The North American energy storage market has experienced explosive growth in recent years, with the United States driving this surge as the region’s primary market.
According to incomplete statistics from the industry database of the Energy Storage Application Branch of China Industrial Association of Power Sources (CESA), the U.S. deployed 11.46 GW/31.23 GWh of new battery storage capacity in 2024, marking a remarkable year-on-year increase from 54% to 50.9%. This set a new national record and cemented the nation’s position as the world’s second-largest energy storage market.
California emerged as the clear leader, accounting for approximately 46.66% of national capacity with 3.77 GW/13.55 GWh of new large-scale energy storage installations, propelled by its aggressive clean energy policies. Texas, Arizona, Oregon, and Nevada also demonstrated strong growth, each adding over 1 GWh of new capacity as these states accelerate energy storage infrastructure development.
Triple Engine Driving U.S. Market Growth
1 Grid Modernization Needs
- The U.S. power grid faces mounting challenges as coal plants built in the 1970s-1990s approach retirement;
- Solar power generation has skyrocketed from 25 TWh in 2015 to 164 TWh in 2023;
- Renewable energy’s share is projected to jump from 21% (2021) to 44% (2050), necessitating storage to balance intermittent generation
2 Policy Support
- The Inflation Reduction Act (2022) allocated $369 billion for energy investments, extending the Investment Tax Credit (ITC) for 10 years;
- In September 2024, the Department of Energy (DOE) announced $3 billion in grants for 25 battery projects across 14 states;
- Total government subsidies for critical minerals and battery supply chains have reached $35 billion
These policies have provided strong economic support for the energy storage industry, reduced the investment risks for enterprises, and attracted a large amount of capital to flow into this field.
3 Market Momentum
- Combined residential and industrial and commercial storage demand is creating sustained growth;
- Projected cumulative capacity will approach 500 GWh by 2030, reinforcing U.S. leadership in global energy storage.
Canada’s Storage Market Gains Traction
Beyond the United States, Canada’s energy storage market is steadily emerging as a key player, leveraging its abundant natural resources and vast potential in renewable energy, particularly hydropower and wind.
With growing emphasis on clean energy transition, the Canadian government is actively promoting energy storage projects to enhance grid stability and optimize energy utilization efficiency.
The need is particularly acute in remote regions and island communities, where weaker power infrastructure creates urgent demand for storage solutions, unlocking significant market opportunities for industry development.
Source: WeChat Official Account—储能网
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