China, which relies heavily on coal power and imported energy, plans to significantly increase its battery storage capacity to over 100 gigawatts (GW) by year-end, marking a 43% rise year-over-year.
The country has been investing billions of dollars to expand its solar and wind energy capacities in recent years, to reducing dependence on imports and lower its carbon emissions.
China's total installed electricity capacity reached 3,348.6 GW by 2024, according to a report from the National Energy Administration of China.
The country's wind power capacity stands at 520 GW, while solar has reached 886.6 GW, totaling around 1,406 GW.
To address the intermittent nature of renewable energy production caused by seasonal and climatic factors, China is increasingly focusing on battery storage systems.
- Storage capacity
In 2024, China's storage capacity reached 73.7 GW, with large-scale and centralized investments becoming increasingly prominent, the report said.
Most battery storage facilities are concentrated in the northern and western regions, aligning with the locations of major solar and wind farms.
The Inner Mongolia Autonomous Region leads with 10.23 GW of installed storage capacity, followed by the Xinjiang Uygur Autonomous Region with 8.57 GW, Shandong with 7.17 GW, Jiangsu with 5.62 GW, and the Ningxia Hui Autonomous Region with 4.43 GW.
Other regions, including Hebei, Zhejiang, Gansu, Guangdong, Hunan, Henan, Anhui, Hubei, Guizhou, and the Guangxi Zhuang Autonomous Region, account for the remaining capacity.
Facilities with capacities exceeding 100 megawatts (MW) make up 62.3% of the total installed storage capacity.
China Energy Storage Alliance, a non-profit organization, predicts that China's storage capacity could surpass 100 GW this year and reach 300 GW by 2030.
- Versatile applications of storage systems
Battery storage systems are being deployed across various sectors to help integrate renewable energy into the rapidly growing energy sector.
These systems play a crucial role in stockpiling excess energy generated by renewable sources, balancing supply and demand on the grid, providing backup power during outages, and reducing grid load during peak demand periods. This contributes to a more flexible and reliable energy grid.
Additionally, storage systems are used in industrial facilities, data centers, and telecommunications infrastructure to ensure uninterrupted power supply during natural disasters or emergencies.
They also facilitate energy management and automation in smart grid systems.
- China leads global energy storage market
China holds a dominant position in the global energy storage market, controlling 38% of the market share. Lithium-ion batteries constitute 98.2% of the country's electrochemical storage capacity.
The integration of storage facilities into the electricity market is expected to improve market mechanisms, enabling multi-purpose and time-shared utilization of storage services.
This shift is anticipated to accelerate industry restructuring and transition the electricity sector from 'price competition' to 'value competition.'
China's ambitious plans underscore its commitment to advancing renewable energy and achieving its climate goals, positioning the country as a global leader in energy storage and sustainable development.
By Fuat Kabakci
Anadolu Agency
energy@aa.com.tr