Solar Energy Storage Battery Market Size, Share and Trends 2025 to 2034

Revenue, 2024

USD 5.50 Bn

Forecast Year, 2034

USD 48.14 Bn

CAGR, 2025 - 2034

24.23%

Report Coverage

Global

What is Solar Energy Storage Battery Market Size?

The global solar energy storage battery market size is estimated at USD 6.84 billion in 2025 and is predicted to increase from USD 8.49 billion in 2026 to approximately USD 48.14 billion by 2034, expanding at a CAGR of 24.23% from 2025 to 2034. The solar energy storage battery market growth is attributed to the growing demand for reliable and strong renewable energy storage battery solutions.

Market Highlights

• Asia Pacific dominated the global solar energy storage battery market with the largest market share of 54% in 2024.
• North America is projected to host the fastest-growing market in the coming years.
• By capacity, the below 10kWh segment held a dominant presence in the market in 2024.
• By capacity, the 20-29kWh segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034.
• By application, the commercial segment accounted for a highest market share of 54% in 2024.
• By application, the residential segment is anticipated to grow with the highest CAGR in the market during the studied years.

Market Overview

The governments of various countries are coming up with friendly policies and incentives to support the increased usage of solar power, which further facilitates the development of the solar energy storage battery market. Advancements in technology, including efficiency enhancement of batteries and cost-cutting in manufacturing and assembly of solar power storage systems, are making solar energy storage battery systems affordable. Growing concern over the environmental impact and the need to reduce dependence on fossil fuels has boosted consumers' uptake of solar energy storage.

• According to the report from the American Clean Power Association, the prices of lithium-ion solar power storage battery packs have dropped by 82%, from over USD 780/kWh in 2013 to USD 139/kWh in 2023. Additionally, the forecast suggests that the large-scale battery storage capacity will increase from 1 GW in 2019 to 98 GW in 2030.

How is AI shaping the solar energy storage battery industry?

Technologies, including artificial intelligence (AI), are being employed to improve the effectiveness and creativity of the solar energy storage battery business and, therefore, the productivity of operations. They use AI technology in an attempt to forecast the demands in energy, hence helping them store and distribute solar power efficiently.

Machine learning algorithms learn from large databases and find correlations between large data sets that help the business to make the right decisions that optimize system output. Furthermore, this technology allows for the performance of predictive maintenance that minimizes downtimes and operational expenses in the solar energy storage battery market.

Solar Energy Storage Battery Market Growth Factors

• There is a rising global emphasis on renewable energy sources, particularly solar power.
• Rapid advancements in battery technology and energy management systems are enhancing the efficiency, capacity, and lifespan of the solar energy storage battery market solutions.
• Increasing environmental consciousness among consumers and businesses is spurring the adoption of cleaner energy solutions.
• The upward trend in energy prices is motivating both residential and commercial users to seek alternative energy solutions, such as the solar energy storage battery market products that offer long-term cost savings.
• Recently, the solar energy storage battery market has been gaining momentum due to supportive regulatory frameworks and financial incentives provided by governments and local authorities.

Key Factors Influencing Future Market Trends

• High rate of installation of solar energy: Rising installations of solar energy systems are caused by the decline in panel costs, favorable government policies, and environmental concerns. With the aid of energy use even in non-sunny hours, batteries promote grid independence and reliability of energy for residential, commercial, and industrial users.
• Technological advancements in battery storage:With the innovations in battery storage, such as higher energy density, cycle life, and efficiency, the adoption of solar batteries is increasing. Such developments allow more room for solar implementation due to the consistent flow of energy, enhanced backup capability, and compatibility with modern energy arrangements.
• Integration of smart energy systems:The major trends are the integration of solar batteries with smart energy systems for optimal use of energy and lowering the costs incurred as well and improving the grids' interconnectivity. These systems leverage live monitoring, predictive analytics, and load management customization to achieve the balance between supply and demand.

