The U.S. Energy Information Administration (EIA) recently released survey data. It is estimated that in the next two years, the United States will deploy 10GW of battery energy storage systems, of which more than 60% will be deployed with photovoltaic systems.
The U.S. Energy Information Administration (EIA) conducts surveys by collecting statistics on power generation facilities and related equipment of 1MW or more. The group is an independent agency of the U.S. federal statistical system.
In reporting its most recent monthly statistics, the agency noted that 3.1GW of battery storage systems were deployed in the U.S. in 2021. This is a considerable increase from 2020, when the cumulative installed capacity of battery storage systems in 2020 was found to be 1,650MW.
This is an even more staggering increase considering that the cumulative installed capacity of battery energy storage systems in the United States was about 100MW in 2012, and the cumulative deployment only exceeded 1GW in 2019. Over the next two years, the U.S. is expected to add another 10GW of battery storage.
When certain conditions are met, battery energy storage systems deployed in conjunction with photovoltaic power generation facilities can receive an investment tax credit (ITC), thereby reducing investment costs.
This has been a strong driver for the deployment of PV+storage projects in the U.S., but the Investment Tax Credit (ITC) is not applied to independently deployed energy storage systems because deployments without PV systems do not meet ITC requirements. Industry groups and advocates continue to lobby the U.S. Congress to include independent deployment of battery energy storage in the ITC, as well as a direct payment option that unlocks ITC benefits faster and easier.
Falling battery energy storage system costs are also cited as a driver of market activity, although current shipping delays, high demand from the electric vehicle industry, and rising raw material prices are among the factors contributing to the rebound in battery costs.
Energy storage industry grapples with supply chain uncertainty
Industry sources commented that they see many issues, especially those related to the Covid-19 pandemic, to be resolved in the coming months. Some energy storage providers or integrators have also changed strategies, such as the recent decision by energy storage technology provider Fluence to include pricing based on a raw material index into contracts.
Fluence and others are also looking to sign long-term supply contracts, and the planned ramp-up of battery production in North America and Europe over the next few years will no doubt further change the game.
In the next two years, renewable energy developers and operators plan to build 41GW of utility-scale photovoltaic systems and 10GW of battery storage, which is 60% of the 85GW expected to be installed between 2022 and 2023, according to the report. .
Texas, California and New York will then be the leading states in deploying photovoltaics and battery storage, adding 27GW of new capacity. In the next two years, the United States will also deploy 16GW of natural gas power generation facilities and 15GW of wind power facilities.
According to industry media reports, the U.S. Energy Information Administration (EIA) expects the U.S. to deploy 22GW of utility-scale PV systems in 2022 and 13GW in 2021.
The U.S. Energy Information Administration (EIA) reported installed battery storage capacity in 2021, about 4.2GW less than the installed capacity reported by Bloomberg New Energy Finance in a research report last year. The report prepared by Bloomberg New Energy Finance for the Sustainable Energy Business Council covers all areas of the energy storage market.
Manly Battery Co.,Ltd specializes in providing energy storage power, UPS backup power, power supply and new energy system solutions and operation and maintenance services for new energy, electric wheels, smart energy storage and green power applications. Among them, the field of network energy mainly includes communications, power, data centers, financial securities, rail transit, etc.; the field of smart energy storage mainly includes household energy storage, industrial and commercial energy storage, and microgrid energy storage systems; the field of green power mainly includes forklifts, low-speed electric vehicles, off-road vehicles, etc. At present, the main products are lithium-ion batteries and systems, lead-acid battery replacement lithium batteries and systems, and new energy system integration products and services. Please contact:
sales@manlybatteries.com
info@manlybattery.com
