The Energy Storage Report 2024

Now available to download, covering deployments, technology, policy and finance in the energy storage market

UK battery energy storage market to grow to 24GW by 2030, says Rystad Energy

Zenobe Energy’s Aylesford battery storage project in Kent, England. Image: Zenobe Energy.

The UK’s battery energy storage market will grow to 24GW by the end of the decade and account for almost 9% of all global capacity installations, energy research firm Rystad Energy said.

Utility-scale battery systems could also present an opportunity investment in the battery storage space with Rystad having said it could “attract investment of up to £16.15 billion ($20 billion) by 2030.”

This article requires Premium SubscriptionBasic (FREE) Subscription

Enjoy 12 months of exclusive analysis

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Annual digital subscription to the PV Tech Power journal
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

In terms of capacity by 2030, the UK is forecast to sit fourth in the table only behind China, the US and Germany.

One of the major reasons for this leading position in the global battery storage race is the ever-growing pipeline of intermittent renewable energy in the UK such as solar and wind. Consequently, the government has set ambitious energy storage requirement targets, eyeing 30GW of capacity by 2030, including batteries, flywheel, pumped hydro and liquid air energy storage.

Rystad believes the UK will both meet and even surpass this target but only if the government is able to address expected roadblocks such as grid connections, mitigating supply chain issues and developing a policy framework for pumped hydro projects.

Image: Rystad Energy.

The UK currently has 4.7GW of energy storage installed. Pumped hydro storage makes up the majority of this capacity with 2.8GW installed whereas battery energy storage systems (BESS) account for around 2.1GW.

Despite pumped hydro’s potential, the financial and regulatory hurdles required to develop new capacity means the UK is unlikely to add new projects in the short term. This is set to be rectified in the near future with the government aiming to establish a strategy for long-duration energy storage (LDES) developments, such as pumped hydro, by the end of 2024.

Battery developments are also estimated to grow in number and size as we approach the end of the decade due to the government’s decision to lift size restrictions on project planning. Because of this, single projects could grow to 1GW in size.

UK company Alcemi is the market leader in the UK with 3.3GW of capacity in the pipeline, with Zenobe taking second place with over 1GW of projects at different stages of development.

“Large-scale battery developments will soon be the norm in the UK, solving the problem of balancing short-term power demand with the intermittency of wind and solar generation. And this could just be the start. Further growth could soon be on the way if the government introduces additional incentives to spur investments,” said Pratheeksha R, renewable energy analyst at Rystad Energy.

22 October 2024
New York, USA
Returning for its 11th edition, Solar and Storage Finance USA Summit remains the annual event where decision-makers at the forefront of solar and storage projects across the United States and capital converge. Featuring the most active solar and storage transactors, join us for a packed two-days of deal-making, learning and networking.

Read Next

April 10, 2024
A compressed air energy storage (CAES) project in Hubei, China, has come online, with 300MW/1,500MWh of capacity.
April 9, 2024
Battery energy storage system (BESS) technology could reduce the cost of curtailing wind production in the UK by up to 80%, after over US$1 billion was spent last year, a developer said.
April 9, 2024
Battery technology startup Alsym Energy is keeping the exact chemistry of its product under wraps for the time being, the company has confirmed to
April 9, 2024
Developer and operator EsVolta has secured a US$185 million senior secured credit facility for its US battery energy storage system (BESS) project pipeline.
April 9, 2024
A second life energy storage assembly plant has opened in Germany, amidst a rapid fall in battery prices which could threaten the economics of repurposing EV batteries into stationary units.

Most Popular

Email Newsletter