Ten development trends of new energy storage in 2025
2:59 pm
New energy storage is entering a critical year. In 2025, new energy storage will enter the stage of large-scale development from the initial stage of commercialization and have the conditions for large-scale commercial application. At present, the industry is optimistic about the performance of the new energy storage market in 2025.
In this article, we will discuss the ten major trends in the development of energy storage systems in 2025.
1. R&D and mass production of large-capacity energy storage cells are accelerating
Whether it is large-capacity cells or large-scale systems, “larger” has become the main iteration direction of energy storage products. In 2024, leading companies such as CATL, EVE Energy, Rept Lanjun, and Gotion High-tech have launched large-capacity energy storage cells of 500Ah+; looking forward to 2025, this trend will continue to deepen, and the R&D and mass production of large-capacity energy storage cells will be further accelerated, and more 500Ah+, 600Ah+, and even 700Ah+ single cells will emerge, driving the integration efficiency of energy storage systems to improve, and the capacity will be increased to 6MWh, or even more than 8MWh.
Hitech Energy Storage plans to deliver its 6.25MWh 2h/4h full-scenario large-capacity energy storage system globally in the second quarter of 2025. Among them, the 2h energy storage system is based on 587Ah energy storage cells, and the 4h energy storage system is based on 1175Ah energy storage cells. Narada’s 690Ah ultra-large capacity energy storage battery will be mass-produced and delivered by the end of 2025. Based on the 690Ah size specification, the energy storage battery is compatible with a capacity of 650Ah to 750Ah, with a volume energy density of 380-440Wh/L and a cycle life of up to 15,000 times. The capacity of a 20-foot energy storage system equipped with this battery can reach 6MWh.
2. Lithium battery companies increase investment in long-term energy storage
The industry generally believes that large-scale low-cost energy storage technology that can achieve continuous discharge for 4 hours or more, or several days or months at rated power is long-term energy storage.
At present, with the increase in the proportion of new energy in the power system, the demand for long-term energy storage has increased significantly.
With the continuous maturity of lithium battery technology and the continuous introduction of large-capacity batteries and systems, long-term energy storage has also become a key development direction for many battery manufacturers such as CATL, BYD, and EVE Energy Storage. Recently, Tesla Energy said that the company is optimistic about the future long-term energy storage market and is preparing to deploy large-capacity and large-cell batteries.
With the continuous maturity of lithium battery technology and the continuous introduction of large-capacity batteries and systems, long-term energy storage has also become a key development direction for many battery manufacturers such as CATL, BYD, and EVE Energy Storage. Recently, Tesla Energy said that the company is optimistic about the future long-term energy storage market and is preparing to deploy large-capacity and large-cell batteries.
3. Artificial intelligence empowers energy storage safety
In 2025, the new generation of artificial intelligence technology (AI) will be more widely used in the field of new energy storage, becoming a new engine for industrial development, promoting the widespread application of information technologies such as blockchain, big data, artificial intelligence, and 5G in the new energy storage manufacturing industry, and supporting the development of new energy storage safety early warning technology based on digital twins and artificial intelligence technologies.
In terms of technology research and development, artificial intelligence technology can simulate and optimize the performance of energy storage materials more accurately. In terms of energy storage safety operation and maintenance, active safety technologies that use technologies such as BMS and big data to monitor and evaluate the operating status of batteries and identify and warn of early faults in energy storage systems will become an important means to “break through” energy storage safety.
In addition, in the management of photovoltaic storage stations, artificial intelligence technology can accurately predict and configure strategies, balance the source, grid, load and storage, and improve the economic benefits of the entire system. For example, in the planning and construction stage of power stations, with the help of high-precision real-life modeling, a 1:1 digital twin power station can be built, and timely on-site correction can be carried out; after the power station is connected to the grid and enters the operation stage, robot inspections are used to improve operation and maintenance efficiency.
4. Sodium-ion battery energy storage “emerges”
In 2024, sodium-ion battery technology developed rapidly, achieved major breakthroughs in energy density, cycle life and safety, and entered the stage of commercial application. In 2025, energy storage will become a key breakthrough for the large-scale application of the sodium-ion battery industry, and the “first year” of sodium-ion battery industrialization may begin.
