China Nieuwe energieopslagbatterij

Why did China double its energy storage capacity in 2022?

Power lines in Yichun, China. China almost quadrupled its energy storage capacity from new technologies last year, as the nation works to buttress its rapidly expanding but unreliable renewables sector and wean itself off dirty coal. Capacity rose to 31.4 gigawatts, from just 8.7 gigawatts in 2022, the National Energy Administration said Thursday.

Why is China launching a battery storage boom?

The battery storage boom comes as some provincial governments mandate renewables developers to build or rent capacity, to ensure they capture as much energy as possible from intermittent wind and solar generation. China’s new wind and solar installations probably accounted for well over half the global total last year, according to BloombergNEF.

How will China's energy storage capacity grow in 2023?

Ahead and heading into a new era for new energy, it is expected that China’s energy storage capacity and its BESS capacity in particular will grow at a CAGR rate of 44% between 2023 and 2027. Finally, BESS development financing globally thus far has stemmed from various sources: funds, corporate funds, institutional investors, or bank financing.

Why is energy storage booming in Beijing?

The boom in energy storage installation also comes as Beijing makes a major pivot in its macroeconomic strategy, with the country’s previous key economic drivers, such as the real estate sector, losing steam, according to an analysis published by the Helsinki-based Centre for Research on Energy and Clean Air (CREA).

Is energy storage a key enabler for renewables in China?

Nikhil Bhandari, co-head of Goldman’s Asia-Pacific natural resources and cleantech research team, described energy storage as the “key enabler for renewables round the clock” in China. 2060 Advisory’s Wang noted that many businesspeople in China are encouraged by the certainty provided by Xi’s climate change commitments.

Should investors buy China's battery value chain?

Neil Beveridge, an analyst with Bernstein in Hong Kong, said “overcapacity remains the greatest risk” facing investors buying into China’s battery value chain, although he noted that scale and technology would also likely “limit long-term winners to a narrow group of companies”.