Residential Energy Storage Market Is Projected to Reach USD 17.5 Billion by 2024
According to a recent market research report by MarketsandMarkets, the residential energy storage market is projected to reach USD 17.5 billion by 2024 from an estimated USD 6.3 billion in 2019, at a CAGR of 22.88% during the forecast period. Some of the factors driving this growth include the declining cost of batteries, regulatory support and financial incentives, and the need for consumers to reach energy self-sufficiency.
By power rating type, the 3–6kW segment is expected to hold the largest share of the residential energy storage market during the forecast period. This is mainly because of the increasing need for power backup during extreme weather and natural disasters. Specifically, consumers and governments can effectively avoid a major electricity crisis through small energy storage systems solutions.
By ownership type, the customer-owned segment is expected to account for the highest CAGR during the forecast period. As has been mentioned, the growth of this segment can be attributed to the increasing need for energy self-sufficiency and the rising demand for power backup. Also contributing to the growth of the residential storage market is a rising demand for modular energy storage infrastructure in the residential areas of developed countries such as the U.S., U.K., Germany, Norway, and China.
In this report, the residential energy storage market in five regions has been analyzed: North America, South America, Europe, Asia Pacific, and the Middle East & Africa. The Asia Pacific region dominated the global residential energy storage market in 2018; over the past few years, it has witnessed rapid economic development as well as the rapid growth of renewables and demand for energy self-sufficiency. Australia and some parts of India and China are providing subsidies and financial incentives to residential consumers. This movement toward solar and an increased need for storage results in better grid stabilization and the development of greener countries with lower carbon emissions.
To better illustrate the competitive landscape, the MarketsandMarkets report includes the profiles of some top players in the residential energy storage market. Some of the key players are Huawei (China), Samsung SDI Co. Ltd. (South Korea), Tesla (U.S.), LG Chem (South Korea), and SMA Solar Technology (Germany). These leading players are adopting various strategies to increase their share of the residential energy storage market.