| Date | December 02, 2021 |
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On December 1, senior energy storage analyst Dr. Fang-wei Yuan of InfoLink Consulting was invited to talk at the Energy Taiwan 2021. During the video presentation, Dr. Yuan pointed out great business opportunities of global solar-plus-storage market amid the global race to net zero, and helped businesses in Taiwan better understand technology trends and business models of energy storage.
As COP26 came to an end and countries across the world set goals to achieve net zero, deployment of renewable energy grows rapidly every year. This indicates increasing electricity share of intermittent energy sources, such and solar power and wind power. This not only impacts the distribution and stability of traditional electricity grid, but fails to make the best use of renewable energies. Energy storage is the best and essential solution, for which demand emerges around the globe in terms of policy framework and application.
Firstly, global electrochemical energy storage market surpassed 10 GW in 2020 and is expected to expand rapidly, reaching 22-25 GWh by the end of 2021, and beyond 50 GWh by 2025, a 45% compound annual growth rate. Secondly, the integration with renewable energy generation is the largest application market of energy storage. InfoLink expects solar-plus-storage market to exceed 30 GWh by 2025, with the U.S and China taking up 75% of market share. Countries with faster energy storage development see BTM residential market growing robustly. As of the end of 2021, homes equipped with solar and energy storage systems in Germany, Japan, Australia, and the U.S. will amount to 11 million and 1.5 million, respectively and 16 million and 4 million by 2025, respectively. This means the installation ratio of residential solar and storage will increase from 14% to 25%. It is worth noting that Germany has 70% of residential solar and storage installation ratio, demonstrating the inelastic demand for energy storage amid high domestic electric consumption, underscoring the general public’s acceptance for renewable energies and determination to realize self-consumption, and marking the necessity of solar-plus-storage.
In Taiwan, the energy storage industry is rather weak and slow in progress. Presently, installed electrochemical energy storage capacity sat at around 30 MW only. With active promotions from the government and Taipower, businesses are highly attentive this year. Given policy supports and strong demand, InfoLink projects that Taiwan will hit 20 GWh energy storage and NTD 200 billion of economic scale by 2030, securing 2% of global market share. This is nearly 100 times of growth compared to levels in 2020. Taiwan’s great potential has attracted both local businesses and foreign developers.
The energy storage industry will grow along with renewables. Energy storage will be ubiquitous, albeit slow developments in most of the countries around the world. As the most direct solution to intermittent renewable energy sources, the integration of energy storage with solar energy will be much and widely heeded and become the largest application market of energy storage. In the meantime, with the completion of industry chain and the development of business models, the energy storage industry will be increasingly rich and diverse.
The introduction of energy storage for renewable energies will only increase. To help business gain insights of the application and business opportunities of solar-plus-storage, InfoLink Consulting launches 2H21 Solar-plus-storage Global Market Report, with content including:
As COP26 came to an end and countries across the world set goals to achieve net zero, deployment of renewable energy grows rapidly every year. This indicates increasing electricity share of intermittent energy sources, such and solar power and wind power. This not only impacts the distribution and stability of traditional electricity grid, but fails to make the best use of renewable energies. Energy storage is the best and essential solution, for which demand emerges around the globe in terms of policy framework and application.
Firstly, global electrochemical energy storage market surpassed 10 GW in 2020 and is expected to expand rapidly, reaching 22-25 GWh by the end of 2021, and beyond 50 GWh by 2025, a 45% compound annual growth rate. Secondly, the integration with renewable energy generation is the largest application market of energy storage. InfoLink expects solar-plus-storage market to exceed 30 GWh by 2025, with the U.S and China taking up 75% of market share. Countries with faster energy storage development see BTM residential market growing robustly. As of the end of 2021, homes equipped with solar and energy storage systems in Germany, Japan, Australia, and the U.S. will amount to 11 million and 1.5 million, respectively and 16 million and 4 million by 2025, respectively. This means the installation ratio of residential solar and storage will increase from 14% to 25%. It is worth noting that Germany has 70% of residential solar and storage installation ratio, demonstrating the inelastic demand for energy storage amid high domestic electric consumption, underscoring the general public’s acceptance for renewable energies and determination to realize self-consumption, and marking the necessity of solar-plus-storage.
In Taiwan, the energy storage industry is rather weak and slow in progress. Presently, installed electrochemical energy storage capacity sat at around 30 MW only. With active promotions from the government and Taipower, businesses are highly attentive this year. Given policy supports and strong demand, InfoLink projects that Taiwan will hit 20 GWh energy storage and NTD 200 billion of economic scale by 2030, securing 2% of global market share. This is nearly 100 times of growth compared to levels in 2020. Taiwan’s great potential has attracted both local businesses and foreign developers.
The energy storage industry will grow along with renewables. Energy storage will be ubiquitous, albeit slow developments in most of the countries around the world. As the most direct solution to intermittent renewable energy sources, the integration of energy storage with solar energy will be much and widely heeded and become the largest application market of energy storage. In the meantime, with the completion of industry chain and the development of business models, the energy storage industry will be increasingly rich and diverse.
The introduction of energy storage for renewable energies will only increase. To help business gain insights of the application and business opportunities of solar-plus-storage, InfoLink Consulting launches 2H21 Solar-plus-storage Global Market Report, with content including:
- Global and major FTM, BTM-C&I, and BTM-Residential solar-plus-storage market (China, the U.S., Europe, Japan, Australia) analysis and forecast.
- Solar-plus-storage LCOE assessment.
- Analysis and comparison of major players in global energy storage industrial chain, including cell, PCS, system integration businesses, and developers.
- Product analysis.
Speaker
Dr. Yuan Fang-wei
Senior ESS analyst
Senior ESS analyst
Dr. Yuan Fang-wei is a senior analyst with more than six years of experience in R&D in lithium-ion battery and related materials. With expertise in battery storage development, materials, and market forecasting, Dr. Yuan provides comprehensive data and insights of energy storage. Prior to joining InfoLink, Dr. Yuan has worked in China for three years. He holds a doctorate in Chemical Engineering from the National Tsing Hua University.