The cost of stationary energy storage could fall by up to 66% by 2030, according to a new report by the International Renewable Energy Agency (IRENA).
The report – ‘Electricity Storage and Renewables: Costs and Markets to 2030’ – also said that the falling price of batteries could stimulate 17-fold growth of installed battery storage over the period.
Energy storage capacity could triple if countries double the share of renewables in the energy system, the report added.
It noted that by 2030 the life of Lithium-ion batteries could also increase by approximately 50%, while the number of full cycles possible could potentially increase by as much as 90%.
Other battery storage technologies also offer large cost reduction potential, such as sodium sulphur, IRENA said.
The report highlighted that, while pumped-hydro systems currently dominate total installed power storage capacity, economies of scale and technology breakthroughs will support the accelerated development and adoption of alternative storage technologies.
IRENA director-general Adnan Amin said: “As storage technology improves and prices decline, both utility-scale and small-scale, distributed applications could grow dramatically, accelerating renewable energy deployment.
“In this dynamic, low-carbon energy environment, now is a crucial time for storage technology.”