Residential Solar Energy Storage System: Introduction
- Residential solar energy storage systems are devices that reserve energy for later consumption in residential buildings. The stored electricity is consumed after sundown, during energy demand peaks, or to generate power to match peak demand.
- In a residential solar energy storage system, the reserve energy gets charged by a connected solar system. Moreover, the selection of a right battery for the system is essential to optimize the life and capability of a system, while minimizing maintenance costs and downtime or failure.
- Residential solar energy storage systems enable a smarter and more resilient grid infrastructure through peak demand management. Furthermore, some manufacturers also create independent residential solar energy storage system systems to match power demand at remote locations.
- In residential solar energy storage systems, capacity & power are two topmost important factors that are essential to determine the amount of electricity a solar panel battery can store and can provide at any given moment
Key Drivers of Global Residential Solar Energy Storage System Market
- Rise in transition toward renewable energy is likely to offer significant opportunities to manufacturers of residential solar energy storage systems, due to the long-term benefits of solar energy. This is expected to drive the global residential solar energy storage system market during the forecast period.
- Developing economies need to offer reliable access to electricity in remote areas. Traditional centralized grids are unable to provide cost-effective basic electricity supply to underserved areas in a reasonable amount of time. Remote and distributed power storage systems have the potential to supply electricity across the world. Hence, deployment of higher numbers of residential solar energy storage systems is expected to boost the market in developing economies across the world during the forecast period.
- Government subsidies for solar power across the world can be leveraged by companies manufacturing residential solar energy storage systems. This is estimated to offer lucrative opportunities to the global residential solar energy storage system market during the forecast period.
Restraints of Global Residential Solar Energy Storage System Market
- Residential solar energy storage systems are expensive. They have not been deployed successfully yet. This is estimated to restrain the global residential solar energy storage system market during the forecast period.
- In Sept 2020, Social Energy, a U.K.-based residential battery company announced that it bagged a firm frequency response grid services contract. The company also revealed that it would use 80% of its fleet of customer batteries to provide 4MW of FFR capacity throughout the day, helping operators to balance demand. Social Energy uses smart technology that helps reduce the customer’s electricity bill, as homeowners can install solar and battery systems and connect them to Social Energy’s tariff. That is estimated to be 5.8kWh battery, which can help reduce electricity bills by £ 519 (US$ 689) per year in the U.K.
Europe to Hold Major Share of Global Residential Solar Energy Storage System Market
- Based on region, the global residential solar energy storage system market can be classified into North America, Asia Pacific, Europe, Latin America, and Middle East & Africa
- Europe is anticipated to dominate the global residential solar energy storage system market during the forecast period. High investments, especially by governments of countries such as Germany, and technological advancements are projected to drive the market in the region from 2020 to 2030.
- Large amount of energy is consumed by buildings across Europe. This has compelled countries in the region to aim for reduction of carbon emissions by 80% by 2050. This is expected to drive the market in Europe during the forecast period.
- On the other hand, the size of the renewable energy industry in the U.S. in North America is anticipated to double by the end of the forecast period. Renewable energy systems in the country are likely to benefit from multi-year federal tax incentives and several state-level policies that are estimated to promote the use of solar energy in the next few years.
- Asia Pacific is projected to offer significant opportunities to the global residential solar energy storage system market during the forecast period, due to a rise in concerns about air pollution and carbon emissions in India and China. Additionally, government tariffs and policies toward the use of solar technology are expected to propel the residential solar energy storage system market in the region.
COVID-19 Impact Analysis
- The global economy has been hampered by the measures put in place to contain the COVID-19 pandemic. The solar industry is estimated to face immediate challenges due to the COVID-19 pandemic such as difficulty in adhering to the social distancing norms, shortage of manpower, lack of parts & equipment, and discerning expenditure by end-users.
- Currently, the solar industry imports almost 80% of all of its equipment and parts in the value chain from China. The COVID-19 pandemic has adversely affected the manufacturing capacities of China. Most ship container companies have stopped functioning out of ports in China. Major economies such as India have stopped transportation of goods from China.
Global Residential Solar Energy Storage System Market, Research Scope
Key Players Operating in Global Market
Major players operating in the global residential solar energy storage systems market are:
- Power Edison
- Greener Engineering Inc.
- Renewable Energy Systems Ltd.
- LG Chem
- NEC Energy Solutions
- NRG Energy
- Amperex Technology
- Boston Power
- China Aviation Lithium Battery
- GE Energy Storage
Global Residential Solar Energy Storage System Market, by Battery Type
- Sodium-based Battery
- Lead-Acid Battery
- Li-ion Battery
Global Residential Solar Energy Storage System Market, by Capacity
- Below 1000 kW
- 1001 to 2500 kW
- 2501 to 5000 kW
- Above 5000 kW
Global Residential Solar Energy Storage System Market, by Region
- North America
- Russia & CIS
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
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The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
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The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.