The global energy landscape is under a transformative shift, with Battery Energy Storage Systems (BESS) emerging as a crucial technology for supporting renewable energy integration and grid stability.
As solar and wind power generation expand, efficient energy storage is essential for maintaining a reliable electricity supply. BESS allows energy to be stored and dispatched when demand peaks or when renewable sources are inactive, ensuring a balanced and resilient grid. Over the past three years, the BESS market has been the fastest-growing segment of battery demand, surpassing even the electric vehicle (EV) sector.
Several countries are investing heavily in large-scale energy storage to support clean energy ambitions and improve energy security. China and the United States lead the market with vast installed capacities and ambitious expansion plans, while Australia, Saudi Arabia, and Chile are seeing rapid growth. Advances in lithium-ion battery technology, government incentives, and declining costs are accelerating this expansion.
According to rho motion, here are the top 10 countries leading the charge in battery energy storage systems
1. China – 215.5 GWh
China remains the undisputed leader in BESS, holding over two-thirds of the global market. With 215.5 GWh of installed capacity in 2024 and an expected jump to 721.2 GWh by 2027, China’s dominance is fueled by aggressive government-backed initiatives, rapid renewable energy expansion, and a well-established supply chain for low-cost lithium-ion battery production. As its BESS market matures, China’s share of the total market is expected to slightly decline, but it will continue to set the pace for global energy storage.
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2. United States – 82.1 GWh
The United States is the second-largest BESS market, with 82.1 GWh installed in 2024 and a projected increase to 244.6 GWh by 2027. The rapid expansion is driven by supportive policies, including tax incentives under the Inflation Reduction Act, alongside large-scale private-sector investments. California and Texas lead the country’s BESS deployment, leveraging battery storage to stabilise power grids and optimise the growing share of solar and wind energy.
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3. United Kingdom – 7.5 GWh
With 7.5 GWh of installed capacity in 2024 and a projected reduction to 56.3 GWh by 2027, the United Kingdom boasts the largest BESS market in Europe. The country’s rapid growth is fueled by its increasing reliance on offshore wind and solar power, which require large-scale energy storage to balance grid fluctuations. As a result, the UK continues to attract strong investor interest, positioning itself as a leader in energy storage innovation within Europe.
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4. Australia – 5.6 GWh
Australia is emerging as a major player in BESS, with its installed capacity set to skyrocket from 5.6 GWh in 2024 to 102.9 GWh by 2027. The country’s reliance on renewables, particularly solar and wind, combined with frequent grid instability, has made energy storage a necessity. Australia is home to some of the world’s largest lithium-ion battery projects, and its ambitious energy transition policies are ensuring rapid growth in the sector.
5. Chile – .8 GWh
Chile has become a global leader in energy storage as it works to integrate its rapidly growing solar and wind capacity into the national grid. With 3.8 GWh installed in 2024 and a projected 41.0 GWh by 2027, the country is developing long-duration storage projects to support its vast renewable energy resources. As Chile phases out coal and strengthens its grid flexibility, BESS solutions are expected to play a crucial role in securing energy stability.
6. Italy – 2.2 GWh
Italy is steadily expanding its BESS capacity, growing from 2.2 GWh in 2024 to a projected 7.9 GWh by 2027. The country is focusing on solar-plus-storage projects to enhance energy reliability, particularly as it moves away from fossil fuels. Italy’s energy transition policies and commitment to grid modernisation are positioning it as a key player in Europe’s growing storage market.
7. Saudi Arabia – 1.3 GWh
Saudi Arabia is one of the fastest-growing BESS markets, with a dramatic increase from 1.3 GWh in 2024 to 32.4 GWh by 2027. This 24-fold growth is driven by the country’s Vision 2030 initiative, which aims to diversify its energy mix by investing in large-scale renewable energy projects. As Saudi Arabia expands its solar and wind energy infrastructure, battery storage will be crucial in ensuring grid stability and efficient energy distribution.
8. South Africa – 1.3 GWh
South Africa’s energy storage sector is set to grow significantly, with installed capacity rising from 1.3 GWh in 2024 to 9.4 GWh by 2027. As the country continues to struggle with power outages and load shedding, battery storage is becoming essential for ensuring a more reliable electricity supply. Government-led initiatives and private investments are accelerating the development of grid-scale storage solutions to support renewable energy integration.
9. Ireland – 1.6 GWh
Ireland’s energy storage market is projected to expand from 1.6 GWh and is predicted to increase in 2027 by 2.5 GWh by 2027. The country’s strong wind energy sector is driving BESS adoption to balance supply fluctuations and enhance grid efficiency.
10. Philippines – 1.0 GWh
The Philippines will see its BESS capacity grow from 1.0 GWh to 6.1 GWh for production for 2027 as it enhances its renewable energy mix and strengthens grid infrastructure to meet rising electricity demand.
11. Japan – 1.0 GWh in
Japan’s BESS market is gradually expanding, with installed capacity increasing from 1.0 GWh in 2024 to 5.0 GWh by 2027. The country is focusing on residential, commercial, and industrial battery storage solutions to enhance grid efficiency and energy security. With a strong push toward decentralised energy systems and renewable integration, Japan is investing heavily in innovative energy storage technologies.
12. Germany – 1.0 GWh
Germany, known for its commitment to renewable energy, is growing its BESS sector from 1.0 GWh in 2024 to a projected 6.2 GWh by 2027. The country’s push for grid decentralisation and energy storage incentives is helping drive investments in battery technology. As part of its transition away from fossil fuels, Germany is expanding its storage capacity to support the increasing share of wind and solar power in its energy mix.