Global Off-grid Energy Storage Market 2015-2019
Market outlook of the global off-grid energy storage market
Energy storage systems are used to store excess electricity that can be utilized during power shortages, blackouts, and peak hours of demand. The global market for off-grid energy storage is driven by the need to maintain off-grid issues like grid stability, grid flexibility, and frequency regulation. These factors promote growth in this market during the forecast period and results in its steady CAGR of nearly 7.5% by 2019.
Technavio’s market research analyst has estimated eminent factors, such as its ability to mitigate intermittent nature of renewables, to drive market growth during the period of 2014 and 2019. Energy storage helps in the smoothing and supply shift of renewable energy sources like wind and solar PV. It also helps to optimize the variable renewable energy feed-in to the grid, which is expected to drive the market for battery based energy storage during the forecast period.
Competitive landscape and key vendors
This market is dominated by multiple global, regional, and local vendors who provide high-tech, customized batteries for energy storage. The development and introduction of Li-ion, sodium-sulphur, and advanced lead-acid battery products during the forecast is expected to augment the revenue-generating capacity for vendors as it helps them to overcome competition and gain prominence in the market.
Key vendors in this market are -
Technavio Announces the Publication of its Research Report – Global Off-grid Energy Storage Market 2015-2019
Technavio recognizes the following companies as the key players in the Global Off-grid Energy Storage Market: Aquion Energy, Green Charge, LG Chem, NEC Energy Solutions and NRG Energy
Other Prominent Vendors in the market are: GE Energy Storage, Mitsubishi Heavy Industries, Amperex Technology Limited, Boston Power, China Avaiation Lithium Battery Co., Ltd., Enersys, Primus Power, Sumitomo Electric Industries, Ltd., Toshiba, and Xtreme Power Inc.
Commenting on the report, an analyst from Technavio’s team said: “The increasing demand for Li-ion batteries is driving manufacturers to adopt next-generation technology batteries for renewable energy storage. The Li-ion battery market is experiencing major changes by adopting high-energy silicon electrodes in place of conventional graphite ones. The new type of silicon electrode based Li-ion batteries offer long lasting energy. However, these batteries shrink and swell as the battery is used and recharged, and that causes the battery to fall apart.”
According to the report, Frequency regulation is the novel technology in ESS and is the major economic driver in the case of grid storage. This enables the power producers to generate electricity at a lower price and helps them in achieving the economies of scale. Frequency regulation in ESS helps in replacing the maintenance of the power grid frequency of 60 Hz by enabling charging and discharging of ESS.
Further, the report states that manufacturers are required to look at the intended and unintended use of battery packs by consumers. Adherence to specific standards adds to the costs, which deters manufacturers from investing more into the market.
Aquion Energy, Green Charge, LG Chem, NEC Energy Solutions, NRG Energy, GE Energy Storage, Mitsubishi Heavy Industries, Amperex Technology Limited, Boston Power, China Avaiation Lithium Battery Co., Ltd., Enersys, Primus Power, Sumitomo Electric Industries, Ltd., Toshiba, Xtreme Power Inc.
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