Market Overview:
Thermal energy storage refers to the process of storing and retrieving thermal energy for later use. This technology allows for the storage of excess energy during periods of low demand and its release during periods of high demand. The growing need for sustainable energy solutions, coupled with the increasing adoption of renewable energy sources, is driving the demand for thermal energy storage systems. These systems offer advantages such as increased energy efficiency, reduced carbon footprint, and improved grid stability. They find applications in various industries, including power generation, district heating and cooling, and industrial processes.
Market key trends:
One key trend in the thermal energy storage market is the increasing adoption of solar thermal energy storage systems. Solar thermal energy storage involves capturing and storing thermal energy from sunlight for later use. This technology is gaining traction due to its ability to provide clean and sustainable energy solutions. The growing emphasis on reducing greenhouse gas emissions and the increasing government support for renewable energy adoption are expected to drive the demand for solar thermal energy storage systems.
The global Thermal Energy Storage Market Size is estimated to be valued at US$4.65 billion in 2023 and is expected to exhibit a CAGR of 10.3% over the forecast period of 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
PEST Analysis:
Political: The political factors that may impact the thermal energy storage market include government policies and regulations related to energy storage and renewable energy. Governments around the world are focusing on reducing carbon emissions and increasing the share of renewable energy in the total energy mix. This can create favorable conditions for the growth of the thermal energy storage market.
Economic: The economic factors influencing the thermal energy storage market include the overall economic conditions, investment in renewable energy projects, and the cost-effectiveness of thermal energy storage systems. As economies recover from the COVID-19 pandemic, there may be an increased focus on infrastructure development and renewable energy projects, which can drive the demand for thermal energy storage.
Social: Social factors such as increasing environmental awareness and concerns about climate change can have a positive impact on the thermal energy storage market. As more consumers become conscious of their energy consumption and carbon footprint, they may be willing to invest in energy storage solutions that enable the efficient utilization of renewable energy.
Technological: Technological advancements in thermal energy storage systems play a crucial role in the market growth. Developments in materials, design, and manufacturing processes can lead to more efficient and cost-effective energy storage solutions. Additionally, advancements in digitalization and automation can enhance the overall performance and integration of thermal energy storage systems with renewable energy sources.
Key Takeaways:
Market size: The global thermal energy storage market is projected to witness high growth, exhibiting a CAGR of 10.3% over the forecast period from 2023 to 2030. This growth is driven by the increasing adoption of renewable energy sources and the need for energy storage solutions to ensure a stable and reliable energy supply.
Regional analysis: North America is expected to be the fastest-growing and dominating region in the thermal energy storage market. Factors such as government support for renewable energy projects, the presence of key market players, and the growing demand for sustainable energy solutions contribute to the region's growth.
Key players: Key players operating in the thermal energy storage market include BrightSource Energy, Inc., EnergyNest AS, Ice Energy, Baltimore Aircoil Company, Inc., Abengoa Solar, S.A, Burns & McDonnell, Inc., and DC Pro Engineering. These players are actively involved in research and development activities to enhance their product offerings and expand their market presence.
