Wood Mackenzie reported large growth in Q1 year-over-year for grid-scale storage and residential storage in the USA, while commercial and industrial storage slowed.
ood Mackenzie and American Clean Power released its quarterly Energy Storage Monitor report, finding that the U.S. storage market posted strong growth in the grid-scale and residential storage sector, while the commercial and industrial sectors retracted significantly in Q1 2024.
The grid-scale market installed 993 MW / 2,952 MWh of storage, with California, Texas, and Nevada responsible for 90% of the total. This was a record quarter for grid-scale storage, growing 84% year-over-year over Q1 2023. The enormous backlog of grid-scale storage with interconnection applications has grown 10% year-over-year, with 426 GW of storage in the queue nationwide.
Costs declined considerably year-over-year, with grid-scale storage averaging $1,776 per MWh in Q1 2023 and falling 39% to $1,080 per MWh in 2024. The grid-scale segment is projected to see a 45% increase year-over-year in 2024 with 11.1 GW/31.6 GWh installed, bringing total cumulative volume in the next five years to 62.6 GW/219 GWh.
About 250 MW / 515 MWh of residential storage was installed, posting a slight increase of 8% over Q4 2023. Interestingly the residential solar segment grew 48% on an MW capacity basis year-over-year for Q1.
Batteries were attached to 41% of installed solar arrays in California
California tripled its number of residential storage installs year-over-year for Q1. Batteries were attached to 41% of installed solar arrays in California, suggesting there is still a lot of room for growth, said Wood Mackenzie. High interest rates continue to drag down the residential solar and storage market, increasing the amount of third-party-owned systems like leases and power purchase agreements (PPA).
Wood Mackenzie forecasts that 13 GW of distributed storage will be deployed over the next five years. The residential segment will constitute 79% of distributed power capacity installations, said the report. It said that more residential storage will come online as costs decrease and the value of exporting rooftop solar mid-day decreases as well.
To continue reading, please visit our new ESS News site.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
Source from pv magazine
Disclaimer: The information set forth above is provided by pv-magazine.com independently of Alibaba.com. Alibaba.com makes no representation and warranties as to the quality and reliability of the seller and products.
