The global energy-storage market is poised to grow from $329 million in 2008 to $4.1 billion by 2018, according to a new report from Pike Research.
With the growth of renewable energy around the world, the need for utilities to capture and store electricity for later use is becoming increasingly important, the company says. The demand for energy storage is driven by several trends, including the proliferation of intermittent renewable energy sources such as wind and solar, the move toward smart grids and the rise of plug-in hybrid and electric vehicles.
‘About a dozen technologies are currently vying for a piece of the utility-scale energy storage market,’ says Clint Wheelock, managing director at Pike Research. He states that the greatest potential for energy-storage growth lies with advanced battery technologies, especially lithium ion and sodium sulfur batteries, as well as pumped hydro and compressed-air energy storage.
Unlike renewable energy, energy-storage technologies have historically received very little support in the form of government subsidies and incentives, which has slowed their development, according to the report. This situation is beginning to change, however, and utilities will be the beneficiaries of significant U.S. government and venture capital investment in advanced batteries for the transportation sector.
An executive summary of the report is available for free download here.
SOURCE: Pike Research