Energy storage sector showing momentum

China is expected to become the largest energy storage market on a cumulative basis by 2023, surpassing the United States and leading the global market through to 2040, thanks to rising market demands and policy support, said a new report.

According to a Bloomberg New Energy Finance report, China's annual energy storage deployment exceeded 1 gigawatt-hour for the first time in 2018 and is slated to double this year on the back of steady growth.

"The market is mainly driven by rising demand. Major power grid projects in regions such as Henan, Hunan and Jiangsu provinces took up nearly half of the newly created market share, and every project is at 100-megawatt level, which calls for bids. Besides, the price of batteries is continuously declining, making it profitable for manufacturers," said Li Daixin, an analyst at Bloomberg New Energy Finance, and one of the authors of the report.