New Energy Storage Industry: Rapid Development, Diverse Technologies, and Market Analysis
1. Introduction to the New Energy Storage Industry
Energy storage refers to advanced technologies that utilize specific devices or physical media to store various forms of energy for later use when demand arises. Within the energy storage technology framework, new energy storage encompasses all forms of storage technology except pumped hydro storage. Based on different technological pathways, energy storage can primarily be categorized into three main types: thermal storage, electrical storage, and hydrogen storage. Electrical storage can be further divided into physical storage, electromagnetic storage, and electrochemical storage. Specifically, the physical storage category includes not only conventional pumped hydro storage but also compressed air energy storage, flywheel energy storage, and gravitational energy storage. Electromagnetic storage comprises superconductive storage and supercapacitor storage, while electrochemical storage features a wide range of options such as lithium-ion batteries, sodium batteries, lead-acid batteries, flow batteries, sodium-sulfur batteries, and fuel cells. Thermal storage mainly includes molten salt storage and thermal energy storage systems.
2. Characteristics of the New Energy Storage Industry
(1) Rapid Development
In recent years, the installed capacity of new energy storage has seen explosive growth. From 2022 to 2023, the sector experienced growth rates exceeding 200% for two consecutive years, followed by a 130% increase in 2024. By the end of 2024, the installed capacity had surpassed 73 million kilowatts, approximately 20 times that of the end of the 13th Five-Year Plan period.
(2) Diversified Technology Pathways
Currently, lithium-ion battery storage dominates the market, accounting for over 95%. However, the engineering application of alternative technologies such as flow batteries, compressed air storage, flywheel storage, liquid air storage, and carbon dioxide storage is accelerating, each offering unique advantages and suitable scenarios.
(3) Rich Application Scenarios
These technologies can be integrated across various segments of the power system, helping to reduce energy costs and improve energy quality on the user side. On the generation side, they enhance the integration of renewable energy sources, while on the grid side, they provide services such as peak shaving and frequency regulation, thereby strengthening power supply reliability.
(4) High Flexibility in Deployment
Compared to pumped hydro storage, which is constrained by strict site selection requirements and lengthy construction cycles, new energy storage technologies offer significant advantages in terms of flexible deployment, shorter construction periods, and rapid response times, making them easier to implement in various scenarios.
3. Analysis of the New Energy Storage Industry’s Submarkets
(1) Superconductive Storage
Superconductive storage is a method that stores electrical energy directly without energy conversion. It involves directing current into an inductor coil made of superconducting materials. Theoretically, current can circulate indefinitely in this coil without loss until it is extracted. Currently, commonly used materials for superconductive coils include niobium-titanium (NbTi) and niobium-tin (Nb3Sn). A typical superconductive magnetic storage system comprises superconducting magnets, a low-temperature constant temperature system, and a power conversion system. The applications of superconductive storage technology in power systems are vast, enabling rapid responses to changes in grid frequency. It can stabilize frequency, enhance frequency regulation precision and efficiency, and instantly compensate for voltage dips and surges, improving power quality. It is especially beneficial for industries with high energy quality demands and can smooth the output of renewable energy sources such as wind and solar power.
(2) Molten Salt Storage
The molten salt storage sector has emerged due to rising energy storage demands and an emphasis on renewable energy utilization. This technology leverages the phase change properties of mixed salts like sodium nitrate and potassium nitrate. At high temperatures, the salt absorbs heat and melts into a liquid, storing thermal energy as latent heat. When cooled and solidified, it releases heat for utilization. In market applications, concentrated solar power plants utilize molten salt to convert solar energy into thermal energy, ensuring reliable electricity generation even during low sunlight periods. Additionally, it recovers industrial waste heat from sectors like steel, enhancing energy efficiency and reducing thermal pollution.
(3) Compressed Air Energy Storage
Compressed air energy storage operates by compressing air during low demand periods and storing it. When demand peaks, the stored compressed air is released to drive turbines for electricity generation. This system consists of several key subsystems, including compression, storage, and heat exchange systems. Current compressed air energy storage technologies are in their early stages of industrialization. Despite its potential as a clean and efficient storage solution, it faces challenges such as technical instability and high construction and operational costs, which may hinder widespread adoption and commercialization.
As compressed air energy storage technologies mature alongside supportive national policies for the energy storage sector, significant growth opportunities are anticipated.
The report titled “2025-2031 New Energy Storage Industry Submarket Analysis and Investment Outlook” encompasses a comprehensive overview of the global and Chinese markets, supply-demand data, market size, industrial policies, competitive landscape, and more.
