In TrendForce, Jibang Consulting estimated that in 2024, the new installed capacity of global energy storage will reach 70GW/163GWh, with a year-on-year growth rate of +36%/43%, still maintaining a relatively fast growth rate. For the continent's sake, Asia, Europe and America maintained a high growth trend, and the Middle East Africa slowed down sharply due to the unstable regional situation.

In terms of subdivision categories, the proportion of industrial and commercial reserves and large reserves increased, while household reserves weakened due to the urgency of installed capacity, and the demand growth slowed down sharply. This article mainly introduces the development of the global big storage market from the demand side.

Main market distribution

the global demand for energy storage is booming. In terms of scenarios, large storage is still the main type of new installed capacity for global energy storage. From the perspective of market distribution, China and the United States are the main markets of big reserves; The markets in Europe and the Middle East are also gradually starting.

According to the TrendForce Jibang Consulting data, in 2024, the new installed capacity of the global big storage was expected to reach 55GW/133.7GWh, a year-on-year increase of 33%/38%. With the sharp drop in the price of lithium ore, the cost of energy storage system has dropped, and the economy of large storage has been repaired to stimulate the increase of bidding market-heat. Adding countries to gradually improve the energy storage income mechanism, grid-level energy storage will usher in large-scale growth.

figure: Global Energy Storage scenario installation forecast in 2024 (Unit:GW)

in 2024, the growth rate of China and beautiful and large reserves in the previous high base slowed slightly, but it still maintained a strong growth trend, while Europe is expected to usher in the rapid growth of large storage and installed capacity.

From the perspective of segmentation, the energy storage installation structure of each regional market is different. Judging from the installed capacity in 2023, China's installed capacity is dominated by large reserves, and the installed capacity of large reserves exceeds 90%. At the same time, industrial and commercial reserves also play an increasingly important role. Due to the low electricity price of residents in our country, the scale of household storage and installation is relatively small, which can be ignored.

The urgency of the development of energy storage in the United States and the economy of energy storage projects determine the vigorous development of the American big reserve, and the American energy storage installed capacity is mainly the big reserve. With the implementation of FERC's new policy for grid connection, the backlog of ISO interconnection queue applications is gradually easing, and it is expected that the release of storage increment in 24 years will be smoother.

The majority of installed capacity in Europe is household storage. However, with the limited wind-power generation, the demand for grid-level energy storage has soared, and the proportion of large storage has increased significantly. Although the 24-year performance of the European market has slowed down compared with the 23-year growth rate, it will still maintain a high growth rate, mainly supported by the large storage volume. After the high installed capacity of renewable energy in the period of energy crisis, European countries are facing the increasingly serious problem of wind power consumption rate. With the normalization of high light abandonment rate and the introduction of subsidy policies, Spain and Italy will become the most eye-catching emerging markets in 24 years.

in the Middle East, Saudi Arabia and UAE are the main markets for the deployment of light storage in the Middle East, and the overall demand is increasing. The Middle East region has a large amount of electricity consumption and abundant light resources. Major countries have strong awareness of energy transformation, good economic foundation and strong policy support. They have issued the "Saudi 2030 Vision", strategic planning such as "UAE energy strategy in 2050. With the sharp drop in the cost of the optical storage industry chain, the demand for the optical storage installation in Dongguang increased rapidly from January to August, 2024.

Driving Factors

in essence, the installed capacity demand of large storage comes from the flexible resource demand generated by the high proportion of wind power and photovoltaic grid connection. From a regional perspective, China has promoted the gradual improvement of the big storage business model and the continuous increase of installed capacity through the strong distribution policy + market construction, and other overseas sectors have promoted the gradual improvement of the big storage business model through subsidy incentives + market returns.

" new energy distribution and storage"And" independent energy storage "are the main types of China's large storage installed capacity. Both of them are driven by the strong allocation policy of new energy, and there is a just need for scale growth. Independent energy storage can gain profits through marketization, and its utilization rate and economy are better than that of new energy allocation and storage, or it will become the mainstream installed form of domestic large storage.

From the perspective of overseas markets, as long as the development of the big reserve is driven by market-oriented factors. A large proportion of renewable energy is connected + the power grid is old, and the large storage has formed a strong support for the local power system. In addition, the large storage system can obtain relatively considerable market returns.