- Energy storage system in transportation application is expected to emerge as a major segment in the advanced energy storage systems market.
- Electro Chemical to Dominate the Market for Technology in the Advanced Energy Storage Systems market.
- Asia Pacific is Expected to Be the Highest Growing Region for the Advanced Energy Stoarge Systems Market.
The advanced energy storage systems market is expected to grow from an estimated $12.73 billion in 2017 to $19.04 billion by 2022, registering a CAGR of 8.38% from 2017 to 2022. The market in Asia Pacific is estimated to be the largest for advanced energy storage systems, followed by the market in North America in 2017. This trend is expected to continue till 2022. The growth of the advanced energy storage systems market is driven by the increasing investments in renewables and regulations demanding energy efficiency and growing market for electric vehicles around the world.
The key roles played by energy storage systems in power grids include time shifting to manage peak loads, providing power quality by aiding in frequency regulation, mitigating power congestion on grids, and supplying power uniformly in distributed generation. They are also used as a primary power source in electric vehicles.
The advanced energy storage systems market has been segmented based on application, into transportation and grid storage. The growth in this segment is primarily driven by increasing deployment of lithium-ion batteries in the electric vehicles market. Moreover, grid expansion and investment in modern infrastructure in developing countries also present opportunities for the growth.
The report segments the advanced energy storage systems market, on the basis of technology, into electro chemical, thermal storage, mechanical, and others. The lithium-ion sub-segment, within the electro chemical segment led the market in 2016, and is projected to dominate the market during the forecast period. Moreover, technological advancements and growing deployment of lithium-ion batteries is expected to result in economies of scale, which would lower the cost for this technology, further driving the growth in the market.
Asia Pacific: The leading market for advanced energy storage systems
In this report, the advanced energy storage systems market has been analyzed with respect to four regions, namely, North America, Europe, Asia Pacific, and the rest of the world. The energy storage systems market is expanding in developing countries owing to the progress in renewable energy installations and growth in the electric vehicles market. The Asia Pacific energy storage systems market is expected to dominate the global AESS market, with the highest share. The region is expected to maintain its dominance in the energy storage systems market during the forecast period.
The advanced energy storage systems market is dominated by a few global players. The key players operating in this market include ABB Ltd. (Switzerland), LG Chem, Ltd. (South Korea), Samsung SDI Co., Ltd. (South Korea), General Electric Company (US), and Tesla, Inc. (US).