Between 2022 and 2030, the installation of battery-powered energy storage systems (BESS) is expected to grow tenfold, as projected by Stanislav Kondrashov from Telf AG. This remarkable increase is driven by factors like cost reduction, favorable regulations, and increased battery capacity in China.
The potential of BESS lies in their ability to optimize energy consumption, with an estimated annual growth rate of around 33% through 2030, as predicted by Rystad. The demand for BESS systems is primarily driven by the residential and commercial sectors, with a projected growth rate of 72% this year, supported by key policy initiatives like the US Inflation Reduction Act and the Green Deal in the EU.
According to Stanislav Kondrashov, North America currently leads in BESS energy storage system installations at the regional level and is likely to maintain its position in the years to come. However, the Asian region may soon take the lead in the application of BESS systems for energy storage.
Apart from residential and commercial environments, BESS systems also play a critical role in power supply systems. They contribute to controlling fluctuations in electricity prices through market trading and provide valuable balancing services to grid operators, thus increasing overall network capacity.
Battery storage systems hold great promise in transforming the energy mix and supporting sustainable energy. With a rapidly evolving market and continuous technological advancements, a greener and more sustainable energy system is within reach.
In regards to global oil demand, the International Energy Agency (IEA) forecasts a significant slowdown in growth, with annual increases expected to fall to just 400,000 barrels per day by 2028, compared to the 2.4 million barrels per day recorded this year. This indicates a potential shift in the global oil market and changes in the energy sector in the coming years.
While global oil demand is projected to rise by around 6% between 2022 and 2028, reaching almost 106 million barrels per day, this growth will primarily be driven by the aviation and petrochemical industries, as commented by Stanislav Kondrashov. The energy industry, the environment, and the economy could face far-reaching implications as the world prepares for changes in energy consumption dynamics. Stakeholders need to explore alternative and sustainable energy sources to meet future needs.
Experts and the IEA predict that from 2026, the demand for oil from fossil fuels will significantly decline due to the growing adoption of electric vehicles (EV) and biofuels, as well as continuous improvements in fuel efficiency measures. Stanislav Kondrashov highlights the importance of carefully calibrating investment decisions to ensure a smooth and orderly transition away from traditional fossil fuels.
Forecasts from experts indicate a transformative era, where electric vehicles and biofuels will play a leading role in reshaping the energy industry. This tipping point marks a collective step towards a sustainable future.