Market Research Report
Battery Energy Storage System Market with COVID-19 Impact by Element (Battery, Others), Battery Type (Lithium-Ion, Flow Batteries), Connection Type (On-Grid And Off-Grid), Ownership, Energy Capacity, Application, and Geography - Global Forecast to 2025
|Published by||MarketsandMarkets||Product code||963420|
|Published||Content info||227 Pages
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|Battery Energy Storage System Market with COVID-19 Impact by Element (Battery, Others), Battery Type (Lithium-Ion, Flow Batteries), Connection Type (On-Grid And Off-Grid), Ownership, Energy Capacity, Application, and Geography - Global Forecast to 2025|
|Published: October 6, 2020||Content info: 227 Pages||
The global battery energy storage system market size is expected to grow at a CAGR of 32.8% from 2020 to 2025, reaching USD 12.1 billion by 2025 from USD 2.9 billion in 2020. Lithium-ion energy storage systems allow increased energy storage, thereby enabling low-cost wind and solar energy to enter grids. This, in turn, reduces the carbon dioxide emissions and lowers the overall power costs. Various players in the market are working toward improving the performance of lithium-ion batteries that makes them an attractive option for stationary energy storage applications. Cells or batteries embedded in battery energy storage systems play an important role in deciding the service life of these systems. LG Chem (South Korea), Panasonic (Japan), and Samsung SDI (South Korea) are some companies providing lithium-ion batteries and using them in their battery energy storage systems. The declining price of lithium-ion batteries is anticipated to act as an opportunity for energy storage system providers. This, in turn, is expected to contribute to the production of battery energy storage systems enabled with lithium-ion batteries.
The on-grid connection type segment is expected to hold a significant share of the battery energy storage system indsutry during the forecast period. The on-grid connections exhibit lower upfront costs than the off-grid system, as the surplus energy is sent to the grid, which can be used later on a meter basis. The reduction in the energy bills for the customers relying on the utility grid for electricity is expected to drive the growth of the segment. The demand for grid modernization from renewable energies suppliers and new regulatory policies for the energy sector are driving the growth of the on-grid battery energy storage system market for utilities.
The ability of the utility-owned battery energy storage systems to manage large energy requirements during peak hours is increasing their adoption. The customers of utility-owned battery energy storage systems need to pay monthly fees based on the power usage. The utility-owned energy storage companies invest in energy storage to overcome the high cost of electrical T&D by fulfilling the growing demand for electricity. According to the Energy Storage Association, in the US, the utility based-battery storage installed capacity grew by 221 MW in 2016. This shows the high dependence of the customers on the utility-owned battery storage systems for their energy requirements.
The battery energy storage system industry in APAC is expected to grow at the highest CAGR from 2020 to 2025. The governments of various countries in this region focus on minimizing the adverse effects of the energy sector on the environment. These factors lead to the growth in the deployment of battery energy storage systems in residential and public utility applications. Some of the major battery energy storage system manufacturers based in APAC are Samsung SDI, LG Chem, Hitachi, Toshiba, TrinaBESS, NGK INSULATORS, LTD., Delta Electronics, Inc., Panasonic, and NEC Corporation.
According to a World Bank report by World Economic and Financial Surveys, growth momentum in the largest economies in Asia Pacific will be impacted due to COVID-19, reflecting in government policies and projects over concern in China and Japan, which, in turn, is harming other economies in Asia. The rising number of active cases in the region has led to a significant drop in the demand for transportation connectivity, which has correspondingly declined the growth of investments in the associated sector.
The key players in the battery energy storage system market include: ABB (Switzerland), Panasonic (Japan), Siemens AG (Germany), Samsung SDI (South Korea), LG Chem (South Korea), General Electric (US), Hitachi (Japan), Tesla (US), Toshiba (Japan), AEG Power Solutions (Netherlands), The AES Corporation (US), Delta Electronics, Inc. (Taiwan), TrinaBESS (China), Primus Power (US), NEC Corporation (Japan), BYD (China), and Johnson Controls (US).
The battery energy storage system market has been segmented into element, battery type, connection type, ownership, energy capacity, application, and region. Based on element, the market has been segmented into battery and other elements. Based on battery type, the market has been segmented into lithium-ion batteries, lead-acid batteries, flow batteries, and other batteries. Based on connection type, the battery energy storage system market has been segmented into on-grid connection type and off-grid connection type. Based on ownership, the market has been segmented into customer-owned, third-party-owned, and utility-owned. Based on energy capacity, the battery energy storage system market has been segmented into below 100 MWh, between 100 and 500 MWh, and above 500 MWh. Applications studied in the report include residential, commercial, and utilities. The battery energy storage system market has been studied for North America, Europe, Asia Pacific (APAC), and the Rest of the World (RoW).
(Business overview, Products offered, Recent Developments, SWOT Analysis, MNM view)**
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