The U.S. energy storage market will nearly double this year
Energy storage is increasingly finding its place in the sun. As a technology, it simply offers too many advantages and meets too many needs to be overlooked: it can ramp faster than a gas plant, it can stabilize voltage and frequency, and it can carry electrons from solar generation to deliver power after dark.
Regulators, utilities and state governments are beginning to understand this, and among other policies the Federal Energy Regulatory Commission’s Order 841 is opening wholesale markets to the participation of energy storage. Add in the tax advantages of coupling energy storage with solar under the Investment Tax Credit (ITC), and you have the perfect storm.
According to IHS Markit, the U.S. grid-tied energy storage market is poised to nearly double this year to 712 MW from 376 MW last year (note: This forecast does not include behind-the-meter energy storage). The company says that this will allow the United States to surpass South Korea, which was the world’s largest grid-tied energy storage market in 2017 and 2018.