Battery Energy Storage System (BESS) Market is anticipated to grow at a CAGR of ~33.0% from 2019 to 2030
Market Industry Reports (MIR) has published a new report titled “Battery Energy Storage System (BESS) Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2019–2030.” According to the report, the global Battery Energy Storage System (BESS) market was valued to be over US$ 2.5 billion in 2019. It is anticipated to grow at a CAGR of ~33.0% from 2019 to 2030.
The global Battery Energy Storage System (BESS) market has witnessed exponential growth in the recent past. Several factors that attributed to the growth of this market, such as growing focus on renewable sources of energy, advancements in technology and rising demand for grid-connected solutions among others. Moreover, favorable government regulations to support the utilization of clean energy is another factor which has been pivotal in contributing to the growth of the market. However, high costs associated with project financing, and requirement of high capital for deployment of such services may restrict the growth of the global Battery Energy Storage System (BESS) market to a certain extent.
Conservation of nature-based energy such as wind & solar energy, faces several complications, such as varying wind speed & overcast weather limiting solar energy, thereby leading to fluctuations in the amount of energy generated. All these factors makes it mandatory for a grid system to have flexibility for storing varying levels of energy. The introduction of BESS assists grid operators to directly store electricity, when the amount of electricity generated is high. Thereby, directly improving flexibility & consistency of the electricity supply system in terms of generation, transmission, and distribution. Application of BESS for transmission & distribution of electricity, caters to a wide variety of features such as frequency regulation, voltage support, asset deferral, harmonic suppression, and power quality among others.
Moreover, BESS provides a broad spectrum of additional advantages, which proves to be an important aspect for various grid applications. Few of the most common application includes reliability/resilience of electric service, effective demand side management, energy arbitrage, fast response frequency regulation, and transmission/distribution system deferral among others. For instance, BESS allows storage of energy in tandem with intermittent wind or solar, thereby providing a more stable power supply source. Few other features of BESS which proves to be extremely beneficial are baseload leveling, peak shaving, renewables capacity firming, electric energy time shift and renewable energy time shift among others.
Browse key industry insights spread across 180 pages with market data tables & figures & charts from the report, Battery Energy Storage System (BESS) Market by Element (Hardware, and Battery), Battery Type (Sodium–Sulfur Batteries, Flow Batteries, Lithium-Ion Batteries and Advanced Lead-Acid Batteries), Connection Type (On-grid Connection and Off-grid Connection), Ownership (Customer Owned, Utility Owned, and Third-Party Owned), and Application (Residential, Utilities and Non-Residential) – Market Size & Forecast, 2019-2030 in detail along with the table of contents:https://www.marketindustryreports.com/battery-energy-storage-system-market/236
Although the market of global Battery Energy Storage System (BESS) has the potential to significantly flourish in the coming years, the industry faces several challenges which may hinder its prosperous growth. For instance, costs of batteries are expected to play a crucial part in dictating the viability of BESS projects. Similarly, high initial capital investments may also play a major role in limiting the adoption of this technology. Lithium-ion batteries are costly owing to features such as high energy density, less requirement for maintenance and low rate of self-discharge. All these factors considerably add to the costs of Battery Energy Storage System (BESS), as these lithium-ion batteries are incorporated in packs & modules of the BESS.
Asia Pacific is projected to account for the highest CAGR in the global Battery Energy Storage System (BESS) during the forecast period. The extensive growth of this region can be attributed to several factors such as growing requirement for electricity, increasing focus on clean energy and supportive government initiatives among others. The growth of this region is expected to be focused around countries like China, Japan & India among others. Rising population in the Asia Pacific region has triggered the need for additional power sources. To fulfill this growing demand, government bodies as well as private establishments have initiated several projects. For instance, State Grid Corporation of China, a state-owned organization, has taken active steps in deploying BESSs to provide supplementary services across its grid.
The prominent players operating in the global Battery Energy Storage System (BESS) market are Tesla, Siemens, Hitachi Chemical Co., Ltd., GENERAL ELECTRIC, AEG, SAMSUNG SDI CO., LTD., NEC Energy Solutions, Inc., Panasonic Corporation, and LG Chem among others
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