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Advanced Energy Storage Market Propelled By Increasing Adoption Of Renewable Energy Technology

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Sumedha
Advanced Energy Storage Market Propelled By Increasing Adoption Of Renewable Energy Technology

Advanced energy storage systems aid in storing energy from renewable sources like solar and wind for later use. They enable distribution of power supply from variable renewable sources in a consistent manner while improving grid reliability and reduce dependency on fossil fuels. These systems store electricity from the grid or renewable energy facilities and discharge power when energy demand is high. They comprise rechargeable batteries, flywheels, supercapacitors, and thermal storage systems. Advanced energy storage provides important benefits like bridging the gap between energy demand and supply, integrated more renewable energy into the electric grid, emergency backup power during outages, and reduced transmission and distribution system costs.


The global Advanced Energy Storage Market is estimated to be valued at US$ 19.9 Bn in 2023 and is expected to exhibit a CAGR of 7.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.


Market Opportunity


The growth in distributed energy resources is expected to drive the advanced energy storage market. Distributed energy resources refer to small-scale power generation and storage technologies located close to the end-users of power like residential and commercial buildings. They utilize renewable energy sources like rooftop solar PV systems coupled with energy storage to fulfill on-site electricity needs. Advanced energy storage batteries allow effective integration and management of distributed renewable energy resources by storing excess electricity and discharging power when solar energy is not sufficient. This reduces dependency on fossil fuel-based power sources and grid infrastructure. Rapid adoption of distributed energy resources for electricity self-sufficiency is estimated to boost the demand for advanced energy storage technologies during the forecast period.


Porter's Analysis

Threat of new entrants: The advanced energy storage market requires huge capital investments in R&D for new product development. This high barrier to entry protects existing players from new competition.

Bargaining power of buyers: Individual buyers have low bargaining power due to the highly consolidated nature of the supply side. However, large corporate and utility buyers can negotiate better deals due to bulk purchase volumes.

Bargaining power of suppliers: Key raw material and technology providers enjoy some bargaining power over manufacturers due to differentiated products and licensing agreements. Suppliers can threaten forward integration also.

Threat of new substitutes: Alternate energy storage solutions like hydrogen fuel cells pose a threat, though advanced batteries still have performance and cost advantages in many applications.

Competitive rivalry: Intense rivalry exists among major players to gain market share and benefit from economies of scale. Players compete on technology innovation, pricing, performance and sustainability factors.


SWOT Analysis

Strengths: Rapid technological progress, falling battery costs, government support for clean energy solutions, growing demand from e-mobility and renewable integration.

Weaknesses: High R&D investments required, volatile raw material prices, dependency on few suppliers for key materials, vulnerability to macroeconomic changes affecting discretionary spending.

Opportunities: Untapped growth potential in emerging economies, evolving regulations to strengthen renewable portfolio standards, expanding applications in residential and commercial sectors, scope for new business models involving energy services.

Threats: Trade tensions affecting supply chains, delay in scaling up manufacturing capacities, slower than expected commercialization of newer technologies, geopolitical issues concerning material sourcing.


Key Takeaways


The Global Advanced Energy Storage Market Size is expected to witness high growth over the forecast period supported by increasing demand for grid-scale energy storage solutions to support renewable energy integration as well as from growing electric vehicle sales.

Regional Analysis: The Asia Pacific region currently dominates the market due to strong government support for clean energy development and presence of major battery manufacturing hubs in China.

Key players operating in the advanced energy storage market are Himalaya Herbal Healthcare, Gaia Herbs, Nature's Bounty, NOW Foods, NutriGold, Garden of Life, MegaFood, New Chapter, Sambucol, BioSchwartz, Solgar, Source Naturals, Nature's Way, Jarrow Formulas, Pure Encapsulations.


Get More Insights Here

https://www.newsstatix.com/advanced-energy-storage-market-size-share-growth-outlook-2023/


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