Advanced energy storage systems provide various technological approaches for managing power supply in order to provide more resilient energy infrastructure and to enhance cost savings to different utility service providers and consumers. Installation of advanced energy storage systems helps to maintain power distribution reliability, power quality, energy management and to improve grid efficiency. Advanced energy storage system is primarily used in power grids in order to manage peak load demand, providing enhanced power quality by supporting frequency regulation, eliminating power congestion on grids system and supplying uniform power in distributed generation.
For the purpose of providing in depth research report of the market, the global advanced energy storage system market has been segmented on the basis of technology, application, end user and region. The major technologies adopted in the advanced energy storage system include lithium ion battery, NaS (sodium–sulfur) battery, pumped hydro storage, flow battery, supercapacitors and CAES (Compressed Air Energy Storage) among others. Advanced energy storage system finds its application across various sectors such as transportation sector and grid storage. On the other hand, advanced energy storage system is also utilized by various end user segments including electric vehicle, utility service provider, commercial and residential sector. In addition, detailed information in respect of all the segments is also provided across different regions such as Asia-Pacific, North America, Europe, Middle-East and Africa and Latin America.
Rapid growth in the renewable energy sector in order to protect the environment from greenhouse gas emission coupled with exhaustion of fossil fuel is an important factor predicted to boost the demand of advanced energy storage systems during the forecast period. Installation of efficient advanced energy storage systems in renewable energy sector helps to improve operating capability of grid system and to regulate the reliability and quality of power generated. Moreover, increasing demand for battery powered vehicle across the globe is also anticipated to augment the demand of advanced energy storage system in the coming years. Advanced energy storage system is used in all form of battery operated vehicles such as electric vehicle, hybrid electric vehicle and plug-in hybrid vehicles as the primary source of power. In addition, the current trend of upgrading the existing power generation and distribution system in different parts of the world in order to meet the growing requirement of power is also predicted to accelerate the demand for advanced energy storage system in the coming years.
However, high initial investment for installing advanced energy storage system is the most important factor predicted to hinder the market growth of advanced energy storage system during the forecast period.
By application, electricity production and distribution system included within grid storage segment held the largest market share of the advanced energy storage systems. On the other hand, transportation sector is expected to experience a promising growth in terms of revenue during the forecast period owing to rapid research and development activities taking place in the field of automotive in order to increase the electrification system of a vehicle to be used for various applications. On the basis of technology, the global advanced energy storage system is majorly dominated by the lithium ion battery segment. The primary factor behind this segment’s dominance is attributed to the extensive use of lithium ion battery across various battery powered electric vehicles. However, the compressed air energy storage system is anticipated to experience fastest growth during the forecast period owing to the increasing inclination of consumers towards renewable energy as the chief source of power.
Geographically, North America led the global advanced energy storage system market and accounted for the largest market share. The advanced energy storage system market in North America is majorly driven by the U.S. Initiatives taken by the government to implement various controlling measures to reduce air pollution and to enhance the sale of electric vehicles is the primary factor behind this region’s dominance. Asia-Pacific, on the other hand, is expected to drive the market growth for advanced energy storage systems during the forecast period. Increasing demand for power owing to rapid industrialization in the region is an important factor which is anticipated to augment the demand for advanced energy storage systems during the forecast period. Some of the major players operating in the advanced energy storage system market include Samsung SDI Co. Ltd., Toshiba Corporation, Dominion Energy, Hitachi Limited (Japan) and Siemens A.G. among others