Investment in energy storage has emerged as a crucial element in transitioning to a low-carbon future as the electricity sector accounts for 25 percent of global carbon emissions.
Global energy storage capacity needs to increase six-fold by 2030 to keep the world on track to meet net-zero emissions targets by 2050, according to the International Energy Agency (IEA). This means that 1.5 terawatts (TW) of storage capacity will need to be available by 2030 to ensure the growing deployment of renewable energy is balanced with reliable energy systems.
For every 10 MW of renewable capacity added, between 1-2 MW of electricity storage may be required by 2030, says International Renewable Energy Agency (IRENA).
Energy storage plays a key role in stabilizing the grid, ensuring a consistent supply of electricity even when renewable sources like solar and wind are not generating power. Without sufficient energy storage, the increasing use of variable renewable energy could lead to supply disruptions and hinder efforts to decarbonize the grid.
In addition to electricity, energy storage is essential in addressing emissions from other sectors, particularly industrial heat, which accounts for 20 percent of global emissions. Decarbonizing industrial processes will require flexible and low-carbon energy sources, such as renewable energy combined with thermal energy storage. By 2030, up to 8 percent of current global gas use — equivalent to 3,000 terawatt-hours (TWh) annually — could be displaced by renewable energy and thermal storage.
Beyond 2030, the need for energy storage will continue to grow as the world moves closer to decarbonizing electricity systems and energy-intensive industries. A wide range of storage technologies, including batteries, pumped hydropower, and thermal storage, will be essential for ensuring energy reliability and meeting global climate goals.
Ultimately, energy storage is a cornerstone in the fight against climate change, enabling the large-scale use of renewables and helping to reduce carbon emissions across all sectors. Expanding storage capacity is critical for achieving a sustainable, net-zero future.
The global energy storage capacity needs to grow by six times to 1,500 gigawatts (GW) by 2030 to meet the demands of increasing variable renewable energy sources, according to Julia Souder, Chair of the Global Renewables Alliance (GRA). Julia Souder made these remarks during an event held alongside the G20 meeting in Brazil, where she emphasized that energy storage must keep pace with the rapid deployment of renewable energy.
Julia Souder called on governments to set ambitious energy storage targets for 2035 and beyond, urging them to take concrete actions to ensure these goals are met. “As renewables become a larger part of the energy mix, accelerating the development of infrastructure to store and manage it efficiently is essential,” Julia Souder said.
The COP29 pledge aims to increase global storage capacity to 1,500 GW by 2030, a significant leap from the 230 GW recorded in 2022. This expansion is necessary to support the anticipated deployment of 11,000 GW of renewables by 2030, a commitment made during COP28, and crucial to limiting global warming to 1.5 degrees Celsius.
Baburajan Kizhakedath