Europe Energy Storage Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

The Report Covers European Energy Storage Companies and the Market is segmented by Technology (Batteries, Pumped-Storage Hydroelectricity (PSH), Thermal Energy Storage (TES), Flywheel Energy Storage (FES), and Others), End-User (Residential and Commercial & Industrial), and Geography (Germany, United Kingdom, France, Italy, Austria, Switzerland, and Rest of Europe).

Europe Energy Storage Market Size

Single User License


Team License


Corporate License


Book before:
View Global Report
Europe Energy Storage Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR > 18.00 %
Market Concentration Medium

Major Players

Europe Energy Storage Market Major Players

*Disclaimer: Major Players sorted in no particular order


Need a report that reflects how COVID-19 has impacted this market and its growth?

Single User License


Team License


Corporate License


Book before:

Europe Energy Storage Market Analysis

The Europe energy storage market is expected to grow at a CAGR of 18 % during the forecast period.

The market was negatively impacted by COVID-19 in 2020. Presently the market has reached pre-pandemic levels.

  • Over the long term, factors like increasing demand for uninterrupted power supply and decreasing price of lithium-ion batteries are expected to drive the market.
  • On the other hand, a mismatch in the supply and demand of raw materials is a significant restraint hindering the market's growth.
  • Nevertheless, the increasing technological advancements in various technologies like compressed air energy storage (CAES), which has higher efficiency than present-day technologies, are expected to create enormous opportunities for the Europe Energy Storage Market.
  • Germany is expected to dominate the market during the forecast period, owing to the increasing energy demand from residential, industrial, and commercial sectors and supportive government policies.

Europe Energy Storage Market Trends

This section covers the major market trends shaping the Europe Energy Storage Market according to our research experts:

Batteries Segment to Dominate the Market

  • Battery energy storage is considered a critical technology in transitioning to a sustainable energy system. The battery energy storage systems regulate voltage and frequency, reduce peak demand charges, integrate renewable sources, and provide a backup power supply. Batteries are crucial in energy storage systems and are responsible for around 60% of the system's total cost.
  • Battery energy storage systems, coupled with renewables, such as wind and solar, are technically and commercially viable for extensively increasing grid stability. Europe is undergoing an energy transformation, expected to intensify over the coming years. The change includes a greater reliance on renewable energy in response to climate mitigation policies.
  • In renewable energy generation, battery energy storage serves as a medium for an excess generation which can be used when needed. Energy storage systems also served as a means of increasing power utilization and increased power utilization efficiency rates. This helps balance energy in various time ranges to match demand and supply.
  • The installation of renewable energy sources has grown significantly in Europe. In 2021 the installed renewable energy capacity in Europe was 647.39 GW compared to 512.78 GW in 2017, showing a growth rate of 26.25%. A similar trend is expected to be followed during the forecasted period.
  • Moreover, in response to the Russian invasion of Ukraine, many European Union countries announced plans to accelerate renewable deployment to reduce their dependence on Russian natural gas imports. Countries like Germany, the Netherlands, and Portugal have either increased their renewable energy ambitions or moved their initial targets earlier. This will increase the demand for battery energy storage systems during the forecasted period.
  • For instance, in February 2022, Battery manufacturer Saft announced that it had secured a contract from Neoen to deliver a turnkey 8MW/8 MWh battery energy storage system (BESS) in Antugnac, Southern France. The facility will be the first co-located BESS and solar farm connected to Réseau de Transport d'Électricité's (RTE) high-voltage transmission grid in France. Saft is building the new ESS on an EPC basis, with completion scheduled for spring 2022, within ten months of contract signing.
  • Therefore, owing to the above points, the battery segment is expected to dominate the Europe energy storage market during the forecast period.
Europe Energy Storage Market: Renewable Energy Installed Capacity, in Giga-Watt, Europe,2017-2021

