be commercialized in specific fields. In addition, technologies such as flow batteries and compressed air energy storage are also being actively developed.

3, 2024 in the second half of the energy storage market opportunities and challenges

1. Opportunities

(1) Increase in demand for power grid peaking: With the development of renewable energy, the demand for power grid peaking is growing. The energy storage system can improve the peak load capacity of the power grid and promote the efficient use of renewable energy.

(2) Electric vehicle market drive: the rapid development of the electric vehicle market will drive the demand for energy storage systems, especially the application of lithium-ion battery energy storage technology in the field of electric vehicles.

(3) The potential of energy storage systems in the auxiliary service market: Energy storage systems can be used as auxiliary services to improve the stability and reliability of the grid. In the power market, energy storage systems are expected to become an important player.

2. Challenge

(1) technical safety and lack of standard: energy storage system in such aspects as safety performance, standards there are still some problem, need to strengthen technology research and development and standardize management.

(2) Lithium resource supply risk: lithium-ion battery energy storage technology is developing rapidly, and the demand for lithium resources is increasing. Lithium resource supply risk will become one of the factors restricting the development of the energy storage market.

(3) Market competition intensifies: With the expansion of the energy storage market, market competition will become increasingly fierce. Enterprises need to improve product quality and technological innovation ability to cope with market competition.

In the second half of 2024, the energy storage market will show a good development trend, and the policy environment, the demand for renewable energy grid connection, and the reduction of energy storage costs will drive the market growth. However, challenges such as technical security, lithium resource supply risks, and market competition also require attention. In the process of industry development, enterprises should increase technology research and development efforts, improve product quality, in order to adapt to market demand and competition.