Solar energy storage battery Market Outlook

• Industry Growth Overview: Between 2025 and 2030, this market is expected to rise significantly due to the growing demand for clean energy from the commercial sector coupled with rapid investment by market players for opening up new production units.
• Major Investors:Numerous market players are actively entering this market, drawn by product launches, R&D and joint ventures. Numerous battery companies such as Innova Renewables, BYD, LG and some others have started investing rapidly for developing high-energy storage batteries to cater the needs of the end-user industries.
• Startup Ecosystem:Various startup brands are engaged in developing energy storage batteries for the end-user industries. The prominent startup brands dealing in solar energy storage batteries comprises of Cygni Energy, Gegadyne Energy, Loom Solar and some others.

Market Scope

Market Dynamics

Drivers

Increasing renewable energy adoption

Increasing renewable energy adoption, particularly solar power, is expected to drive the demand for solar energy storage battery. Legislatures in different countries devise positive attitudes and mechanisms to support solar energy, consequently forcing utilities and businesses to find efficient storage. The changing consumer and business consciousness regarding the adverse effects of their actions on the environment makes solar energy essential by boosting the demand for storage capabilities to increase the usage of renewables.

Restraint

Inadequate grid infrastructure

Impede inadequate grid infrastructure is likely to restrain the growth of the solar energy storage battery solutions market, especially in rural and remote regions, where obsolescent grid structures no longer effectively support contemporary power forms. Most existing power systems are not equipped with sufficient technologies to enable the full exploitation and handling of large-scale solar energy storage systems. This inadequacy prevents the storage batteries from gaining their maximum degree of penetration on the grid since the grid operators struggle to balance the supply and demand, particularly during peak periods. The lack of strong electric networks is also a problem of concern, as it affects the reliability and stability of the grid, which in turn affects practices in the battery storage of solar energy.

Opportunity

High investment in research and development

High investment in research and development is expected to create immense opportunities for the players competing in the market. Governments, private enterprises, and research institutions are funding with the aim of developing new and enhanced storage techniques, including state-of-the-art batteries and energy control systems. These are efforts that seek to enhance the power storage of solar-generated power, as well as its performance and durability. Moreover, in the solar energy storage battery market, public and private partnership consortia enhance things by speeding up the time-to-market of new technologies.

Segment Insights

Capacity Insights

The below 10kWh segment held a dominant presence in the solar energy storage battery market in 2024 due to the rising popularity of residential solar energy storage battery systems. This kind of capacity range is appropriate for small uses, such as residential use, where the energy usage is generally low. These are cheap to purchase and install and help homeowners lower their dependence on the grid. Furthermore, the government's promotion of the installation of solar systems and financial incentives also forced the development of this segment.

The 20-29kWh segment is expected to grow at the fastest rate in the solar energy storage battery market during the forecast period of 2024 to 2034, owing to the rising demand for batteries in residential and commercial areas. This range of battery storage is expected to support larger houses, small companies, and other shared-use community solar power plants, and where electricity usage is higher and more storage is required to provide an uninterrupted supply of electricity. Furthermore, the increase in energy costs and the growing incidence of grid failure enhance the prospects for greater capacity batteries.

Application Insights

The commercial segment accounted for a considerable share of the solar energy storage battery market in 2024 due to homeowners' adoption of rooftop solar panels to achieve energy self-sufficiency. Increasing costs of power in the streets impound pressure on consumers to seek efficient means of power rather than relying on electric power. Rebates, tax credits, and net metering put forward by the government also boosted solar installation in residences, which made solar energy battery storage lucrative for homeowners.

The residential segment is anticipated to grow with the highest CAGR in the solar energy storage battery market during the studied years, owing to the growing need for commercial entities to cut costs and provide energy security. Businesses, including offices, shops, and small business outlets, have, over time, embraced solar energy storage systems as a means of efficiently controlling their energy demand, along with the increasing occurrence of power blackouts.

