Energy Storage Market Size, Share, Opportunities, And Trends by Technology (Thermal Storage, Batteries, Pumped-storage Hydropower, Compressed air energy storage, Flywheels), by Application (Grid-Storage, Transportation), by End-User (Residential, Commercial, Industrial), and by Geography – Forecast From 2025 To 2030

Energy Storage Market Size:

The energy storage market is expected to grow from USD 44.952 billion in 2025 to USD 82.778 billion in 2030, at a CAGR of 12.99%.

Energy storage also referred to as electricity storage, means the storage of energy. Energy storage works by capturing energy from renewable and non-renewable sources and discharging it when necessary.

This gives the user greater flexibility in the use of electricity and control over its storage. The storage helps in overcoming the traditional barriers related to the continuous supply of energy, helping in self-sufficiency, and maintaining the equilibrium between the supply and demand of electricity. The storage of energy is becoming increasingly popular. This could be due to the rising demand for renewable energy, scarcity of fossil fuels and the pollution caused by its use, and various supportive government policies. These factors along with others such as increasing global power consumption, heavy public-private investment, improving energy storage economics, rapid industrialization in developing countries, increased usage of energy storage systems in transportation, and various energy storage schemes(ESS). However, the high installation costs of storage systems along with the high capital cost for deployment of energy storage technologies could be a concern for the market.

Energy Storage Market Driver:

• Batteries segment to witness considerable growth

The shift to a sustainable energy system is expected to require the use of battery energy storage. Voltage and frequency are controlled, peak demand costs are decreased, renewable energy sources are integrated, and a backup power supply is offered by the battery energy storage system. Energy storage systems depend heavily on batteries, which also account for the majority of the system's overall cost. Lithium-ion, lead-acid, nickel-cadmium, and flow batteries are a few of the different battery types utilized in energy storage systems. Due to their falling pricing, lithium-ion batteries have been experiencing an increase in demand in the battery energy storage sector. By 2030, the US Department of Energy set an initial pricing target of USD 125/kWh, and it is predicted that the price of lithium-ion batteries will reach USD 73/kWh by that year. Furthermore, due to their low maintenance needs, lightweight, consistent cycle life, high energy density in relation to volume, and high charge and discharge efficiencies, lithium-ion batteries are anticipated to hold a sizable share of the battery energy storage industry.

Energy Storage Market Geographical Outlook:

• Asia Pacific to hold a dominant share of the market

Over the predicted period, Asia Pacific is anticipated to hold a sizeable share of the energy storage market. There are two main power grid types in the area, each with unique properties and prospects for energy storage devices. On one side, there are advanced countries like Japan, South Korea, New Zealand, and Australia as well as other significant cities with reliable, cutting-edge grids. On the other hand, other countries still lack adequate power grids and are still establishing their basic infrastructural systems. Rapid urbanization and population expansion are anticipated in developing nations, which is predicted to boost demand for power. For example, India plans to have 275 GW of combined wind and solar capacity, 72 GW of hydropower, and 15 GW of nuclear power by 2027. The demand for energy storage systems to address the issues linked to the intermittent nature of renewable energy generation is also anticipated to increase with the rising growth of the renewable sector. In addition, the South Korean government reduced its projected growth in electricity demand through 2030 to 1% yearly in accordance with the 8th Basic Plan for Electricity Supply and Demand. Through energy-saving measures, the adoption of green sources of renewable energy in combination with ESS, and a reduction in fine dust particle pollution, the government plans to lower its greenhouse gas emissions. Additionally, China announced in 2021 that it would increase the total installed capacity of non-pumped hydropower storage to approximately 30 GW by 2025 and 100 GW by 2030. These plans, along with China's adoption of time-of-use power tariffs that widen the gap between peak and off-peak power rates, are anticipated to catalyze a boom in the battery storage industry. Therefore, it is anticipated that all of these aspects would contribute to the region's quick expansion.

The energy storage market is expected to grow from USD 44.952 billion in 2025 to USD 82.778 billion in 2030, at a CAGR of 12.99%.

Energy storage also referred to as electricity storage, means the storage of energy. Energy storage works by capturing energy from renewable and non-renewable sources and discharging it when necessary.

This gives the user greater flexibility in the use of electricity and control over its storage. The storage helps in overcoming the traditional barriers related to the continuous supply of energy, helping in self-sufficiency, and maintaining the equilibrium between the supply and demand of electricity. The storage of energy is becoming increasingly popular. This could be due to the rising demand for renewable energy, scarcity of fossil fuels and the pollution caused by its use, and various supportive government policies.

These factors along with others such as increasing global power consumption, heavy public-private investment, improving energy storage economics, rapid industrialization in developing countries, increased usage of energy storage systems in transportation, and various energy storage schemes (ESS). However, the high installation costs of storage systems along with the high capital cost for deployment of energy storage technologies could be a concern for the market.

Energy Storage Market Driver:

Batteries segment to witness considerable growth

The shift to a sustainable energy system is expected to require the use of battery energy storage. Voltage and frequency are controlled, peak demand costs are decreased, renewable energy sources are integrated, and a backup power supply is offered by the battery energy storage system. Energy storage systems depend heavily on batteries, which also account for the majority of the system's overall cost. Lithium-ion, lead-acid, nickel-cadmium, and flow batteries are a few of the different battery types utilized in energy storage systems.

