Residential Energy Storage Market by Component (Hardware, Software & Services), Power Rating (10-20 KW, Less than 10 KW, More than 20 KW), Connectivity Type, Installation Type, Ownership Type - Global Forecast 2024-2030

[193 Pages Report] The Residential Energy Storage Market size was estimated at USD 12.99 billion in 2023 and expected to reach USD 13.95 billion in 2024, at a CAGR 7.51% to reach USD 21.57 billion by 2030.

Residential energy storage refers to systems installed in homes to store electrical energy generated from various sources, including solar panels and the grid, for later use. Residential energy storage systems generally include battery units that store surplus energy produced during peak times, and this stored energy is used later, such as during power outages or periods of high demand. This energy storage offers several features, including reducing electricity bills by shifting consumption to off-peak times, enhancing energy reliability and independence, and contributing to the stability of the broader electrical grid. Microgrids with residential energy storage optimize energy distribution, minimize transmission losses, and offer a sustainable solution that supports energy efficiency and environmental goals. The growing awareness and consumer focus on reducing reliance on electric grids propelling the demand for residential energy storage solutions.

Additionally, increasing investments in retrofit projects across economies proliferate residential energy storage growth. However, fluctuations in the availability and price of raw materials including cobalt, nickel, and lithium, and technical issues associated with energy storage systems hinder the adoption of residential energy storage systems. Increasing focus on obtaining green building certifications for residential projects is expected to create substantial opportunities for energy storage solutions. Moreover, innovations in battery technology to enhance the efficiency of storage systems are expected to open up new opportunities for more efficient and cost-effective residential energy storage solutions.

In North America, particularly the United States, the residential energy storage market is experiencing robust growth due to significant government incentives, tax rebates, and a rising inclination toward renewable energy integration. Latin America is also transitioning, with countries such as Brazil and Chile showing growing interest in renewable storage solutions amidst frequent power outages and increasing solar installations. Europe represents one of the most advanced markets, driven by stringent regulatory frameworks, solid governmental policies, and a high level of environmental consciousness. Germany directs the region with its substantial residential solar energy storage installations, followed by the UK and Italy. The market benefits from high electricity prices, compelling residents to seek cost-effective storage solutions for better energy management and grid reliability. Asia-Pacific is poised for rapid growth, with countries such as China, Japan, Australia, and India taking charge. China's market is substantially driven by government policies supporting renewable energy and significant investments in battery technologies. Japan's mature solar market is increasingly integrating with residential storage solutions. Australia represents a burgeoning market with high solar PV adoption and a growing necessity to stabilize the domestic power supply network. India is rapidly growing, propelled by government incentives such as the National Solar Mission and increasing solar installations. The Middle East, guided by countries such as the UAE and Saudi Arabia, is investing in solar storage solutions to reduce reliance on oil. In Africa, energy storage is gaining traction, primarily in South Africa and Nigeria, driven by the need for reliable electricity and increasing off-grid solar system installations. The market is burgeoning in the ASEAN region, with countries such as Thailand, the Philippines, and Vietnam at the forefront. These nations are experiencing rising energy demands and frequent power outages, making residential energy storage systems essential.

The market dynamics represent an ever-changing landscape of the Residential Energy Storage Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

• Market Drivers
  • Growing awareness and consumer focus on reducing reliance on electric grids
  • Increasing investments in retrofit projects across economies
• Market Restraints
  • Fluctuations in the availability and price of raw materials
• Market Opportunities
  • Increasing focus on obtaining green building certifications for residential projects
  • Innovations in battery technology to enhance the efficiency of storage system
• Market Challenges
  • Interoperability and associated technical issues of energy storage systems

• Component: Growing use of hardware in residential energy storage systems to ensure system efficiency and reliability

  The hardware in residential energy storage is essential, comprising components such as batteries, controllers, inverters, and power meters. Batteries, particularly lithium-ion, are highly used due to their high efficiency and capacity, enabling substantial energy storage. Controllers manage energy flow, optimizing performance and extending battery life. Inverters are crucial for converting stored DC power to AC power, making it usable for household needs. Power meters provide real-time energy usage data, helping homeowners monitor and optimize their energy consumption. Software solutions are pivotal for optimizing the performance and management of residential energy storage systems. These include energy management systems, which monitor and control energy usage, enhancing efficiency by shifting energy loads and managing peak demand. Machine learning algorithms predict energy consumption patterns and optimize charging and discharging cycles. Services encompass professional installation services to ensure the correct setup and integration of hardware and software components into home energy systems. Maintenance services guarantee the longevity and efficiency of these systems through regular inspections and timely repairs.

