|Commercial Battery Energy Storage Market in Key Markets, Forecast to 2025|
|With Rising Demand Charges, Rapid Battery Price Reductions, Rampant Technological Innovation and Evolving Business Models, the Global Commercial Battery Storage Market will Exhibit Dramatic Growth Till 2025|
The commercial battery storage market is expected to show enormous growth, rising from $160.4 million in 2017 to $1.6 billion by 2025. Behind-the-meter battery energy storage systems at commercial sites offer attractive benefits such as peak demand charge reduction, back up, peak shaving and using batteries to participate in the local ancillary grid services market. Solar paired with storage is increasingly becoming attractive due to falling solar PV and battery prices with self-consumption becoming a major driver for decentralised energy. The rise of digitalisation is allowing for value-added functionalities such as electricity aggregation and trade from commercial battery cloud-based communities or virtual power plants (VPPS) to the grid under-balancing markets for ancillary services. Furthermore, the availability of commercial storage increases the attractiveness for customers to enter the demand response market through similar aggregators, further increasing the scope for value stacking. Such functionalities allow for the opening up of income streams to customers as well as enabling suppliers to offer system financing support such as reduced or zero down payment loan, lease or power purchase agreement (PPA) models.
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