However, it is worth noting that the current continuous decline in lithium battery prices has slowed down the industrialization process of sodium-ion batteries to a certain extent. Only when lithium battery production capacity is effectively cleared, sodium-ion batteries can truly usher in large-scale development.
Hi-Tech Energy Storage launched its world’s first sodium-ion battery N162Ah dedicated to power energy storage, which is expected to achieve GWh-level mass production in the fourth quarter of 2025; BYD Energy Storage released a sodium-ion battery energy storage system product using long blade battery cells, and defined it as the world’s first high-performance sodium-ion battery energy storage system, with a capacity of 2.3MWh and a voltage range of 800V-1400V, which is expected to be delivered in the third quarter of 2025; CATL’s second-generation sodium-ion battery has been developed and can discharge normally in a severe cold environment of minus 40 degrees Celsius, and is expected to be launched on the market in 2025
5. (Semi) solid-state batteries for energy storage are moving towards “application fields”
The application of solid-state batteries in the field of energy storage is being rolled out in full swing. In 2024, multiple solid-state and semi-solid-state battery energy storage projects have been put into operation, started construction, and connected to the grid.
The industry generally believes that with its high safety and long life, solid-state batteries can better meet the requirements of large-scale energy storage systems for stability and durability, and show good development potential in the field of energy storage. It is expected that in 2025, with the growth of new global energy storage installed capacity, the application of solid-state batteries in the field of energy storage will be further rolled out.
It is worth mentioning that at present, solid-state batteries for energy storage are still constrained by performance and cost, but as technical difficulties are overcome and manufacturing costs continue to decrease, solid-state batteries are expected to become an important force in future energy storage installations.
6. More silicon carbide will be included in the energy storage field
In 2025, as the photovoltaic storage system continues to evolve towards high voltage, high frequency, and high efficiency, wide bandgap semiconductor materials, especially SiC (silicon carbide), will be increasingly favored.
In energy storage systems, SiC shows significant advantages, including higher efficiency, smaller size, lighter weight, lower cost, and better high temperature resistance. This will greatly improve the overall working efficiency of switching devices and reduce losses, thereby promoting the quality and efficiency of photovoltaic storage systems.
Relevant institutions predict that in the next three to five years, the power density of photovoltaic inverters and energy storage converters (PCS) will increase by more than 30%. With the launch of energy storage products containing SiC by companies such as Sinexcel and InPower Electric, it is expected that SiC will be more widely used in energy storage products.
7. New energy storage application scenarios continue to expand
In 2025, new energy storage will enter the stage of large-scale development from the initial stage of commercialization. With the continuous improvement of various new energy storage technologies and the implementation of a series of policies, based on a batch of previous typical application scenarios, new energy storage applications will achieve diversified development from the two dimensions of power supply and grid-side energy storage and user-side energy storage.
Specifically, new energy storage application scenarios such as offshore wind power and offshore photovoltaics, low-altitude economic-related transportation electrification scenarios such as electric flying cars and electric aircraft, and vehicle-grid interaction scenarios such as “solar storage charging and swapping” comprehensive charging and swapping stations will all usher in new market opportunities.
8. Photovoltaic and storage integration usher in rapid development
Compared with traditional energy, renewable energy sources such as photovoltaics and wind power have problems such as intermittency and volatility. Under the requirement of grid-connected stability, the in-depth integration and innovation of photovoltaic and storage will enter the acceleration stage, and photovoltaic and storage power supply will also achieve commercial closed loop in a wider range and more scenarios.
Taking photovoltaic storage and charging as an example, with the increase in the popularity of electric vehicles, photovoltaic storage and charging integrated power stations are “blooming everywhere” around the world, giving full play to the supporting role of new energy storage in new models such as vehicle-grid interaction. Companies including Huawei Digital Energy, Sungrow Power Supply, BYD and others have already entered the layout.
