The global energy storage systems market is poised for a steady growth in the coming years. At present, the transportation sector stokes heavy demand for energy storage systems for environmental considerations. The rising air pollution level due to conventional fuels has necessitated individuals to opt for less-polluting mode of transportation such as electric vehicles that operate on stored energy.
This is stoking the growth of energy storage systems market. The expansion of railway network, wherein modern rail engines operate on stored electric energy is providing a fillip to the overall market.
Energy storage systems offer a host of technologies to accrue energy for later use. Energy storage systems serve to meet the requirements of varied customers from energy generating companies to transmission and distribution system operators to large commercial and industrial end-users.
Apart from the transportation sector, the commercial and industrial sector also accounts for significant demand for energy storage systems. Energy storage systems help to reduce operational downtime in the event of power outages and power breakdown that impacts business profits. The residential sector also accounts for substantial demand for energy storage systems with the adoption of solar energy for domestic heating needs.
Which are the key segments in the energy storage systems market?
The segments of energy storage systems market based on technology are electrochemical, mechanical, thermal, and others. The electrochemical segment can be further divided into lithium-ion battery, flow battery, sodium sulfur battery, lead acid battery, and others. At present, electrochemical technology segment is displaying the leading demand and is expected to expand at a healthy clip in the years ahead. The mechanical technology segment can be classified into pumped hydro energy storage, compressed air and liquid air energy storage, flywheel energy storage, and others.
By application, the global energy storage systems market can be bifurcated into transportation and grid storage. The transportation sector, of the two, is anticipated to surpass in terms of growth due to increased uptake of battery operated electric vehicles.
Geographically, which region presents the most promising growth opportunities for the global market?
The key regions into which the global energy storage systems market is divided are North America, Europe, Latin America, Europe, and the Middle East and Africa. Among them, Asia Pacific holds the maximum market share and is anticipated to surpass other regions in terms of growth rate. The growth in the region is mainly driven by China, which is a key center for the production of batteries and also accounts for substantial demand for batteries to be used in electric vehicles. By 2025, Asia Pacific is anticipated to contribute a revenue of US$16.5 bn to the overall market.
What is the nature of competition in the global energy storage systems market?
The global energy storage systems market features a fragmented vendor landscape due to the presence of a copious number of small and large players. The market is also witnessing the entry of new players to serve the unmet demand of consumers. This is likely to heat up competition among market players.
Leading players that have a global presence are also vying to enter into strategic alliances and mergers and acquisitions with small players. This will help them expand their distribution networks to gain competitive advantage. Product development is also the focus of large players to outdo their competitors.
Research Report Reference: https://transparencymarketresearch.com/energy-storage-systems-market.html