Due to their falling pricing, lithium-ion batteries have been experiencing an increase in demand in the battery energy storage sector. By 2030, the US Department of Energy set an initial pricing target of USD 125/kWh, and it is predicted that the price of lithium-ion batteries will reach USD 73/kWh by that year. Furthermore, due to their low maintenance needs, lightweight, consistent cycle life, high energy density about volume, and high charge and discharge efficiencies, lithium-ion batteries are anticipated to hold a sizable share of the battery energy storage industry.

Energy Storage Market Geographical Outlook:

Asia Pacific to hold a dominant share of the market

Over the predicted period, Asia Pacific is anticipated to hold a sizeable share of the energy storage market. There are two main power grid types in the area, each with unique properties and prospects for energy storage devices. On one side, there are advanced countries like Japan, South Korea, New Zealand, and Australia as well as other significant cities with reliable, cutting-edge grids. On the other hand, other countries still lack adequate power grids and are still establishing their basic infrastructural systems.

Rapid urbanization and population expansion are anticipated in developing nations, which is predicted to boost power demand. For example, India plans to have 275 GW of combined wind and solar capacity, 72 GW of hydropower, and 15 GW of nuclear power by 2027. The demand for energy storage systems to address the issues linked to the intermittent nature of renewable energy generation is also anticipated to increase with the rising growth of the renewable sector.

In addition, the South Korean government reduced its projected growth in electricity demand through 2030 to 1% yearly by the 8th Basic Plan for Electricity Supply and Demand. Through energy-saving measures, the adoption of green sources of renewable energy in combination with ESS, and a reduction in fine dust particle pollution, the government plans to lower its greenhouse gas emissions.

 Additionally, China announced in 2021 that it would increase the total installed capacity of non-pumped hydropower storage to approximately 30 GW by 2025 and 100 GW by 2030. These plans, along with China's adoption of time-of-use power tariffs that widen the gap between peak and off-peak power rates, are anticipated to catalyze a boom in the battery storage industry. Therefore, it is anticipated that all of these aspects would contribute to the region's quick expansion.

Energy Storage Market Segmentation

• By Technology
  • Thermal Storage
  • Battery Energy Storage
  • Pumped Storage Hydropower
  • Compressed Air Energy Storage
  • Flywheel
  • Others
• By Deployment
  • Off-Grid
  • On-Grid
• By End-User
  • Residential
  • Commercial
  • Industrial
• By Geography
  • North America
    • United States
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Others
  • Middle East and Africa (MEA)
    • Saudi Arabia
    • UAE
    • Israel
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • India
    • Indonesia
    • Thailand
    • Taiwan
    • Others

1. EXECUTIVE SUMMARY 

2. MARKET SNAPSHOT

2.1. Market Overview

2.2. Market Definition

2.3. Scope of the Study

2.4. Market Segmentation

3. BUSINESS LANDSCAPE 

3.1. Market Drivers

3.2. Market Restraints

3.3. Market Opportunities 

3.4. Porter’s Five Forces Analysis

3.5. Industry Value Chain Analysis

3.6. Policies and Regulations 

3.7. Strategic Recommendations 

4. TECHNOLOGICAL OUTLOOK

5. ENERGY STORAGE MARKET BY TECHNOLOGY

5.1. Introduction

5.2. Thermal Storage

5.3. Battery Energy Storage

5.4. Pumped Storage Hydropower

5.5. Compressed Air Energy Storage

5.6. Flywheel

5.7. Others

6. ENERGY STORAGE MARKET BY DEPLOYMENT

6.1. Introduction

6.2. Off-Grid

6.3. On-Grid 

7. ENERGY STORAGE MARKET BY END-USER

7.1. Introduction

7.2. Residential 

7.3. Commercial

7.4. Industrial

8. ENERGY STORAGE MARKET BY GEOGRAPHY

8.1. Introduction

8.2. North America

8.2.1. USA

8.2.2. Canada

8.2.3. Mexico

8.3. South America

8.3.1. Brazil

8.3.2. Argentina

8.3.3. Others

8.4. Europe

8.4.1. Germany

8.4.2. France

8.4.3. United Kingdom

8.4.4. Spain

8.4.5. Others

8.5. Middle East and Africa

8.5.1. Saudi Arabia

8.5.2. UAE

8.5.3. Others

8.6. Asia Pacific

8.6.1. China

8.6.2. India

8.6.3. Japan

8.6.4. South Korea

8.6.5. Indonesia

8.6.6. Others

9. COMPETITIVE ENVIRONMENT AND ANALYSIS

9.1. Major Players and Strategy Analysis

9.2. Market Share Analysis

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Competitive Dashboard

10. COMPANY PROFILES

10.1. LG Corporation

10.2. ABB Ltd.

10.3. The AES Corporation

10.4. BYD Company Ltd.

10.5. Toshiba Corporation

10.6. Convergent Energy and Power

10.7. Eos Energy Storage Inc.

10.8. GS Yuasa International Ltd.

10.9. Johnson Controls 

10.10. Contemporary Amperex Technology Co. Ltd.

11. APPENDIX

11.1. Currency 

11.2. Assumptions

11.3. Base and Forecast Years Timeline

11.4. Key benefits for the stakeholders

11.5. Research Methodology 

11.6. Abbreviations 

LG Corporation

ABB Ltd.

The AES Corporation

BYD Company Ltd.

Toshiba Corporation

Convergent Energy and Power

Eos Energy Storage Inc.

GS Yuasa International Ltd.

Johnson Controls 

Contemporary Amperex Technology Co. Ltd.

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