Trends & Forecasts REGIONAL MARKET ANALYSIS AND FORECASTS In emerging markets around the world, there is only
report. The development of distributed and local energy
are expected to grow by over 40 percent annually in
limited experience with energy storage, yet vast
resources, including renewables and energy storage,
the coming decade, resulting in approximately 80 GW
potentials exist to benefit from the technology. Many
can provide significant economic growth, jobs, and a
of new storage capacity. The following sections explore
of these markets share similar energy market dynamics
sustainable energy future in emerging markets. Energy
energy storage market activity, challenges, and potential
and needs for new resources. Driven by growing urban
storage deployments in emerging markets worldwide
in emerging markets worldwide.
populations,
many
emerging
markets
have a significant need for new electricity reserve capacity, particularly to meet peak demand. Many emerging market countries have a weak grid infrastructure that is susceptible to frequent outages and that has only limited capacity to effectively integrate
local
renewable
energy
resources. Furthermore many of these countries have not yet provided electricity service to portions of their population, providing an opportunity for microgrids equipped with energy storage to negate the need to expand centralized grid infrastructure to new areas. Energy storage is a valuable tool to support the needs of many emerging markets and using it can provide a reliable peak capacity resource, improve grid reliability, and facilitate the integration of renewable energy. Chart 3.1 provides forecasts for new energy storage capacity and revenue for each of the six major developing regions identified in this
w w w . s o l a r q u a r t e r . c o m
Solar Quarter • February 2018 53