It is estimated that by 2040, the total demand for batteries in the fixed energy storage system and the electric transportation industry will reach 4,584 GWh.
According to Bloomberg New Energy Finance (BNEF)’s latest forecast, energy storage around the world will multiply, from 9GW/17GWh deployed in 2018 to 1095GW/2850GWh in 2040.
According to BNEF estimates, a 122-fold surge in fixed-type energy storage over the next two decades will require $662 billion in investment, thanks to a 85% reduction in lithium battery costs during 2010-2018 and a further decline.
In addition, BNEF predicts that the cost of lithium batteries per kWh will be halved by 2030 due to the take-off of market demand for both fixed energy storage and electric vehicles.
Yaneyi Sekine, BNEF energy storage analyst, said that we have increased our investment estimate for 2040 energy storage to more than $40 billion, and that most of the new energy storage capacity will be the size of the utility, higher than the energy storage for households and businesses.
Analysis shows that the decline in battery prices has contributed to the expansion of its application areas. Power storage, peak regulation, and personal energy conservation can save more energy costs by purchasing electricity for storage at a cheaper time.
A fundamental shift is also taking place in the power system and transport sector. According to BNEF, the reduction in wind, solar and battery costs means that wind and solar power will account for nearly 40% of the world’s electricity in 2040, up from the current 7%. At the same time, by 2040, passenger electric vehicles may account for one-third of the world’s passenger cars, and currently less than 0.5%, which has increased the demand for battery companies.
Globally, BNEF predicts that according to GWh storage, 10 countries and regions currently account for nearly three-quarters of the global energy storage market. South Korea is the main market in 2019, but this position will soon change. By 2040, China and the United States will be far ahead. The remaining important markets include India, Germany, Latin America, Southeast Asia, France, Australia and the United Kingdom.
From High-Tech Lithium Battery