Energy Storage Battery for Microgrid Market Size, Share & Industry Analysis By Type (Sodium-Sulfur battery, VRLA Lead Acid, Lithium-ion, Others), By Application (Residential, Enterprise, Utility) And Regional Forecast, 2024-2032

Battery storage or storage systems for batteries allow energy from renewable energy sources to be stored and then released when consumers need the most power. The energy storage will enable microgrids to react to variability or loss of generating sources. A variety of considerations must be processed to select and integrate the correct energy storage system into a microgrid.

The industry's expansion is being fueled by the growing demand for energy across a variety of industries. Rising electricity rates and a paradigm change toward battery-based energy storage solutions for microgrids are driving market expansion. Incorporating renewable energy fuels, such as wind and solar PV, into microgrids favors business growth. Furthermore, decreased fuel consumption, widespread adoption of energy storage products for residential use, and a greater emphasis on the convergence of microgrid technology and energy storage for remote microgrid applications will drive growth in the energy storage battery for microgrids market during the forecast period.

• The National Energy Administration (NEA) of China has set a target of installing 90 GW wind and solar capacity in 2021.


• The Spanish National Energy and Climate Plan (NECP) set a solar PV target of 39.2 GW by 2030.

The main factors hindering the global market are the high cost of projects and the lack of international acceptance. Higher implementation costs will hamper the market growth. Because these systems are relatively new, they also require constant maintenance and require skilled labor to solve technical problems. These factors are obstacles to market growth.

The Asia Pacific region is expected to add significantly to the energy storage battery for microgrids market share, with a healthy growth rate. The rise can be attributed to the Japanese government's rising investment in battery storage and renewable energy sectors. Japan is also the base of some of the industry's most influential companies, including GS Yuasa, Hitachi, Panasonic, Mitsubishi, and NEC. According to estimates, the area will account for more than half of the worldwide battery storage market in the forecast years.

• Japan's cumulative installed solar PV capacity target for 2030 is 64 GWAC, according to the Long-term Energy Supply and Demand Outlook by the Ministry of Economy, Trade, and Industry (METI).


• The industry ministry's policy has drafted 36%-38% of power supplies by 2030 to be derived from renewables.

IMPACT OF COVID-19 ON THE ENERGY STORAGE BATTERY FOR MICROGRID MARKET

The energy storage battery for the microgrid market is expected to take a significant amount of time before recovering from the impact of the COVID-19 pandemic. Despite the growing renewable energy efforts globally, the low adoption rate of the product coupled with the pandemic has hampered the market devastatingly. However, the easing restrictions, growing energy demand, increasing consumer conscience towards green energy are anticipated to help regain the market.

KEY INSIGHTS

The report will cover the following key insights:

• Recent Advancements in Energy Storage Battery for Microgrid


• Key Industry Trends


• Regulatory Landscape for Energy Storage Battery for Microgrid


• Key Industry Developments (Mergers, Acquisitions, and Partnerships)


• Impact of COVID-19 on the Market

ANALYSIS BY APPLICATION

According to different applications, the energy storage battery for the microgrid market can be subdivided into enterprises, utilities, and residential. The utility application sector is expected to achieve the highest growth in the estimated period. Utilities experience high frequency, voltage drift, and power fluctuations, which can cause equipment damage. Battery energy storage systems are expressly used in utilities to solve this problem. This cost-effective alternative to traditional infrastructure is expected to promote the growth of market segments.

REGIONAL ANALYSIS

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North America will have a substantial share of the global industry during the analysis period, owing to the region's growing demand for sustainable energy sources. Europe is another region with a growing market. The rise in clean energy installation projects will drive the European market. The United States has a net-zero emission target for 2050. European countries, especially Scandanavian countries, have massively developed their sustainable energy capacities. The European Union, as well, has set a net-zero target by 2050.

KEY PLAYERS COVERED

The report will include profiles of key players such as Samsung SDI, NGK Group, NEC Corporation, MHI, Panasonic Solar, S&C Electric Company, Toshiba Corporation, Beacon Power, Inc., Saft, CALMAC, and Sumitomo Electric.

SEGMENTATION

KEY INDUSTRY DEVELOPMENTS

• On August 26, 2021, the US energy equipment supplier G&W Electric began work on a microgrid project that will combine a flywheel and energy battery with a double-sided rooftop solar panel and other technologies at its Illinois headquarters. The new microgrid will support the G&W Electric plant with "premium uninterrupted power" to support critical operations and customers in a grid failure.


• On July 20, 2021, Indian manufacturer Vision Mechatronics implemented a lithium-lead-acid hybrid battery storage system and rooftop solar power plant at Haryana's Om Shanti Retreat Center (ORC). The 1MWh storage system uses a combination of 614.4 kWh lithium batteries and 480 kWh tubular lead-acid batteries. It is India's first solar microgrid with MW-scale hybrid energy storage.