In 2025, the deployment of photovoltaic storage and charging integrated sites will be further expanded, not only in public areas, commercial places and residential communities, but also in industrial parks. With the advancement of technology, the photovoltaic storage and charging integrated system will become more intelligent and flexible. With the help of artificial intelligence and Internet of Things technology, the photovoltaic storage and charging system can achieve real-time monitoring, data analysis and intelligent scheduling, thereby improving the efficiency of power generation and energy storage.
9. Grid-based energy storage will accelerate its industrial implementation
Grid-based energy storage refers to an energy storage system that can build and maintain output voltage and frequency, operate with voltage source characteristics, and actively support the power grid when the power grid fails. It can achieve stable control of voltage, frequency, and power angle, and support the long-term stable operation of the new power system.
In 2024, grid-based energy storage will “rise” strongly, not only with accelerated breakthroughs in key technologies, frequent new products of grid-based energy storage, and increasingly improved industrial chain layout, but also a number of demonstration application projects will be implemented, many of which will set new records for the world’s largest projects. Huawei, Sungrow Power Supply, Kehua Digital Energy and other companies have all laid out grid-based energy storage.
It can be foreseen that in 2025, the penetration rate of grid-based energy storage is expected to accelerate. Grid-based energy storage is expected to reach a penetration rate of 20% in the global market in the next five years. The core equipment in the energy storage system, the energy storage converter (PCS) product, will also continue to iterate towards the grid-based converter.
10. Global energy storage market “blooms in many places”
Under the wave of global energy green transformation, global development has become a consensus among energy storage companies. In 2024, Chinese energy storage companies performed well in the international market, from traditional markets such as Europe and the United States to emerging markets such as Africa, the Middle East, and Southeast Asia… The sailing road of Chinese energy storage products continues to extend, “blooming in many places” around the world.
In 2025, global energy storage demand is expected to maintain a high-speed growth trend. Institutions predict that global energy storage shipments (including communication energy storage) will reach 449GWh in 2025, a year-on-year increase of 31.5%. Markets such as the United States, Europe, Australia, and the Middle East have huge growth potential.
Specifically, the US energy storage market is growing rapidly and may usher in a rush to install energy storage in 2025; Europe and Australia are accelerating energy transformation, and their growth potential is constantly being released. In emerging markets such as the Middle East and South America, large projects will be implemented in batches. Taking the Middle East as an example, Saudi Arabia is replacing traditional fossil energy with new energy projects, and proposed that by 2030, 50% of its energy will come from new energy. Under the supervision of the Saudi Ministry of Energy, Saudi Arabia has formulated a plan to bid for 24GWh battery energy storage projects from 2024 to 2025. Recently, the list of qualified bidders for Saudi Arabia’s first group of battery energy storage system (BESS) projects was released, with a total energy storage capacity of 8 gigawatt hours (GWh). According to the list, a total of 33 companies have been shortlisted for Saudi Arabia’s energy storage battery project pre-selection, including 9 Chinese companies, and Saudi Arabia’s large storage market will continue to increase. At present, companies such as Sungrow, CATL, BYD, and Huawei have successively won large orders in Saudi Arabia, and competition may further intensify in 2025.
Summary:
In 2025, industrial and commercial energy storage PCS plants will develop towards modularization and stringing, with smaller granularity to achieve more primary or even module-level management. More companies may launch 3S integrated versions of PCS. At the same time, the integration of BMS and EMS will be further deepened, and products will tend to be integrated and standardized.
In the future, the goal of industrial and commercial user-side energy storage is comprehensive energy management and control. The EMS operation attribute of incremental projects has become a rigid demand, and the market for the transformation of existing projects has sprouted. At the same time, photovoltaic, energy storage, charging pile and other industries have deeply penetrated each other, the market is highly overlapped, and the requirements for EMS have increased sharply. The ecological alliance between EMS and the upstream and downstream of the industrial chain will be closer, and big data, cloud computing, and artificial intelligence technologies will be deeply applied in the field of industrial and commercial energy storage. Safer and more profitable will become the focus of attention of system integrators, operators, and owners.