July 12, 2024: Global cumulative capacity will increase sixfold by the end of 2033, passing 1TW/3TWh, according to the latest forecast from research house,Wood Mackenzie.

“Global energy storage deployment in 2023 achieved record-breaking growth of 162% compared to 2022, installing 45 GW/100 GWh,” said Anna Darmani, principal analyst, energy storage, at WoodMac. “While impressive, the growth represents just the start for a multi-TW market as policy support in terms of tax exemption and capacity and hybrid auctions accelerate storage buildout across all regions.”

The global energy storage market is on track to reach 159GW/358GWh by the of 2024, according to Wood Mackenzie’s Q2 global energy storage market outlook update. Looking ahead, 926GW/2789 GWh will be added between 2024 and 2033, marking a 636% increase.

China remains the global leader of the energy storage market, due to its booming solar market, with an average of 42GW/120GWh annual capacity additions forecasted in the next 10 years. 

“In Europe, grid-scale projects are booming as developers aim to seize opportunities from emerging contracted revenues. Demand from the distributed segment has decreased by 23% in 2024 as retail rates stabilize,” says the report. “With lower system costs and regulatory changes, however, distributed market growth is expected to resume from 2026.”