ASEAN Energy Storage Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 3.32 Billion |
| Market Size (2029) | USD 4.61 Billion |
| CAGR (2024 - 2029) | 6.78 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
ASEAN Energy Storage Market Analysis
The ASEAN Energy Storage Market size is estimated at USD 3.32 billion in 2024, and is expected to reach USD 4.61 billion by 2029, growing at a CAGR of 6.78% during the forecast period (2024-2029).
In 2020, due to the COVID-19 pandemic, many power projects were halted because of pandemic, namely in Cambodia, Indonesia, Myanmar, Philippines, and Vietnam, which is likely to cause the capacity additions to fall behind schedule in the coming years. The primary driver for the market includes the rising demand for uninterrupted power supply in both residential, and commercial and industrial sectors. However, the requirement of high capital to set up a large-scale energy storage facility in ASEAN region is expected to act as a major restraint for the market studied during the forecast period..
- With the expansion of the electric vehicle market and growing demand for uninterrupted power supply, both in the residential and commercial sectors, batteries are likely to witness significant growth in the market during the forecast period.
- In line with the Paris agreement, countries around the globe are putting effort to increase renewable energy share in its energy mix. For instance, Indonesia has set a target to increase its renewable share to 31% by 2050. An increase in renewable energy like solar PV to power isolated grids in rural villages, inaccessible to the national grid, is likely to create an opportunity for the energy storage facilities in the near future.
- Philippines held the largest market share in 2021 and is expected to continue the same trend during the forecast period.
ASEAN Energy Storage Market Trends
Battery Energy Storage Segment Expected to Witness Significant Growth
- Battery Energy Storage Systems (BESS) is a rapidly emerging market segment in ASEAN countries. The rise in renewable energy consumption is expected to boost BESS demand during the forecast period significantly. However, despite the falling costs of lithium-ion batteries and BESS technology, artificially low tariff levels and fossil fuel subsidies are expected to reduce the competitiveness of BESS technologies in the ASEAN market.
- In July 2022, a large-scale battery system was installed in Singapore as part of a project to increase energy efficiency and reduce emissions from the country's seaports. The 2 MW/2MWh battery energy storage system (BESS) was deployed at Pasir Panjang Terminal, one of four major facilities operated by PSA Singapore. It is also part of the smart grid management system, which can improve the energy efficiency of port operations by 2.5 percent and reduce the port's carbon footprint by 1,000 metric tonnes of CO2 equivalent per year.
- In the ASEAN region, Indonesia is witnessing rapid growth in renewable energy installed capacity. It stood at 12481 MW in 2022, an increase of 8% from the previous year and approx 51% from 2013. In 2023, Total Eren SA got associated with PLN, an Indonesian power utility, to construct The Tanah Laut project consisting of a 70 MW wind power plant integrated with a 10 MWh Battery Energy Storage System that would produce approx. 158 GWh of electricity. The development of such projects would undoubtedly help the ASEAN energy storage market to grow in the forecast period.
- Similarly, In June 2022, Singapore-based energy and urban development group Sembcorp began building 200 MWh of battery storage systems on Jurong Island. The Singapore Energy Markets Authority (EMA) issued an expression of interest (EOI) in May to build 200 MW and 200 MWh of battery storage.
- Therefore, owing to the above points, the battery energy storage segment is expected to grow significantly during the forecast period.
Philippines Expected to Dominate the Market
- Renewable energy is an intermittent source that requires storage for surplus electricity generation. The country is targeting renewables to make up 35% of the generation mix by 2030 and 50% by 2040, which equates to about 15 GW of wind and solar by 2030. The Philippines has about 7670 MW of installed renewable energy capacity as of 2022, where the majority of that is hydroelectric and geothermal energy.
- Investments in renewable energy projects likely pave the way for energy storage markets in the country. In 2023, the Philippines Department of Energy (DOE) devised new market rules and policies for energy storage, a month after the government permitted 100% foreign ownership of renewable energy assets. Following the reform, a group of Chinese companies committed to investing USD 13.7 billion in the country's renewable and energy sectors.
- In 2022, SN Aboitiz Power Group (SNAP) completed its final investment decision for a BESS project of 20 MW capacity located at the Magat Hydropower plant in Ramon, Isabela.
`The energy storage project is expected to commence operation in 2024. Similar projects are being developed in the country, which would benefit the development of the energy storage market in ASEAN. - In April 2022, Philippines investor-owned utility AboitizPower, and Norwegian renewables group Scatec signed an EPC agreement with Hitachi Energy for it to build a 20 MW/20MWh battery storage system, set to go online in 2024. The joint venture (JV) between the companies, SN Aboitiz Power Group (SNAP), has made the final investment decision on the battery energy storage system (BESS) project at the 360 MW Magat hydropower plant in Ramon, Isabela, in the north Philippines.
- Therefore, owing to the above points, the Philippines is expected to dominate the ASEAN energy storage market during the forecast period.