Germany to Dominate the Market

  • Germany has one of Europe's and the world's largest energy storage markets. The country's energy storage business has grown significantly in recent years due to ambitious energy transition projects and a target of lowering greenhouse gas emissions by at least 80% (relative to 1990 levels) by 2050. In addition, the country intends to phase out nuclear power reactors by 2023, accelerating renewable energy development to compensate for the lower power-producing capability.
  • Germany is already at the forefront of renewable energy development. The German government has a target for renewables to meet 80% of the electricity demand in the country by 2030. Solar power and onshore- and offshore wind power will be the main pillars of renewable energy production.
  • The energy storage market in Germany has experienced a massive boost in recent years, majorly due to the country's ambitious energy transition project, "Energiewende." The boom of batteries and other storage technologies are expected to profoundly impact Germany's energy transition.
  • Additionally, The adoption of household solar storage systems is increasing in Germany, owing to high power costs and the present energy crisis, with the number of new installations projected to increase by almost 60% in 2021. According to the German solar energy group BSW, about 141,000 new solar storage systems were installed in 2021 by German households, reaching the cumulative installation 413,000 units across the country.
  • The primary driver of battery storage in the country is the sharp price decline in lithium-ion batteries due to their wide use in consumer electronics and other applications. In the last five years, battery costs have more than halved in the country, and this trend is expected to continue in the coming years.
  • According to International Energy Agency (IEA), in Germany, storage deployment is encouraged through innovation auctions, which reward the combination of renewables and storage. All successful bids in 2021 and 2022, totaling over 1 GW of installed capacity, were projects combining solar PV with battery storage.
  • For instance, in October 2022, Fluence Energy GmbH and TransnetBW GmbH announced they would deploy the world's largest battery-based energy storage-as-transmission project. The project will improve energy security and significantly support Germany's energy transition pathway by increasing the efficiency of the existing grid infrastructure. The 250 MW battery-based energy storage system, supplied by Fluence, will be located at Kupferzell, a significant grid hub. It is planned for completion in 2025.
  • Therefore, owing to the above points, Germany is expected to dominate the Europe energy storage market during the forecast period.
Europe Energy Storage Market: Total Solar-Plus Storage Systems Installed, in units,2015-2021

Europe Energy Storage Industry Overview

The Europe energy storage market is moderately fragmented. Some key players (in no particular order) are GS Yuasa Corporation, Contemporary Amperex Technology Co. Limited, BYD Co. Ltd, LG Energy Solution, Ltd., and Samsung SDI Co. Ltd.

Europe Energy Storage Market Leaders

  1. BYD Co. Ltd

  2. Samsung SDI Co. Ltd

  3. GS Yuasa Corporation

  4. Contemporary Amperex Technology Co. Limited

  5. LG Energy Solution, Ltd.

*Disclaimer: Major Players sorted in no particular order

Europe Energy Storage Market Concentration
Need More Details on Market Players and Competitors?
Download PDF

Europe Energy Storage Market News

  • In November 2022, Harmony Energy Income Trust, an investment firm, announced that its Pillswoodproject in Yorkshire, UK, had gone live four months earlier than planned. According to Harmony, the 98MW/196MWh facility is Europe's largest BESS project by MWh. This is enough to power approximately 300,000 UK homes for two hours. The project will provide balancing services to the UK electricity grid network using a Tesla two-hour Megapack. Harmony Energy developed the project, with Tesla overseeing construction. Autobidder, Tesla's algorithmic trading platform, will manage the project.
  • In September 2022, Global energy company RWE announced they would bring a 72MW battery energy storage system (BESS) online by the end of 2022 in Werne, Germany. The two BESS units are made up of 420 lithium-ion batteries having a combined output of 117 MW.
  • In June 2022, Warstillaannounced to partner with SSE Plc to deliver 50 MW/ 100 MWh of battery energy storage system in Salisbury, United Kingdom, for the SSE solar power plant, and the battery energy storage system is expected to be commissioned in September 2023.

Europe Energy Storage Market Report - Table of Contents


    1. 1.1 Scope of the Study

    2. 1.2 Market Definition

    3. 1.3 Study Assumptions




    1. 4.1 Introduction

    2. 4.2 Market Size and Demand Forecast, in USD billion, till 2028

    3. 4.3 Recent Trends and Developments

    4. 4.4 Government Policies and Regulations

    5. 4.5 Market Dynamics

      1. 4.5.1 Drivers

      2. 4.5.2 Restraints

    6. 4.6 Supply Chain Analysis

    7. 4.7 Porter's Five Forces Analysis

      1. 4.7.1 Bargaining Power of Suppliers

      2. 4.7.2 Bargaining Power of Consumers

      3. 4.7.3 Threat of New Entrants

      4. 4.7.4 Threat of Substitutes Products and Services

      5. 4.7.5 Intensity of Competitive Rivalry


    1. 5.1 Technology

      1. 5.1.1 Batteries

      2. 5.1.2 Pumped-Storage Hydroelectricity (PSH)

