Released May 06, 2024 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--The Group of Seven major industrialized economies--the G7--have agreed to boost global energy storage capacity by more than 600% in the coming six years.
A draft joint statement of energy ministers who met in Turin, Italy, highlighted the importance of rapidly boosting energy storage, in particular battery energy storage systems (BESS), hydrogen and hydropower--to support existing power grids, boost the reliability of existing renewable energy sources and increase the rollout of renewable energy. The goal is to increase the global storage capacity of 230 gigawatts (GW) in 2002 to 1,500 GW by 2030. In an early draft seen by the Financial Times, the G7 will "promote the development and deployment of stationary battery storage to increase storage efficiency and reduce storage costs," as well as "foster a diversified, sustainable, secure and transparent supply chain for battery storage."
The ambitious goal tallies with the latest findings from the International Energy Agency (IEA), which stated that a sixfold expansion of global energy storage capacity is vital to achieving the 2030 energy targets set down at the COP28 climate gathering last year. Last year, growth in batteries outpaced almost all other clean energy technologies in 2023 thanks to falling costs, advancing innovation and supportive industrial policies. The IEA highlighted that battery costs have fallen by more than 90% in less than 15 years, calling it "one of the fastest declines ever seen in clean energy technologies." Today, the energy sector accounts for more than 90% of overall battery demand. In 2023 alone, battery deployment in the power sector increased by more than 130% year-on-year, adding 42 GW to electricity systems around the world. "Battery deployment will need to scale up significantly between now and the end of the decade to enable the world to get on track for its energy and climate goals," the IEA stated in its Special Report on Batteries and Secure Energy Transitions. "In this scenario, overall energy storage capacity increases sixfold by 2030 worldwide, with batteries accounting for 90% of the increase and pumped hydropower for most of the rest."
Industrial Info tracking more than 800 active BESS projects in Europe worth US$36 billion in investment. Globally, it is tracking 3,700 projects worth US$474 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the European reports and click here for the global reports.
IEA Executive Director Fatih Birol said: "The electricity and transport sectors are two key pillars for bringing down emissions quickly enough to meet the targets agreed at COP28 and keep open the possibility of limiting global warming to 1.5 °C. Batteries will provide the foundations in both areas, playing an invaluable role in scaling up renewables and electrifying transport while delivering secure and sustainable energy for businesses and households. The combination of solar PV and batteries is today competitive with new coal plants in India. And just in the next few years, it will be cheaper than new coal in China and gas-fired power in the United States. Batteries are changing the game before our eyes."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
A draft joint statement of energy ministers who met in Turin, Italy, highlighted the importance of rapidly boosting energy storage, in particular battery energy storage systems (BESS), hydrogen and hydropower--to support existing power grids, boost the reliability of existing renewable energy sources and increase the rollout of renewable energy. The goal is to increase the global storage capacity of 230 gigawatts (GW) in 2002 to 1,500 GW by 2030. In an early draft seen by the Financial Times, the G7 will "promote the development and deployment of stationary battery storage to increase storage efficiency and reduce storage costs," as well as "foster a diversified, sustainable, secure and transparent supply chain for battery storage."
The ambitious goal tallies with the latest findings from the International Energy Agency (IEA), which stated that a sixfold expansion of global energy storage capacity is vital to achieving the 2030 energy targets set down at the COP28 climate gathering last year. Last year, growth in batteries outpaced almost all other clean energy technologies in 2023 thanks to falling costs, advancing innovation and supportive industrial policies. The IEA highlighted that battery costs have fallen by more than 90% in less than 15 years, calling it "one of the fastest declines ever seen in clean energy technologies." Today, the energy sector accounts for more than 90% of overall battery demand. In 2023 alone, battery deployment in the power sector increased by more than 130% year-on-year, adding 42 GW to electricity systems around the world. "Battery deployment will need to scale up significantly between now and the end of the decade to enable the world to get on track for its energy and climate goals," the IEA stated in its Special Report on Batteries and Secure Energy Transitions. "In this scenario, overall energy storage capacity increases sixfold by 2030 worldwide, with batteries accounting for 90% of the increase and pumped hydropower for most of the rest."
Industrial Info tracking more than 800 active BESS projects in Europe worth US$36 billion in investment. Globally, it is tracking 3,700 projects worth US$474 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the European reports and click here for the global reports.
IEA Executive Director Fatih Birol said: "The electricity and transport sectors are two key pillars for bringing down emissions quickly enough to meet the targets agreed at COP28 and keep open the possibility of limiting global warming to 1.5 °C. Batteries will provide the foundations in both areas, playing an invaluable role in scaling up renewables and electrifying transport while delivering secure and sustainable energy for businesses and households. The combination of solar PV and batteries is today competitive with new coal plants in India. And just in the next few years, it will be cheaper than new coal in China and gas-fired power in the United States. Batteries are changing the game before our eyes."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