ASEAN Energy Storage Industry Overview
The ASEAN energy storage market is moderately fragmented. Some of the key players in the market include (in no particular order) GS Yuasa Corporation, Wartsila Oyj Abp, BYD Co. Ltd., SEC Battery Company, and NGK Insulators Ltd., among others.
ASEAN Energy Storage Market Leaders
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GS Yuasa Corporation
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Wartsila Oyj Abp
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BYD Co. Ltd
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SEC Battery Company
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NGK Insulators Ltd
*Disclaimer: Major Players sorted in no particular order
ASEAN Energy Storage Market News
- In March 2022, the Indonesian government launched a 5MW battery energy storage system (BESS) pilot project as it aims to move away from diesel-generated power. Perusahaan Listrik Negara (PLN) 'de-dieselization' program will involve 5,200 units of new renewable energy generation with a total power of 2GW by 2024 and is a potential application for battery storage.
- In May 2022, Vietnam's government published plans to double its stationed power generation capacity to 146 gigawatts (GW) by 2030, and for the same, Vietnam calls for up to USD 14 billion annual power investment.
ASEAN Energy Storage Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Scope of the Study
- 1.2 Market Definition
- 1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
- 4.1 Introduction
- 4.2 Market Size and Demand Forecast in USD billion, till 2028
- 4.3 Recent Trends and Developments
- 4.4 Government Policies and Regulations
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4.5 Market Dynamics
- 4.5.1 Drivers
- 4.5.1.1 Growth in Power Demand from Residential, Commercial and Industrial Consumers
- 4.5.1.2 Unscheduled Power Outages and Grid Instability would Demand Energy Storage Solutions
- 4.5.2 Restraints
- 4.5.2.1 Lack of Investments could Hamper the Growth of Energy Storage Market
- 4.6 Supply Chain Analysis
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4.7 Porter's Five Forces Analysis
- 4.7.1 Bargaining Power of Suppliers
- 4.7.2 Bargaining Power of Consumers
- 4.7.3 Threat of New Entrants
- 4.7.4 Threat of Substitute Products and Services
- 4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
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5.1 Type
- 5.1.1 Pumped-Hydro Storage
- 5.1.2 Battery Energy Storage Systems
- 5.1.3 Other Types
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5.2 Application
- 5.2.1 Residential
- 5.2.2 Commercial and Industrial
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5.3 Geography
- 5.3.1 Indonesia
- 5.3.2 Vietnam
- 5.3.3 Phillipines
- 5.3.4 Malaysia
- 5.3.5 Rest of ASEAN
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Strategies Adopted by Leading Players
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6.3 Company Profiles
- 6.3.1 GS Yuasa Corporation
- 6.3.2 Wartsila Oyj Abp
- 6.3.3 BYD Co. Ltd.
- 6.3.4 SEC Battery Company
- 6.3.5 Contemporary Amperex Technology Co. Ltd. (CATL)
- 6.3.6 NGK Insulators Ltd.
- 6.3.7 LG Chem Ltd.
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Long-term Government Policies to Add Renewable Energy Capacity
ASEAN Energy Storage Industry Segmentation
Energy storage is the capture of energy produced at one time and used at a later time to keep a balance between energy demand and energy production. With the world's renewable energy capacity reaching record levels, storage technologies are fundamental to smoothing out peaks and dips in energy demand without resorting to fossil fuels.
The ASEAN energy storage market is segmented by type, application, and geography. By type, the market is segmented as pumped-hydro storage, battery energy storage systems, and others. By application, the market is segmented into residential, commercial, and industrial. The report covers the size and forecasts of the energy storage market across the major countries in the region. For each segment, market sizing and forecasts have been done based on revenue (USD billion).
| Type | Pumped-Hydro Storage |
| Battery Energy Storage Systems | |
| Other Types | |
| Application | Residential |
| Commercial and Industrial | |
| Geography | Indonesia |
| Vietnam | |
| Phillipines | |
| Malaysia | |
| Rest of ASEAN |
ASEAN Energy Storage Market Research FAQs
How big is the ASEAN Energy Storage Market?
The ASEAN Energy Storage Market size is expected to reach USD 3.32 billion in 2024 and grow at a CAGR of 6.78% to reach USD 4.61 billion by 2029.
What is the current ASEAN Energy Storage Market size?
In 2024, the ASEAN Energy Storage Market size is expected to reach USD 3.32 billion.
Who are the key players in ASEAN Energy Storage Market?
GS Yuasa Corporation, Wartsila Oyj Abp, BYD Co. Ltd, SEC Battery Company and NGK Insulators Ltd are the major companies operating in the ASEAN Energy Storage Market.
What years does this ASEAN Energy Storage Market cover, and what was the market size in 2023?
In 2023, the ASEAN Energy Storage Market size was estimated at USD 3.11 billion. The report covers the ASEAN Energy Storage Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the ASEAN Energy Storage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
ASEAN Energy Storage Industry Report
Statistics for the 2024 ASEAN Energy Storage market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. ASEAN Energy Storage analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
