The US energy storage market grew a phenomenal 243% in 2015, the largest year on record, according to new figures published by GTM Research.
According to GTM Research’s latest report, US Energy Storage Monitor 2015 Year in Review, the US energy storage market had both its best quarter ever, and finished off its best year ever. Specifically, the US energy storage market deployed 112 MW in the fourth quarter, bringing the full year 2015 to a record 221 MW — and showing just how strong the fourth quarter was.
In fact, GTM notes that the total 112 MW deployed in the fourth quarter represented more than the total of all US energy storage deployments throughout 2013 and 2014 combined, allowing the market as a whole to grow 243% over 2014’s measly 65 MW.
“We can look back at 2015 as the year when energy storage really took off,” said Ravi Manghani, GTM Research senior energy storage analyst and author of the report. “While most of the growth was limited to a single wholesale market of PJM, we expect growing interest for storage in several markets.”
The utility energy storage market, or front-of-meter, remains the country’s dominant energy storage market, accounting for 85% of all deployments in 2015. Residential and non-residential make up the behind-the-meter sector, and grew a phenomenal 405% in 2015, being led by Hawaii in the residential market, and California in the non-residential sector.
“Energy storage is changing the paradigm on how we generate, distribute and use energy,” added Matt Roberts, executive director of the Energy Storage Association (ESA). “With exponential growth predicted over the next couple of years, energy storage solutions will deliver smarter, more dynamic energy services, address peak demand challenges and enable the expanded use of renewable generation like wind and solar. The net result will be a more resilient and flexible grid infrastructure that benefits American businesses and consumers.”
GTM Research predicts that the annual US energy storage market will surpass the 1 GW mark in 2019, and by 2020 the industry will be a 1.7 GW market, valued at around $2.5 billion.