The ever-growing technological front that improves the scalability and efficiency of commercial-scale storage systems is also expected to boost the adoption rates. Furthermore, the increasing investments due to stringency in energy regulation and to meet compliance, coupled with financial incentives, fuels the demand for solar energy battery solutions in the commercial sector.

Regional Insights

Asia Pacific Solar Energy Storage Battery Market Size and Growth 2025 to 2034

The Asia Pacific solar energy storage battery market size is exhibited at USD 3.69 billion in 2025 and is projected to be worth around USD 26.24 billion by 2034, poised to grow at a CAGR of 24.34% from 2025 to 2034.

Asia Pacific dominated the global solar energy storage battery market in 2024 due to factors such as industrialization, urbanization, and rising energy requirements in various markets. Countries, including China, India, and Japan, are expected to have a large share in this progress owing to their advertisement for renewable energy and largest-scale solar projects.

Investments in the region's infrastructure and the supportive nature of its regulatory structures and policies, and incentives are expected to increase the number of installed solar energy storage battery systems. Furthermore, the rising issues of energy security and environmental pollution add to the increasing need for the solar energy storage battery market in Asia Pacific.

• According to a report published by the Institute for Energy Economics and Financial Analysis, Asia Pacific has a combined investment potential of USD 1.1 trillion in solar PV and offshore wind energy from 2025 to 2050. This investment could lead to the creation of a potential 873 gigawatts (GW) of clean energy, with USD 394 billion supporting solar PV projects totaling 634 GW and USD 621 billion helping to construct 239 GW of offshore wind farms.

North America is projected to host the fastest-growing solar energy storage battery market in the coming years, owing to the strengthened policies, improved technology, and high usage of solar electricity. The United States and Canada have adopted positive actions by governments with incentives that go a long way in promoting the adoption of solar panels and storage battery systems.

In another report by the International Energy Agency, it was stated that the United Nations spent around USD 97 billion on clean energy investment from 2019 to 2023.

Major players in North America are focusing on utility-scale projects and integrating advanced storage technologies to enhance grid stability and efficiency. The growing investment in the power grid and clean energy storage solutions further supports these efforts. Inspired by growing awareness of renewable energy solutions, the regions solar energy storage battery market is experiencing federal and state-level tax credits, rebates, and net metering programs.

• In November 2020, BYD Energy, in partnership with Canadian Solar Inc., provided advanced energy storage batteries for the California solar power plant. BYD delivered the lithium-ion battery storage solution, which acts as the full system integrator of the storage retrofit.
• In August 2024, a next-generation renewable energy company driving the clean energy revolution with battery energy storage, Spearmint Energy announced its partnership with Sungrow USA Corporation. The agreement will add over 1 GWh of energy storage capacity to Spearmint's projects in Texas by 2025.

Europe also became one of the important markets for solar energy storage, and will have a considerable market share in 2024. The acceleration of the adoption of clean energy solutions was significantly enhanced by the European Green Deal and such programs as Next Generation EU and national recovery plans. These initiatives are further strengthened by extensive government initiatives in electrification that aim to decarbonize the energy sector.

The energy storage market in Germany has grown. Such growth was facilitated by the activist “Energiewende” energy transition strategy. The increased installations of batteries and the rising storage technologies are likely to make grids more stable and the smooth integration of renewable energies. Europe will continue to lead in this practice concerning the development of sustainable energy, with storage solutions being an important aspect of its long-term strategy.

What made Latin America to hold a considerable share of the solar energy storage battery market?

Latin America held a considerable share of the industry. The rising emphasis of people to adopt clean energy sources in Brazil and Argentina for maintaining sustainability in the environment has boosted the market expansion. Additionally, numerous government initiatives aimed at providing subsidies for transitioning to solar energy sources is expected to propel the growth of the solar energy storage battery market in this region.

How did Middle East and Africa held a notable share of the solar energy storage battery industry?

