Energy storage is expected to play a significant role in enabling the global data centre build-out, although the commercial and financing models developers will use are evolving, Energy-Storage.news has learned.
Tesla reported company-high energy storage deployments and revenue growth in 2025 but expects “low-cost competition” and policy factors to affect margins this year.
By the end of December 2025, China’s cumulative installed capacity of new energy storage technologies including lithium-ion reached 144.7GW, representing an 85% year-on-year rise.
Battery energy storage projects have emerged as the dominant force in Australia’s energy investment landscape, accounting for 46% of the nation’s 64GW development pipeline, according to the Australian Energy Market Operator’s (AEMO) latest quarterly report.
“We see energy storage as an opportunity for (data centres) to reduce their impact on the grid”, said Patrick Hughes, Senior VP of Operations and Strategy at NEMA.
South Australia’s battery storage fleet entered a 4-hour AU$1,000/MWh (US$700/MWh) price event at around 90% state of charge during the Australia Day heatwave.
Germany’s four transmission system operators (TSOs) have begun procuring inertia services to help stabilise the electric grid as shares of renewable energy grow.
The global energy storage market is poised for continued expansion in 2026, even as supply chain constraints, regulatory evolution, and emerging applications reshape the landscape, according to Wood Mackenzie.
