Published May 12, 2026
By NZero
BloombergNEF’s latest findings on global energy storage mark an important turning point for the energy sector. In 2025, annual battery energy storage deployments surpassed 100 GW for the first time, signaling that storage is becoming a core part of modern electricity infrastructure.
The milestone reflects broader structural shifts taking place across global power systems. Renewable energy deployment continues to accelerate, electricity demand is rising due to AI infrastructure and electrification, and grids are under increasing pressure to maintain reliability and flexibility. In this environment, energy storage is moving closer to the center of power system operations.
According to BloombergNEF, global energy storage deployments exceeded 100 GW in 2025, reaching approximately 112 GW / 307 GWh. The market reportedly grew around 48% year over year, making storage one of the fastest-scaling technologies within the energy transition.
The pace of deployment is especially notable because storage reached this scale faster than both solar and wind did during earlier growth phases. BloombergNEF noted that storage expanded from 10 GW to 100 GW of annual installations in only a few years. This rapid growth reflects how battery storage is benefiting from existing renewable energy supply chains, declining technology costs, and stronger policy support.
Much of this momentum is being driven by broader changes happening across electricity systems:
As solar generation expands globally, power systems face larger fluctuations between periods of high renewable output and periods of peak electricity consumption. Storage helps bridge that gap by shifting electricity across time periods and improving operational flexibility.
This is becoming particularly important in markets where renewable generation already creates midday oversupply and evening demand spikes. In some regions, storage is now being deployed alongside renewable projects as a standard component of new power infrastructure.
One of the clearest trends highlighted in BloombergNEF’s findings is China’s dominant position within the storage market. The report estimates that China accounted for more than half of global storage additions in 2025, while the United States remained the second-largest market.
China’s position reflects years of investment across battery manufacturing, renewable energy deployment, critical mineral processing, and domestic industrial policy. The country has built large-scale manufacturing capacity for lithium-ion batteries and established integrated supply chains that continue to reduce production costs.
The report also highlights the dominance of lithium iron phosphate (LFP) batteries within the storage market. BloombergNEF estimates that LFP batteries represented the vast majority of annual energy storage additions globally.
The concentration of manufacturing capacity has broader implications for global energy markets. As power systems become increasingly electrified, batteries are emerging as a strategic industrial capability with growing importance for economic competitiveness and energy security.
At the same time, declining battery costs continue to accelerate storage deployment worldwide. Lower system costs are improving the economics of storage projects relative to traditional balancing infrastructure and gas peaker plants. This is helping storage move into mainstream energy planning across utilities, corporations, and governments.
Electricity systems are facing growing pressure from multiple directions. Transportation and industrial electrification are increasing overall demand, while AI infrastructure and data centers require large amounts of stable power supply. Renewable energy deployment also continues to expand, increasing the importance of flexibility and grid resilience as weather-related disruptions and demand volatility become more common. Storage is becoming one of the main technologies helping power systems manage these changing demand conditions.
At the corporate level, energy procurement and electricity risk management are becoming more strategic priorities. Many businesses previously treated electricity as a relatively stable operational input, but companies are now paying closer attention to pricing volatility, energy availability, and emissions intensity. As storage deployment expands, organizations may also operate within more complex energy environments that include distributed energy systems, demand response programs, and onsite energy assets.
The significance of the 100 GW milestone is less about the number itself and more about what it represents for the future direction of the energy industry. As renewable energy deployment accelerates and electricity demand continues rising, power systems are placing greater emphasis on flexibility, reliability, and resilience.
Storage is increasingly being used to balance renewable generation, manage peak electricity demand, and support grid stability. BloombergNEF’s findings suggest battery storage is entering a similar large-scale deployment phase that solar experienced during the previous decade.
For utilities, businesses, and policymakers, the expansion of storage will likely shape future discussions around infrastructure investment, energy procurement, and long-term power system planning.
