New York, Dec. 01, 2021 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "ASEAN Energy Storage Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" - https://www.reportlinker.com/p06187430/?utm_source=GNW
However, shortage and increasing prices of raw materials to manufacture batteries like lithium-ion are expected to hinder the market growth during the forecast period.
Key Highlights
With the expansion of the electric vehicle market and growing demand for uninterrupted power supply, both in the residential and commercial sectors, batteries are likely to witness significant growth in the market during the forecast period.
In line with the Paris agreement, countries around the globe are putting effort to increase renewable energy share in its energy mix. For instance, Indonesia has set a target to increase its renewable share to 31% by 2050. An increase in renewable energy like solar PV to power isolated grids in rural villages, inaccessible to the national grid, is likely to create an opportunity for the battery storage facilities in the near future.
With significant growth in renewable energy projects and development in data centers during the year 2018 and 2019, Indonesia is likely to dominate the region during the forecast period.
Key Market Trends
Batteries as a Significant Energy Storage Segment
Battery energy storage is considered as a critical technology in the transition to a sustainable energy system. The battery energy storage systems are used to regulate voltage and frequency, reduce peak demand charges, integrate renewable sources, and to provide the backup power supply.
Various types of batteries used in energy storage systems are lithium-ion, lead-acid, nickel-metal hydride (NiMH), nickel-cadmium (NiCD), nickel-zinc (NiZn), and flow batteries, among others.
Lithium-ion batteries are witnessing a massive demand in the battery energy storage market, owing to their declining prices. During 2018, the average price for the lithium-ion battery was nearly 176/KWh and is estimated to fall to as low as USD 73/kWh by 2030.
With a decrease in price and increasing uses of lithium-ion battery especially in electric vehicles and renewable projects, lithium-ion batteries are likely to have an increase in uses during the upcoming years.
Apart from lithium-ion (Li-ion), other battery chemistries, such as sodium, lead-acid, and flow batteries, are expected to provide additional benefits, such as increased durability or higher energy capacity for longer-term storage or other specific applications.
Indonesia to Dominate the Market
Indonesia, one of the largest economies in Southeast Asia, recorded a GDP growth of 5% in 2019. The diesel generators are mainly used as a power backup in the country. During 2018, the energy consumption of the country registered a year-on-year growth of 5%, highest in the decade.
As of 2019, Indonesia had about 66.56 GW of power generation capacity and generated 279.1 TWh of electricity. The share of renewables in the power generation mix was about 5.53%.
The country aims to achieve 23% of the power generation from renewable energy by 2023 and is expected to have a huge investment to develop the renewable sector of the country.
During 2018, the country inaugurated its first commercial wind power project in South Sulawesi. The project has a capacity of 75 MW of power generation and it includes batteries to store power.
As of 2018, there were around 55 data centers in the country. In early 2019, Alibaba Cloud launched its second data center in Indonesia, while AWS Jakarta cloud region is also in the pipeline and is expected to go live in the country during the forecast period. Installation of data centers indicates installation of battery backup power, which is essential during failure of power supply.
Competitive Landscape
The ASEAN energy storage market is moderately fragmented. Some of the key players in the market include GS Yuasa Corporation, Wartsila Oyj Abp, BYD Co. Ltd, SEC Battery Company, NGK Insulators Ltd, LG Chem Ltd, and Chakra Giri Energi Indonesia.
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report: https://www.reportlinker.com/p06187430/?utm_source=GNW
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