The global residential battery market size was valued at USD 11.08 billion in 2021 and is anticipated to witness a compound annual growth rate (CAGR) of 18.6% from 2022 to 2030. The market is projected to expand due to the policy’s levied by the government and the market is driven by the lower prices of the lithium ion batteries and the installation of the solar rooftops and the market is segmented by lithium ion battery and lead acid battery among others and regionally driven by several regions.
Global Residential Battery Market: Regional Insights
Based on geography, the global residential battery market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East &Africa. North America is expected to gain highest share in the global market over the forecast period as the battery system in the United States faced notable development particularly in the residential sector with the increasing expenditure in the renewable energy infrastructure over the region. The electricity consumption in the residential segment is projected to rise over the predicted duration.
At the same time, Asia Pacific is expected to experience fastest growth over the forecast period as China is being one of the world’s huge developed energy storage installed capacities. The Chinese residential battery market is anticipated to develop over the predicted duration which led by the official declarations and its support and assistance. The Chinese government and the regulatory has already stated its ability and the capacity to stimulate the huge development in the domestic demand of the solar associated equipment.
Figure 1: Global Residential Battery Market Share (%), By Region, 2021
Global Residential Battery Market Drivers:
The cost of the lithium ion batteries declined the steeply over the past decade and in the year 2021, the cost of the lithium ion battery is valued at around US$ 123 kWh. The cost continuously decreased over the past decade and is still continuing to decrease by 85% in the year 2021 comparatively to the year 2010. The constant battery performance achieved from the sustained research and development focuses at enhancing battery materials.
The reduction in the amount of non-active materials and the price of the materials enhancing the cell design and the structure and the production yield and the rising the speed of the production volume particularly in the China helped achieve the economies of the scale in lithium –ion battery manufacturing. Additionally the large capacity additions rising the competition amidst manufacturers.
Global Residential Battery Market Opportunities:
Requirement for the power is rising substantially, selectively in a form of method that is clear and clean and then very environment friendly. With the rising advancement of the renewable technologies of such as solar and the battery energy storage solution is also anticipated to witness robust development in the future years. As of 2020, the lithium ion is mainly chosen due to its technological developments such as the huge energy density, huge output voltage.
A novel technology the lithium sulfur battery established which has various energy density comparatively to the traditional lithium ion batteries theoretically 2600 Wh/kg with the open circuit of voltage 2 volts. The lithium sulfur battery is composed of the metal lithium negative pole and the elemental sulfur positive pole. During the time of discharge the negative pole metal lithium dissolves in the electrolyte and the lithium ion moves from positive sulfur pole to react with the sulfur to make a polysulfide ion.
|Base Year:||2021||Market Size in 2021:||US$ 11.08 Bn|
|Historical Data for:||2017 to 2020||Forecast Period:||2022 to 2030|
|Forecast Period 2022 to 2030 CAGR:||18.6%||2030 Value Projection:||US$ 49.09 Bn|
FIMER SpA, Amara Raja Batteries Ltd, Samsung SDI, Energizer Holding Inc., Luminous Power Technologies Private Limited, LG Energy Solution, Ltd., Duracell Inc., Panasonic Corporation, Siemens AG, Tesla Inc., Delta Electronics Inc., BYD Co. Ltd and NEC Corp
|Restraints & Challenges:||
Global Residential Battery Market Trends:
During the charge, the polysulfide ion gets decomposed and then the lithium ion returns to the negative pole. With the continuous reaction the solubility of the polysulfide’s ion is decreased and the reaction approaches to the final stage, Li 2S2 and the Li2S are divided from the solution and make a solid precipitate that impacts the free movement of the positive pole sulfur.
Lyten a developed material or the substance organization introduced a next generation lithium sulfur battery with a huge gravimetric energy density compared to the conventional lithium ion technologies . And this type of innovations are mostly to improve the market share of the lithium sulfur batteries over the predicted duration.
Global Residential Battery Market Restraints:
Residential batteries such as lead acid have few environmental concerns .The disposal of the lead acid batteries releases the lead which is known harmful or the hazardous waste to the human health or the well-being and the surroundings. If such type of batteries are not correctly disposed of and then it may adversely effect on the human brain, renal may increase the hearing problems.
Although the various nations have the recycling services for the lead acid batteries which are still the disadvantages of the lead recycling procedures, initially the one associated with the environmental and the surrounding issues. The lead acid battery recycling procedure comprises of the huge energy demand owing to the huge operating temperatures.
Figure 2: Global Residential Battery Market Share (%), By Segmentation, 2021
Global Residential Battery Market Segmentation:
The global residential battery market report is segmented into type and region
Based on Type, the market is segmented into lead acid battery and lithium-ion battery and other types. Out of which, Lithium-ion battery is expected to dominate the global market over the forecast period as it offers several technical or the mechanical benefits compared to the other technologies like that of the lead acid batteries. The rechargeable Li-ion batteries on a minimal provides the cycles above 5,000 times comparatively to the lead acid batteries.
Lead acid battery is the energy to measure the ratio of the lead and the lead acid battery is low however, it can supply huge amount surge currents, showing a huge power to weight the ratio and then it is initially useful for the SLI usage. Also due to the least price which is very essential then the energy to measure the ratio in the backup supplies.
Global Residential Battery Market: Key Developments
Global Residential Battery Market: Key Companies Insights
The global residential battery market is highly competitive. This is attributed to continuous launch of new technologies due to ongoing R &D and efforts by value chain participants. Moreover, key players are adopting various business growth strategies in order to expand their presence on regional as well as global basis. Some of the key players in the global residential battery market are:
FIMER SpA, Amara Raja Batteries Ltd, Samsung SDI, Energizer Holding Inc., Luminous Power Technologies Private Limited, LG Energy Solution, Ltd., Duracell Inc., Panasonic Corporation, Siemens AG, Tesla Inc., Delta Electronics Inc., BYD Co. Ltd and NEC Corp.
*Definition: A residential battery is such as a barrier amidst the house and the power grid. It plugs right into the current electrical system to minimize the dialy required energy usage and to offer the backup at the time of a grid failure. It occurs by taking the power from the grid of the solar panels and then deploying them into the house.
Power from the grid enters the home from a single set of wires. The main distribution panel splits and diverges from the grid and then sends it along with the circuits to the rooms and the appliances in the house. After installing the battery in home only few larger rods remain connected directly to the main panel.
Various officials are transforming towards the renewable energy such as solar and wind to fulfil the demands of the electricity and hence gradually decreases the dependency on the coal and diesel owing to the lack of land accessibility in the urban areas and the necessity to meet the rising demand of the electricity.
The issues and the problems that are related to the lead acid batteries is mostly possibly to lead to the contraction of the lead acid batteries for the purpose of the residential usage or the application over the predicted duration.
The rise in the solar rooftop capacity to foster the rising need for the battery energy storage and hence the emergence of the novel energy storage system for the residential applications is anticipated to fuel the need for the lithium ion battery over the predicted duration.
Key features of the study: