According to Wood Mackenzie and the recently published US Energy Storage Association report by the US Energy Storage Association (ESA), around 476 MW of energy storage was provided this year – a 240% increase from the high set last quarter.
As found in the study, the new storage record is not an anomaly, but a prognosis for the future as front-of-the-meter storage (FTM) sourcing increases dramatically in number and size, particularly in California.
While the residential segment also grew, the greatest growth was in the FTM market segment – nearly 400 MW and 578 MWh were deployed in the third quarter, beating the previous records of 133 MW and 296 MWh for this sector. More FTM storage was installed in the third quarter than in any other segment in any of the other quarters over the past seven years. Despite the relatively short duration of the systems provided in this quarter, the FTM MWh provision exceeded the previous record in the first quarter of 2017 by almost 200%.
“The provision of energy storage continues to grow despite the economic downturn and the COVID-related slowdown,” said Kelly Speakes-Backman, CEO of ESA. “The signs point to an unprecedented increase in energy storage in the coming months and bring us closer to achieving our vision of 100 GW by 2030. With continued political support and regulatory reforms at the state and federal levels, energy storage is poised to continue on this path, enabling a more resilient, efficient, sustainable and affordable power grid for all. “
Massachusetts continued its strong presence in the non-residential segment through its SMART program, beating Hawaii’s stake totals to take second place in that segment. Usage outside of residential areas has slowed in recent quarters, increasing by around 30 MW each quarter of this year, as opposed to the segment’s quarterly highs of more than 40 MW in the first and fourth quarters of 2019.
The US battery storage storage market is projected to grow from 1.2 GW to nearly 7.5 GW (and 26.5 GWh) in 2025, largely due to large-scale procurement by utility companies. Solar + storage will make up a large part of these installations – and possibly the vast majority – as developers seek to capture the value of the investment tax credit.
Photo: ESA landing page