Middle East and Africa held a notable share of the market. The increasing adoption of solar-energy powered systems in the residential sector across numerous countries such as UAE, Saudi Arabia, South Africa, Qatar and some others has driven the market growth. Also, rise in number of renewable energy startups coupled with rising awareness about lowering emission is expected to drive the growth of the solar energy storage battery market in this region.

Value-Chain Analysis

• Raw Material Procurement
  The raw materials used for manufacturing solar energy storage batteries primarily consists of lithium, nickel, cobalt, manganese, and graphite for the electrodes and electrolyte, with additional materials including copper and aluminum used in the battery's construction and wiring.
  Key Companies: South32, Eramet, Vale S.A. and others.
• Testing and Quality Control
  Testing and Quality Control (QC) for solar energy batteries involve a comprehensive range of physical, electrical, and environmental tests to ensure performance, safety, and durability, adhering to international standards like those from the IEC and national regulations such as India's BIS certification.
  Key Companies: HQTS, Pro QC International, TÜV and others.
• Distribution Channel
  The distribution channels for solar energy storage batteries vary from a direct supply chain to complex multi-party networks. Major channels include manufacturers selling directly to large project developers, and a fragmented market where batteries are supplied through solar installers, electrical distributors, and third-party energy companies to both residential and commercial customers.
  Key Companies: FIAMM Energy Technology S.p.A., ENERSYS, Innova Renewables and others.

Key Players in Solar Energy Storage Battery Market and Their Offerings

• BYD Company: BYD is a Chinese multinational company founded in 1995 that is a major manufacturer of electronics, automobiles, and new energy solutions. It is a vertically integrated conglomerate with a significant global presence, known for its new energy vehicles (NEVs), rechargeable batteries, and electric public transport systems.
• Carnegie Clean Energy: Carnegie Clean Energy is an Australian-based company that develops and commercializes ocean wave energy technology, primarily its proprietary CETO system. This company also develops other renewable energy solutions, like the MoorPower system, and offers EPC and maintenance services for solar and battery storage systems.
• ENERSYS: EnerSys is a global leader in stored energy solutions for industrial applications, providing a wide range of batteries, power equipment, and related services. This brand operates through four main business lines—Energy Systems, Motive Power, Specialty, and New Ventures—serving sectors including telecommunications, data centers, aerospace, material handling, and utilities
• FIAMM Energy Technology S.p.A.: FIAMM Energy Technology S.p.A. is an Italian company specializing in the development, manufacturing, and distribution of batteries and accumulators for automotive and industrial applications such as passenger vehicles, commercial vehicles, and data centers. This company's products consist of Absorbent Glass Mat (AGM) and Advanced Flooded Batteries (AFB) used to support technologies including start & stop for vehicle emissions reduction.
• Innova Renewables: Innova Renewables is a UK-based private equity firm focused on developing, acquiring, and operating renewable energy projects including solar, onshore wind, and battery storage. It develops utility-scale renewable energy projects using multiple technologies, with a significant focus on battery storage systems in the UK.
• Leclanché SA: Leclanché SA is a Swiss company that develops and manufactures large-format lithium-ion batteries and energy storage solutions for electric vehicles, smart grids, and industrial applications. This brand develops and manufactures lithium-ion cells and battery systems for energy storage
• LG Electronics: LG Electronics is a South Korean multinational company specializing in consumer electronics, home appliances, and vehicle components. Its operations are organized into four main business units including home appliance solution, media entertainment solution, vehicle solution, and eco solution.
• Maxwell Technologies: Maxwell Technologies was a company founded in 1965 that specialized in developing and manufacturing energy storage and power delivery products, primarily ultracapacitors and high-voltage capacitors. The company's products are used in various applications such as automotive, grid energy storage, industrial, and aerospace sectors.

Segments Covered in the Report

By Capacity

• Below 10kWh
• 10-19kWh
• 20-29kWh
• Above 30kWh

By Application

• Commercial
• Residential
• Industrial

By Region

• North America
• Asia Pacific
• Europe
• Latin America
• Middle East & Africa