• Type: Increasing preference for battery energy storage systems in residential settings for their consistent and reliable energy output

  Battery energy storage systems allow for electrical energy storage in battery systems for later use. These systems store power generated from various sources, including renewable sources such as solar, wind, and traditional grid electricity. These systems include multiple batteries, such as lithium-ion batteries, which are the most prevalent due to their high energy density, efficiency, and declining costs. Lead-acid batteries are known for their reliability and cost-effectiveness but have shorter lifespans. Flow batteries, such as vanadium redox batteries, offer longer durations and scalability but are currently less common due to higher costs and more giant footprints. Chemical energy storage involves technologies such as hydrogen fuel cells and various chemical bonds that store and release energy. Hydrogen storage, involving electrolysis to produce hydrogen that later is reconverted into electricity, is gaining traction for its clean energy. Chemical energy storage offers the potential for longer energy supply and more significant scale applications but needs substantial infrastructure and technological advancements to become mainstream in residential settings. Mechanical energy storage (MES) in the context of residential energy storage encompasses technologies that store energy through mechanical processes rather than chemical or electrical means. These technologies typically convert electrical energy into mechanical energy and back into electrical energy when needed. Pumped hydro and flywheels are notable in mechanical energy storage. Flywheels offer rapid response, high efficiency, and a long lifecycle, and pumped hydro is highly effective for large-scale energy storage. Thermal energy storage involves storing energy in heat, typically in mediums such as water, molten salts, or phase-change materials. In residential applications, thermal storage is frequently used with solar thermal systems to retain heat for water heating or space heating.

The porter's five forces analysis offers a simple and powerful tool for understanding, identifying, and analyzing the position, situation, and power of the businesses in the Residential Energy Storage Market. This model is helpful for companies to understand the strength of their current competitive position and the position they are considering repositioning into. With a clear understanding of where power lies, businesses can take advantage of a situation of strength, improve weaknesses, and avoid taking wrong steps. The tool identifies whether new products, services, or companies have the potential to be profitable. In addition, it can be very informative when used to understand the balance of power in exceptional use cases.

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Residential Energy Storage Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Residential Energy Storage Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

• Eneco partners with Charged to revolutionize Dutch residential energy storage, addressing grid stress with battery systems and offering financial benefits

  Dutch utility Eneco has partnered with local manufacturer Charged to use residential solar batteries to ease grid stress. This trial involves homes with various energy contracts, leveraging stored solar energy to reduce demand spikes. In the Netherlands, over 25% of rooftops have solar panels, but battery adoption has lagged due to the net-metering scheme, which favors feeding energy back to the grid. This initiative aims to manage peak demand better and enhance grid stability, by promoting home battery usage. [Published On: July 18, 2024]

• Skidmore, Owings & Merrill and Energy Vault partner to develop advanced gravity-based energy storage systems for urban and modular applications

  Skidmore, Owings & Merrill (SOM) has partnered with Energy Vault to develop advanced gravity-based energy storage systems (GESS). SOM acts as the exclusive architect and structural engineer for the next generation of these systems. They aim to create vertical energy storage solutions, including EVu towers for urban buildings, EVc modular hydro systems, EVy slope-based systems, and EV0 modular hydro systems avoiding concrete use. These innovations are designed to use renewable energy sources, including wind and solar, aiming for over 80% efficiency. The collaboration seeks to reduce environmental impacts and costs while enhancing grid reliability, with SOM integrating these technologies into future building projects globally. [Published On: July 11, 2024]

• Anker introduces the Solix X1, a compact and high-capacity home energy storage solution designed to reduce costs and improve global adoption

