Market Challenges And Opportunities

However, the lack of a legislative and regulatory policy with regards to AES is a major restraining factor that affects the growth of the global AES market. The Assembly Bill 2514 passed on June 3, 2019 by the California State Assembly, was accepted to create a smarter, cleaner electric grid, and increasing the use of renewable energy. The bill required the California Public Utilities Commission by March 1, 2020 to consider procurement for viable and cost-effective energy storage systems. In 2019, Senate Bill 412 (Kehoe, 2012) expanded the Self-Generation Incentive Program to include Advanced Energy Storage as an eligible technology. The Self Generation Incentive Program (SGIP) provides financial incentives for the installation of new renewable qualifying technologies that are installed to meet all or a portion of the electric energy needs for a facility. These factors are expected to boost the demand for advanced energy storages systems globally in forecast period.

Lack of a legislative and regulatory policy with regards to AES

Drivers

Asia Pacific is expected to be the leading region of advanced energy storage market. According to International Energy Agency (IEA) estimated that emerging countries such as China and India will need to double their electrical power output by 2022. Also from the same source, emerging nations will accumulate around 80% energy production and consumption by 2035. Since most of the emerging countries lie in Asia Pacific, it is expected that this region will boost the growth of the advanced energy storage systems market in the near future.