China market: Pumped Hydro Storage share falls below 50% for the first time. Non-hydro Storage accumulative installations surpass 50GW for the first time.
According to CNESA DataLink's Global Energy Storage Database, as of the end of September 2024, the cumulative installed capacity of operational energy storage projects in China reached 111.49 GW. This includes pumped hydro storage, molten salt thermal storage, and other non-hydro storage technologies, marking a year-on-year increase of 48% and a 29% rise since the end of 2023. The share of pumped hydro storage in the total installed capacity fell below 50% for the first time. Among these, the cumulative installed capacity of non-hydro energy storage surpassed 50 GW for the first time, reaching 55.18 GW/125.18 GWh. Power capacity grew by 119% year-on-year, while energy capacity surged by 244% year-on-year.
Fig 1: Cumulative installed capacity distribution of total energy storage projects in China (as of the end of Sep 2024), unit: MW%
In the first three quarters of 2024, newly operational non-hydro energy storage installations reached 20.67 GW/50.72 GWh, representing year-on-year growth of 69% in power capacity and 99% in energy capacity. In Q3 alone, newly installed capacity amounted to 6.79 GW/16.89 GWh, showing year-on-year increases of 62% and 99%, but quarter-on-quarter declines of 29% and 26%, respectively.
Fig 2: Cumulative Installed Capacity of Operational Non-hydro Energy Storage Projects in China (as of Sep 2024)
China EPC bidding update of 2024 Q3: Bidding reaches record high, energy storage system bid prices hit historic lows
In the first three quarters of 2024, the bidding volumes for battery systems, energy storage systems, and EPC projects all exceeded the same period of 2023 in terms of energy capacity. Among these, EPC bidding reached its highest-ever quarterly volume in Q3, approaching 50 GWh. Large-scale projects, particularly those exceeding 500 MWh and even GWh-level, saw a significant increase in EPC bidding announcements. State Power Investment Corporation (SPIC) led with a bidding volume exceeding 7 GWh.
Fig 3: Distribution of Typical Bidding Types (Jan–Sep 2024) (Unit: GWh)
Fig 4: Top 10 EPC Bidders by Scale (Jan–Sep 2024) (Unit: GWh)
Energy storage system bid prices hit a record low
In the first three quarters, the average bid price for domestic non-hydro energy storage systems (0.5C lithium iron phosphate systems) was 622.90 RMB/kWh, a year-on-year decline of 50%. While bid prices remained relatively stable in the first half of the year, they reached a historic low of 578.11 RMB/kWh in Q3, particularly in September. This marks a 42% year-on-year decrease, a 4% quarter-on-quarter decline, and a 26% drop compared to early 2024. For the first time, prices fell below 500 RMB/kWh.
This downward trend was partly driven by falling upstream lithium carbonate prices, which fluctuated around 100k–110k RMB/ton in the first half of the year. Since late June, prices declined steadily, dropping below 80,000 RMB/ton in September due to inventory reductions and weakened downstream demand.
Note: 0.5C lithium iron phosphate battery energy storage system, excluding user side application; The average bid price is the arithmetic average of the bid price of each project in the statistical period.
Fig 5: Trends in Energy Storage System and EPC Bid Prices (Jan 2023–Sep 2024) (Unit: RMB/kWh)
United States: the new installed capacity is 6.5GW+ in the first three quarters. Q3 installation declines after record Q2
As of September 2024, the U.S. added 27.1 GW of cumulative operational battery storage, a year-on-year growth of 70% and a 34% increase from the end of 2023. Newly operational installations (≥1 MW) in the first three quarters reached 6,807.4 MW, a 57% year-on-year increase. After achieving a record high in Q2, Q3 installations fell to 2,578.8 MW, a 14% quarter-on-quarter decline but a 0.4% year-on-year increase. Regionally, California continued to lead with over 40% of new installations, followed by Texas and Arizona. Independent storage projects dominated, accounting for two-thirds of the total.
United Kingdom: Q3 Marks Installation Peak for 2024
As of September 2024, the U.K. reached 4.3 GW/5.8 GWh in cumulative operational battery storage, with an average duration of 1.33 hours. In the first three quarters, 19 new battery projects totaling 579 MW were added, a year-on-year decline of 52%. After two quarters of declining installations, Q3 achieved a new 2024 high at 259 MW, up 90% quarter-on-quarter but down 38% year-on-year. New projects in Q3 ranged from 10–50 MW with durations between 1–2.4 hours.
Additionally, 4.3 GW of battery capacity is expected to sign capacity market agreements by October 2024. By the end of Q3, 1.4 GW of battery capacity for the 2024/25 market had yet to connect, with an estimated 280–780 MW to come online in Q4.
Germany: Slowing Growth in Monthly Installations
In the first three quarters of 2024, Germany added 2,672.5 MW/3,965.3 MWh of battery storage, a slight year-on-year decline of 3%/5%. Q3 installations reached 716.9 MW/1,138.7 MWh, down 28%/25% year-on-year and 23%/16% quarter-on-quarter.
Residential storage accounted for 88% of new installations in both Q3 and year-to-date figures (by energy capacity). By September 2024, Germany's cumulative battery storage installations totaled 10.3 GW/15.9 GWh, with residential systems making up 85% of the total. Over 1.5 million residential systems have been installed, with over 400,000 added in the first three quarters of 2024.
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