September 14 (Renewables Now) – The US grid-scale energy storage market had its best second quarter so far with 2,608 MWh of installations, although the sector continues to experience delays, according to a report today by Wood Mackenzie and the American Clean Power Association (ACP).
Vanessa Witte, senior analyst with Wood Mackenzie’s energy storage team, said that more than 1.1 GW of projects scheduled to go live in the second quarter of 2022 were delayed or cancelled. Still, 709 MW of this should come online in the second half of the year.
Projects were challenged by supply chain issues, transportation delays and interconnection queues. Trade issues that continue to impact the solar industry also affect storage deployment as storage and solar are often combined in hybrid projects.
Thanks to the solar investment tax credit (ITC) extension and standalone storage ITC in the Inflation Reduction Act, however, Wood Mackenzie expects 59.2 GW of energy storage capacity to be added through 2026.
Grid-scale storage installations were up 137% from a year ago, boosted by Texas which accounted for 60% of the 2,608 MWh installed.
Residential storage registered a record quarter with 375 MWh of deployments, up 36% year-over-year, while in the community, commercial and industrial (CCI) sector, installations were relatively unchanged from a year ago, at 59.4 MWh.
Join Renewables Now’s free daily newsletter now!
