The global off-grid energy storage market could surpass $13 billion by 2019, according to new analysis.
A report from research firm Technavio said the market is expected to grow at a CAGR of over 7% in the coming three years.
According to the report, lithium-ion (li-ion) batteries lead the field with revenues predicted to exceed $6 billion by 2019. A global increase in off-grid power production from renewables, especially solar and wind, has driven growth in this segment, as have the growing efficiency and falling prices of these batteries.
The market for lead-acid batteries, which is predicted to reach $4 billion by 2019, is next in line, with growth driven by these batteries’ low cost compared to other types of energy storage. Because they are relatively cheap, lead-acid batteries are much used in off-grid renewable power systems. à‚ According to the report, most solar photovoltaic (PV) installations use sealed valve-regulated lead-acid (VRLA) or flooded lead-acid batteries, and this trend is predicted to continue.
Third on the list are sodium-based batteries, which are predicted to generate over $2 billion by 2019. Sodium-based batteries are vital to peak shaving and the power quality aspects of off-grid energy storage, the report said. Growth in this segment was found to correspond to these batteries’ low maintenance requirements, growing efficiency and higher storage capacity.