Grid Scale Batteries

The Grid Scale Batteries Emerging Market Analysis report delivers current market analysis plus a five year market and technology forecast. 

Grid Scale Batteries Market Continues to Impress Post Pandemic

The grid scale batteries market had robust growth in 2021, despite the pandemic. This was driven by the fact that the shift to renewable generation has not slowed, but actually accelerated as a result of the COVID-19 pandemic, owing to easy monetary and fiscal policy, “build back better” programs focusing on sustainability, and the continuing reduction in technology costs. In addition to aggressive fiscal policy, central banks in the world’s largest economies slashed interest rates to zero. With borrowing costs low, investors are finding it easier to finance energy storage installations

Grid Scale Batteries Strategic Issues

In addition to providing a five-year market forecast, the Grid Scale Batteries market research report provides detailed quantitative current market data and addresses key strategic issues as follows.

Plan for the Future of a Storage Project from the Start

Energy storage is a sizeable investment, especially within an industry where large capital infrastructure expenditure is less common. Planning ahead and making the right early choices can save a lot of money and time in the future. One consideration needs to be the potential for revenue stacking—utilizing your storage assets for more than one function, improving the feasibility of the investment. This can mean using batteries to shave off a demand peak to avoid an onerous utility fee, capturing excess on-site solar power midday, providing services to the grid, and so on. Opportunities to provide grid services are quickly increasing as regulators worldwide move toward more integrated and democratic energy service markets, so if it is not possible at the moment, it likely will be within the project lifespan. Deciding how to best optimize power capacity deployment for the different available use cases on a given day will require sophisticated software from the supplier. Planning for desired use cases, now and in the future, will also help determine what storage capacity is needed. If this figure is likely to grow as new use cases become available/economic, look for suppliers offering modular storage solutions that can scale with your needs down the line.

Choose an Integrated Supplier Who Can Do It All

Deploying an energy storage project can be an overwhelming endeavor, especially if this is the first time for the organization, or if you are coming from an industry outside of the power sector such as retail, real estate, or higher education. As part of the deployment, you will have to properly define the assets’ mission profile and your likely future scaling needs in a changing regulatory and business environment, then size/architect the project accordingly. To make things easier and ensure that you are ready for the future, choose an integrated supplier who can provide everything you will need themselves. This means a partner who can work with you through the planning/consulting phase, to installation and continuing support/maintenance, as well as providing all the hardware and intuitive software you will need to be successful. In addition buyers need to have a clear plan for operating their batteries, which is typically a 24/7 activity.

Take Advantage of the Government Programs Available

For years, one key enabler of clean technology projects has been government programs. Though vast price reductions have meant that projects are more and more likely to be economic without any help, a variety of incentive and subsidy schemes exist today. These vary by country, and even different states and regions within a given country will have their own policy to promote energy storage projects. These range from investment tax credits (ITCs), government rebate programs, and feed-in tariff schemes, to accelerated depreciation schedules, and more. Many of these come with strings attached, such as only applying when paired with renewable generation. Buyers should study the local policies wherever they intend to deploy to improve their bottom line and take note of legislation in the works, as a program that may come into effect next year could change your calculus for the deployment schedule.