BOULDER, Colo.--(BUSINESS WIRE)--A new report from Navigant Research examines the global market for small distributed energy storage systems (SDESSs), providing forecasts segmented by region, technology, and building type, through 2027.
As the market for commercial and industrial behind-the-meter distributed energy storage systems (DESSs) continues to mature, participants are seeing a steady decrease in installed costs, along with a variety of other market drivers. For SDESSs (systems 250 kW or less in size) in particular, savings in the form of tariffs and demand charge reduction, as well as policies favoring energy storage, are pushing the market forward in three main regions. Click to tweet: According to a new report from @NavigantRSRCH, North America, Western Europe, and Asia Pacific are expected to account for almost 90 percent of cumulative SDESS capacity between 2018 and 2027.
“The benefits of an onsite energy storage system are often lost on small commercial customers, and educating these customers to deploy SDESSs can be a challenging endeavor,” says William Tokash, senior research analyst with Navigant Research. “But vendors are using creative financing mechanisms such as equipment leases and revenue sharing models, coupled with local incentives, to make storage a more realistic option in the small commercial segment.”
During the next decade, energy storage prices are expected to continue a steady decline, while retail electricity rates and supplemental charges are projected to increase and become more common. Combined, these forces are expected to drive large growth in the SDESS market for the next 10 years; however, deployments are still likely to be confined to specific markets where economics and policy are favorable.
The report, Market Data: Small Commercial Energy Storage, analyzes the global market for SDESSs that are 250 kW or less in size. The study provides an overview of the market developments, drivers, and barriers that are likely to influence the growth of SDESSs. Global market forecasts, segmented by region, technology, and building type, extend through 2027. The report also examines the regional policy trends and business models related to the small commercial energy storage space. An Executive Summary of the report is available for free download on the Navigant Research website.
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Energy Technologies, Utility Transformations, Transportation Efficiencies, and Buildings Innovations sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.
Navigant Consulting, Inc. is a specialized, global professional services firm that helps clients take control of their future. Navigant’s professionals apply deep industry knowledge, substantive technical expertise, and an enterprising approach to help clients build, manage and/or protect their business interests. With a focus on markets and clients facing transformational change and significant regulatory or legal pressures, the Firm primarily serves clients in the healthcare, energy and financial services industries. Across a range of advisory, consulting, outsourcing, and technology/analytics services, Navigant’s practitioners bring sharp insight that pinpoints opportunities and delivers powerful results. More information about Navigant can be found at navigant.com.
* The information contained in this press release concerning the report, Market Data: Small Commercial Energy Storage, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.