More than 10GW of new storage capacity is expected to be added globally in 20212-24, 2021 / By MUST Power
More than 10 gigawatts (GW) of energy storage capacity will be installed globally by 2021, more than double the growth of 4.5 GW in 2020, according to a new analysis by IHS Markit.
The United States will account for half of all storage installations in 2021, roughly three times the rate of capacity growth a year ago.”The US will continue to expand its dominance of the global market through 2023,” said George Hilton, senior clean technology analyst at IHS Markit.
From 2025, activity in the Chinese mainland market will pick up pace, pushing the entire Asia-Pacific region to account for 44% of annual installations by 2030.In Europe, annual installations in 2021 will be about 70% higher than in 2020.IHS Markit expects 17 more countries to have installed new capacity of 100 megawatts or more by 2022, up from nine in 2020.
“As the technology begins to become a core component of the grid in developed markets and new opportunities continue to emerge in emerging markets, the energy storage industry will begin significant multi-year growth in 2021 and continue through 2030,” Hilton said.
For all geographical regions, keeping grid power stable and reducing the intermittency of renewable energy sources are the main drivers, as renewables continue to account for a greater share of electricity output as a result of decarbonization measures.
The IHS Markit study also found that solar + storage devices take advantage of the extension of the Solar Investment Tax Credit (ITC) passed in late 2020, and U.S. lawmakers are supporting energy storage for grid reliability purposes.By 2025, solar panels will benefit from a reduced tax burden.
In other news, global solar installations are expected to increase by 30% in 2021 compared to 2020, with China accounting for about 35% of new installed capacity.Meanwhile, offshore wind installations will double to 10 gigawatts by 2021.