Europe Stationary Battery Storage Market Size - By Battery (Lithium-Ion, Sodium Sulphur, Lead Acid, Flow Battery), By Application (Grid Services, Behind the Meter, Off Grid) & Forecast, 2023 – 2032

Europe Stationary Battery Storage Market Size

Europe Stationary Battery Storage Market was valued at USD 24.3 billion in 2022 and is projected to grow at a CAGR of 19.7% from 2023 to 2032. Continual reforms aimed at improving energy efficiency and the increasing focus on energy security will significantly boost business expansion. The European Commission's Energy Efficiency Directive 2012/27/EU, which paves the way for standardizing current and emerging energy systems, is set to enhance the potential of the battery storage technology industry, creating opportunities for business growth.
 

Strict government regulations pertaining to the decarbonization along with adoption of energy-efficient sustainable technology will propel the industry size worldwide. The increasing federal, state, and local initiatives pertaining to battery storage systems coupled with the integration of fuel-efficient technologies will augment the business growth.
 

Lead-acid batteries present safety concerns due to their excess of lead and sulfuric acid. The acid is highly corrosive and serves as a carrier for soluble lead and lead particulates. Many countries classify lead-acid batteries as hazardous materials because improper handling can pose health hazards. Overexposure to lead can result in kidney and brain damage, hearing impairment, and various other associated health issues. It's noteworthy that a single improperly disposed lead-acid battery has the potential to contaminate up to 25 tons of municipal solid waste. These adverse environmental and health effects associated with lead-acid batteries are likely to restrain the demand for stationary battery storage systems.
 

COVID-19 Impact

The lockdown measures implemented during the COVID-19 pandemic had a substantial impact on various manufacturing facilities, leading to constraints in battery production. This, in turn, has resulted in a demand-supply gap in the battery market. Nevertheless, the increasing energy demand, coupled with a positive outlook toward renewable energy generation, has driven significant growth in the deployment of battery energy storage systems (BESS) during the pandemic.
 

Europe Stationary Battery Storage Market Trends

Over the past decade, advocates for clean energy have engaged in debates about the necessity of suitable battery energy storage technology to support grid operations with renewable power. Significant investments by private and public entities in the development of the industrial sector and renewable energy generation capacity have created a strong incentive to continue supporting various battery technologies through ongoing improvements, rather than adopting an entirely different chemistry. Additionally, the cost reductions achieved in batteries designed for transportation purposes will have a spill-over effect on power sector applications, leading to a decrease in the cost of utility-scale battery packs.
 

The rapid uptake of renewable energy technologies, such as solar and wind, has presented a significant business opportunity for battery manufacturers. Ongoing government initiatives aimed at reducing carbon emissions have considerably increased funding for the deployment of these technologies.
 

Europe Stationary Battery Storage Market Analysis

The lead-acid battery market is expected to reach USD 950 million in 2022, primarily due to the maturation of its technological aspects and the emergence of alternative storage technologies. The increasing need for compact storage solutions, along with the high energy and power density characteristics offered by other storage options, has somewhat restrained the demand for lead-acid batteries. Furthermore, a significant shift towards the advancement of technologies such as lithium-ion, redox flow batteries, and efficient hybrid energy storage systems for applications in grid storage, emergency power supply, and remote energy management has introduced intense competition within the industry.
 

The behind the meter application is set to grow at a CAGR of over 18.5% through 2032. The increasing focus on improving the power supply quality and resilience will stimulate the demand for batteries. The BTM storage industry is dominated by the lead acid and lithium-ion battery systems. Rapidly declining battery prices and growing development of mini grids is anticipated to drive the stationary battery storage deployment across behind the meter applications.
 

The stationary battery storage market across Germany held around 28.1% of the revenue share in 2022. Germany has been at the forefront of the transition toward renewable energy sources. The expansion of wind and solar power installations has driven the need for stationary battery storage to manage intermittent energy generation and ensure a stable energy supply. There was a growing interest in residential battery storage systems among German households. This trend was driven by incentives and feed-in tariffs for homeowners to store excess energy and reduce reliance on the grid.
 

Europe Stationary Battery Storage Market Share

General Electric commands a substantial share in the Europe stationary battery storage industry, distinguished for its extensive experience in engineering and producing diverse waste heat recovery technologies, encompassing SRC, ORC, among others. With a rich history deeply rooted in the sustainable technologies sector, the company has delivered ORC solutions across a broad spectrum of applications, spanning oil & gas, waste to energy, and geothermal sectors.
 

Some of the key market players operating across the Europe stationary battery storage industry are:

• Tesla
• Durapower Group
• Johnson Controls
• Exide Technologies
• Duracell, Inc.
• BYD Company Ltd.
• Toshiba Corporation
• Samsung SDI Co., Ltd.
• Panasonic Corporation
• GS Yuasa International Ltd
• A123 Systems, LLC
• LG Energy Solutions
• Furukawa Battery Co., Ltd.
• HydraRedox
• Siemens Energy
• Lockheed Martin Corporation
• CMBlu Energy AG
• JenaBatteries GmbH
• Invinity Energy Systems
• Contemporary Amperex Technology Co., Limited (CATL)

Europe Stationary Battery Storage Market News:

• In October 2021, BYD along with its official service partner EFT Systems announced the launch of their commissioning services for battery box. This will enable the wholesalers and installers with reliable service module coupled with efficient installation and individual project planning process for future commercial energy storage projects. Currently, the service will be available across Germany and other regions will be added in the future.
   
• In March 2021, LG Energy Solution introduced a virtual launch of its RESU range for home ESS systems for U.S., German and Australian market. In addition, the company plans to invest for increased production capacity across U.S. for batteries applicable in electric vehicles as well as energy storage systems.
   

This Europe stationary battery storage market research report includes an in-depth coverage of the industry with estimates & forecast in terms of volume & revenue in MW & USD Million from 2019 to 2032, for the following segments:

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By Battery

• Lithium-ion
  • Lithium Iron Phosphate (LFP)
  • Nickel Manganese Cobalt (NMC)
  • Others 
• Sodium Sulphur
• Lead Acid
• Flow Battery
• Others

By Application

• Grid Services
  • Frequency Regulation
  • Flexible Ramping
  • Black Start Services
  • Energy Shifting & Capacity Deferral
  • T&D Congestion Relief
  • Capacity Firming
  • Reduced RE Curtailment
  • Reduced Reliance on Diesel Gensets
• Behind the Meter
• Electricity Consumers
• System Operations
• Mini Grids 
• Off Grid

The above information is provided for the following countries:

• UK
• Germany
• France
• Spain
• Italy