      3. 5.1.3 Thermal Energy Storage (TES)

      4. 5.1.4 Fywheel Energy Storage (FES)

      5. 5.1.5 Others

    2. 5.2 End-User

      1. 5.2.1 Residential

      2. 5.2.2 Commercial & Indsutrial

    3. 5.3 Geography {Market Size and Demand Forecast till 2028 (for regions only)}

      1. 5.3.1 Germany

      2. 5.3.2 United Kingdom

      3. 5.3.3 France

      4. 5.3.4 Italy

      5. 5.3.5 Austria

      6. 5.3.6 Switzerland

      7. 5.3.7 Rest of Europe


    1. 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements

    2. 6.2 Strategies Adopted by Leading Players

    3. 6.3 Company Profiles

      1. 6.3.1 GS Yuasa Corporation

      2. 6.3.2 Contemporary Amperex Technology Co. Limited

      3. 6.3.3 Tesla Inc

      4. 6.3.4 BYD Co. Ltd

      5. 6.3.5 Clarios (Formerly Johnson Controls International PLC)

      6. 6.3.6 Varta AG

      7. 6.3.7 LG Energy Solution, Ltd.

      8. 6.3.8 NGK Insulators Ltd

      9. 6.3.9 Samsung SDI Co. Ltd

    4. *List Not Exhaustive

**Subject to Availability
You Can Purchase Parts Of This Report. Check Out Prices For Specific Sections
Get Price Break-up Now

Europe Energy Storage Industry Segmentation

An Energy Storage System, often abbreviated as ESS, is a storage system that captures energy produced at one time from any energy-producing source for use at a later time as per the convenience of the end user to reduce imbalances between energy demand and energy production. The quantity of energy and power defines an Energy Storage System (ESS) it is capable of storing (MWh and MW).

Technology, End-User, and Geography segment the Europe energy storage market. By Technology, the market is segmented into Batteries, Pumped-Storage Hydroelectricity (PSH), Thermal Energy Storage (TES), Flywheel Energy Storage (FES), and Others. By End-User, the market is segmented into Residential and Commercial & Industrial. The report also covers the market size and forecasts for the Europe energy storage market across major countries. For each segment, the market sizing and forecasts have been done based on revenue (USD billion).

Pumped-Storage Hydroelectricity (PSH)
Thermal Energy Storage (TES)
Fywheel Energy Storage (FES)
Commercial & Indsutrial
Geography {Market Size and Demand Forecast till 2028 (for regions only)}
United Kingdom
Rest of Europe
Need A Different Region Or Segment?
Customize Now

Europe Energy Storage Market Research FAQs

The Europe Energy Storage Market is projected to register a CAGR of greater than 18% during the forecast period (2024-2029)

BYD Co. Ltd, Samsung SDI Co. Ltd, GS Yuasa Corporation, Contemporary Amperex Technology Co. Limited and LG Energy Solution, Ltd. are the major companies operating in the Europe Energy Storage Market.

The report covers the Europe Energy Storage Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Europe Energy Storage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.

The residential segment is estimated to witness significant growth in the Europe Energy Storage Systems Market.

Europe Energy Storage Industry Report

The Europe Energy Storage Systems Market is experiencing robust growth, driven by increasing demand across residential, commercial, and industrial sectors. The residential segment is particularly strong, with a significant need for continuous power supply and efficient energy storage solutions to manage frequent power outages and integrate renewable energy sources. Innovations in battery technology, especially lithium-ion batteries, are pivotal in advancing the market and enhancing the efficiency and integration of energy storage systems. Government policies promoting renewable energy integration also support the adoption of advanced energy storage solutions. These factors collectively contribute to the dynamic growth of the Europe battery storage system market, positioning it as a leader in energy innovation and sustainability. For detailed statistics, market share, size, and revenue growth rate, refer to Mordor Intelligence™ Industry Reports, which include a market forecast outlook and historical overview. Get a sample of this industry analysis as a free report PDF download to understand the market's trajectory and key trends.

80% of our clients seek made-to-order reports. How do you want us to tailor yours?

Please enter a valid email id!

Please enter a valid message!

Europe Energy Storage Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)