by Molten salt thermal energy storage (TES) systems store thermal energy in molten salts for later use. They are used in concentrating solar power systems to allow power generation when the sun is not shining. The molten salts store the sun’s heat during the day and allow electricity generation to continue into the evening and on cloudy days. This provides dispatchable renewable energy that can form an important part of a sustainable energy transition away from fossil fuels. The molten salts are non-flammable and stable at high temperatures, making them suitable for storing heat over long periods of time from various renewable energy sources and industrial waste heat.
The Global Molten Salt Thermal Energy Storage Market is estimated to be valued at US$ 2.02 Bn in 2024 and is expected to exhibit a CAGR of 9.6% over the forecast period from 2024 to 2031.
The market is driven by increasing adoption of concentrated solar power worldwide due to its dispatchability and ability to provide grid stability alongside variable renewable sources like solar PV and wind.
Key Takeaways
Key players: Key players operating in the Molten Salt Thermal Energy Storage are Yara International ASA, Acciona S.A., Abengoa SA, BrightSource Energy, Inc., SENER Grupo de Ingenieria, S.A., SolarReserve, LLC, Engie SA, SCHOTT AG, and Torresol Energy Group.
Growing demand: The Molten Salt Thermal Energy Storage Market Demand is growing due to increasing focus on sustainable energy globally. It allows the cost effective storage of large amounts of renewable energy from CSP plants for use when the sun is not shining.
Global expansion: Major players are expanding their molten salt TES supply globally to capitalize on the opportunities in CSP markets in Asia Pacific, Middle East, Latin America and Africa. Global focus on green recovery programs post-Covid is also driving demand.
Market key Trends
One of the Molten Salt Thermal Energy Storage Market Size And Trends development of advanced molten salt mixtures with improved properties like higher heat transfer capabilities and thermal stabilities. Researchers are working on salt compositions that can operate at even higher temperatures than the current state-of-the-art nitrate salt mixtures. This will allow greater efficiencies in both thermal energy storage and power generation in CSP plants.
Porter’s Analysis
Threat of new entrants in the molten salt thermal energy storage market is low as the initial investment required to setup manufacturing and R&D facilities is very high. Also, the established players have economies of scale and it would be difficult for new players to compete with them.
Bargaining power of buyers is moderate as there are limited alternatives available and buyers cannot shift to other technologies easily due to high switching costs.
Bargaining power of suppliers is low as there are many component suppliers for molten salt thermal energy storage systems and switching costs are also low for suppliers.
Threat of new substitutes is moderate as there are other energy storage technologies like solid-state batteries, pumped hydro and liquid air energy storage emerging but molten salt solutions have advantages in terms of dispatchability and scale of deployment.
Competitive rivalry in the market is high due to presence of global players focusing on capacity additions through heavy investments in innovation.
In terms of value contribution, North America region accounts for the largest share in the molten salt thermal energy storage market owing to supportive government policies promoting renewable energy adoption and presence of leading players. China is the fastest growing geographical region due to growing focus on developing utility-scale renewable energy plants integrated with low-cost molten salt storage systems in the country. Massive capacity additions of solar PV farms along with molten salt storage technologies will continue to drive the market in China over the forecast period.
*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
