DUBLIN, Jan 11, 2019 /PRNewswire/ --
The "Energy Storage Market by Type - Global Market Size, Share, Development, Growth, and Demand Forecast, 2013-2023" report has been added to ResearchAndMarkets.com's offering.
The installed capacity in the global energy storage market is projected to reach 51,426.0 MW by 2023, the market growth is driven by substantial growth in the amount of renewable energy being deployed around the world and increasing need of the smart grid systems.
Insights into market segments
Based on type, the energy storage market is categorized into mechanical, electrochemical, thermal, chemical, and others; others' include fossil fuel and biological storage. Of these, electrochemical is expected to be the fastest growing type in the market during the forecast period, with a CAGR of 47.4%. The increasing need of 24/7 electricity services is fueling the demand for electrochemical energy storing systems globally.
Based on application, the energy storage market is categorized into fuel saving, arbitrage, ancillary services, back up supply, and others; others' include air conditioning and running mills. Of these, arbitrage is expected to be the fastest growing application area in the market, advancing at a CAGR of 44.1% during the forecast period. Arbitrage refers to the application of energy trading strategies within an electricity environment, aiming to buy energy from the grid at a low price and sell it back to the grid at higher price. Although much of the present-day grid operates effectively without storage, cost-effective ways of storing electrical energy can help make the grid more efficient and reliable.
On the basis of installation, the energy storage market is segmented into front of meter and behind the meter. Behind the meter is expected to be the faster growing application area in the market, advancing at a CAGR of 42.8% during the forecast period. The behind-the-meter is a renewable energy system uniquely designed and built for a single building or facility. Hence, individual property owners make high use of this option and install it in their own premises to better manage onsite solar systems, and take advantage of lower utility rates available when demand for electricity is low.
APAC is expected to emerge as the fastest growing market
During the forecast period, the energy storage market is expected to witness the fastest growth in Asia-Pacific (APAC), with a CAGR of 45.4%. Currently, energy storage systems are considered as a next level of upgradation in smart grid technologies by Asian power utilities. With increasing demand for smart grid (an electricity supply network that uses digital communication technology), governments of different countries in the region are shifting to such grids, in order to meet the electricity and power supply. This further drives the market growth in the region.
Scarcity of fossil fuels to serve as lucrative opportunity for market growth
It is seen that there is going to be a scarcity of fossil fuels including coal, uranium, and oil, in the coming years. With time, these fossil fuels will get depleted attributed to the present rate of consumption. It is seen that crude oil reserves are vanishing at the rate of 4 billion tons a year and if we continue using them at this rate, our known oil deposits will last until 2052. All these factors are paving the way for setting up of energy storage systems. Thus, the scarcity of fossil fuel can be seen as an opportunity for the energy storage market growth.
For more information about this report visit https://www.researchandmarkets.com/research/znj982/global_energy?w=5
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