Global Residential Energy Storage Market to Reach US$55.3 Billion by 2030

The global market for Residential Energy Storage estimated at US$13.6 Billion in the year 2023, is expected to reach US$55.3 Billion by 2030, growing at a CAGR of 22.2% over the analysis period 2023-2030. Lithium-Ion, one of the segments analyzed in the report, is expected to record a 23.8% CAGR and reach US$47.7 Billion by the end of the analysis period. Growth in the LeAd-acid segment is estimated at 16.4% CAGR over the analysis period.

The U.S. Market is Estimated at US$4.1 Billion While China is Forecast to Grow at 25.9% CAGR

The Residential Energy Storage market in the U.S. is estimated at US$4.1 Billion in the year 2023. China, the world`s second largest economy, is forecast to reach a projected market size of US$8.3 Billion by the year 2030 trailing a CAGR of 25.9% over the analysis period 2023-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 16.9% and 19.6% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 19.7% CAGR.

Global Residential Energy Storage Market - Key Trends & Drivers Summarized

Residential energy storage systems are becoming increasingly vital in modern households, driven by the rising adoption of renewable energy sources like solar power and the need for reliable backup power solutions. These systems typically use advanced batteries, such as lithium-ion, to store excess energy generated by solar panels or to provide power during grid outages. Residential energy storage not only enhances energy independence but also allows homeowners to optimize their energy usage, reduce utility bills, and contribute to a more sustainable energy grid. Additionally, these systems can participate in demand response programs, providing grid stability and resilience during peak demand periods.

The market for residential energy storage is expanding rapidly due to several converging trends. The declining cost of battery technology, particularly lithium-ion batteries, has made energy storage more affordable for homeowners. Moreover, government incentives and rebates for renewable energy installations and storage systems are encouraging adoption. The increasing frequency of extreme weather events and grid reliability issues are also driving demand for home energy storage as a reliable backup solution. Innovations in battery technology, such as improved energy density and longer lifespan, are enhancing the performance and appeal of residential storage systems. Additionally, the integration of smart home technologies and energy management systems is providing homeowners with better control over their energy use.

The growth in the residential energy storage market is driven by several factors. Firstly, the decreasing cost of battery technology is making energy storage more accessible to a broader range of consumers. Secondly, government incentives and policies supporting renewable energy and storage solutions are promoting market adoption. Thirdly, the increasing need for energy reliability and resilience in the face of grid disruptions is boosting demand for home storage systems. Lastly, technological advancements in battery efficiency, smart home integration, and energy management are enhancing the functionality and attractiveness of residential energy storage solutions. These factors collectively contribute to the dynamic growth of the residential energy storage market.