  Anker introduced the Solix X1, an all-in-one home storage solution to meet the rising demand for residential energy storage. Offering single-phase and three-phase configurations with storage capacities up to 30 kWh, the system integrates a power module, battery module, solar inverter, and energy management system. The slender 15 cm design starkly contrasts traditional bulky storage solutions. With features including independent battery charging, IP66 protection, and enhanced safety mechanisms, the Solix X1 promises high reliability. [Published On: July 10, 2024]

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Residential Energy Storage Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

The report delves into recent significant developments in the Residential Energy Storage Market, highlighting leading vendors and their innovative profiles. These include ABB Ltd., Alpha ESS Co., Ltd., Anker Innovations Technology Co., Ltd, Blue Planet Energy, Inc., Briggs & Stratton, LLC, BYD Co., Ltd., Eaton Corporation PLC, Eguana Technologies Inc., Enel S.p.A., Enphase Energy, Inc., Generac Holdings, Inc., GoodWe Technologies Co., Ltd., Hager SE, HAKAI, Hitachi, Ltd., Honda Motor Co., Ltd., Huawei Technologies Co., Ltd., LG Corporation, Panasonic Holdings Corporation, Powervault, Pylon Technologies Co., Ltd., RCT Power GmbH, Redflow Limited, Saft Groupe SAS by TotalEnergies SE, Samsung Electronics Co., Ltd., Schneider Electric SE, SENEC GmbH by EnBW Energie Baden-Württemberg AG, Siemens AG, SMA Solar Technology AG, Solarwatt GmbH, sonnen GmbH by Shell PLC, Sungrow Power Supply Co., Ltd, SunPower Corporation, Tesla, Inc., TESVOLT AG, Toshiba Corporation, Varta AG, and Weco S.r.l..

This research report categorizes the Residential Energy Storage Market to forecast the revenues and analyze trends in each of the following sub-markets:

• Component
  • Hardware
    • Batteries
    • Controllers
    • Inverters
    • Power Meters
  • Software & Services
• Power Rating
  • 10-20 KW
  • Less than 10 KW
  • More than 20 KW
• Connectivity Type
  • Off-Grid
  • On-Grid
• Installation Type
  • New Installations
  • Retrofits
• Ownership Type
  • Customer Owned
  • Third-Party Owned

• Region
  • Americas
    • Argentina
    • Brazil
    • Canada
    • Mexico
    • United States
      • California
      • Florida
      • Illinois
      • New York
      • Ohio
      • Pennsylvania
      • Texas
  • Asia-Pacific
    • Australia
    • China
    • India
    • Indonesia
    • Japan
    • Malaysia
    • Philippines
    • Singapore
    • South Korea
    • Taiwan
    • Thailand
    • Vietnam
  • Europe, Middle East & Africa
    • Denmark
    • Egypt
    • Finland
    • France
    • Germany
    • Israel
    • Italy
    • Netherlands
    • Nigeria
    • Norway
    • Poland
    • Qatar
    • Russia
    • Saudi Arabia
    • South Africa
    • Spain
    • Sweden
    • Switzerland
    • Turkey
    • United Arab Emirates
    • United Kingdom

1. Market Penetration: This section thoroughly overviews the current market landscape, incorporating detailed data from key industry players.
2. Market Development: The report examines potential growth prospects in emerging markets and assesses expansion opportunities in mature segments.
3. Market Diversification: This includes detailed information on recent product launches, untapped geographic regions, recent industry developments, and strategic investments.
4. Competitive Assessment & Intelligence: An in-depth analysis of the competitive landscape is conducted, covering market share, strategic approaches, product range, certifications, regulatory approvals, patent analysis, technology developments, and advancements in the manufacturing capabilities of leading market players.
5. Product Development & Innovation: This section offers insights into upcoming technologies, research and development efforts, and notable advancements in product innovation.

1. What is the current market size and projected growth?
2. Which products, segments, applications, and regions offer promising investment opportunities?
3. What are the prevailing technology trends and regulatory frameworks?
4. What is the market share and positioning of the leading vendors?
5. What revenue sources and strategic opportunities do vendors in the market consider when deciding to enter or exit?