by The energy storage as a service market provides valuable energy management solutions through battery storage systems and other energy storage technologies. These solutions help optimize power usage, lower costs, ensure power reliability, and support grid resilience and stability for both commercial and industrial customers.
The Global Energy Storage as a Service Market is estimated to be valued at US$1.81 Billion in 2024 and is expected to exhibit a CAGR of 10% over the forecast period between 2024 to 2031.
Key Takeaways
Key players operating in the energy storage as a service market are Fluence Energy Storage Company, Ambri Energy Storage Company, Stem, Inc., Swell Energy, Sunrun, Sonnen, Generac Power Systems, Engie Storage, and Eos Energy Storage. These companies deploy utility-scale battery storage systems and offer energy storage services including capacity, energy and power dispatch services.
The growing demand for reliable and affordable energy from commercial, industrial and residential sectors is expected to drive the growth of the Energy Storage As A Service Market Trends Various governments across the globe are also introducing favorable policies and incentives to promote the adoption of renewable energy and battery storage.
Geographic expansion into new and emerging markets will be a key focus area for players in the energy storage as a service industry. The market is expected to witness strong growth in the Asia Pacific region led by China, India and other developing countries with growing energy needs. North America and Europe will continue to remain lucrative markets.
Market Key Trends
Time-of-use optimization has emerged as a Energy Storage As A Service Market Size And Trends Battery storage systems help customers optimize their grid usage by shifting loads to off-peak times and reducing demand charges. This helps commercial customers lower electricity costs significantly without compromising reliability and power quality.
Porter’s Analysis
Threat of new entrants: Energy storage industry requires high investment which makes entry difficult for new players.
Bargaining power of buyers: Buyers have moderate bargaining power as there are several available options for energy storage but buyers may look for value added services.
Bargaining power of suppliers: Suppliers have moderate bargaining power due to availability of alternative component suppliers and integration requirements.
Threat of new substitutes: Threat of substitutes is moderate as new technologies can disrupt the market but are not an immediate threat.
Competitive rivalry: The market is growing rapidly and attracting new investment which is increasing competition in the market.
North America holds the largest share of the global energy storage as a service market owing to growing demand for reliable power supply and reducing carbon footprint in the region. The United States leads the market due to supportive government policies and incentives promoting energy storage installations.
Asia Pacific is expected to grow at the fastest pace during the forecast period supported by rising investments in renewable energy integration and increasing need for ancillary services across developing countries such as India and China. Favorable policy environment and increasing awareness regarding benefits of energy storage will further aid the regional market expansion.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
About Author - Money Singh
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc. LinkedIn Profile
