Norway Rechargeable Battery Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Growing Adoption of Renewable Energy Sector To Drive the Market

• Norway's increasing embrace of renewable energy is set to propel the rechargeable batteries market in the years ahead. The International Renewable Energy Agency (IRENA) reported that Norway's cumulative renewable energy capacity hit approximately 40.16 GW in 2023, marking a modest uptick of over 1% from 2022. In 2023, hydropower dominated the renewable landscape, contributing 34.4 GW (85% of the total), followed by wind at 5.06 GW, solar at 616 MW, and other sources making up the remainder.
• Looking ahead, Norway is keen on amplifying its solar and offshore wind capabilities. For instance, authorities have set an ambitious target of 30 gigawatts (GW) of offshore wind energy by 2040, a move poised to draw in innovators, start-ups, and established players alike. Additionally, Norway aspires to ramp up its solar power from 0.45 TWh in 2023 to 8 TWh by 2030, necessitating solar plants with over 10,000 MW capacity.
• With the expansion of solar and wind energy, Norway is witnessing a surge in demand for efficient battery energy storage systems (BESS) to counteract the intermittent nature of these sources. Lithium-ion batteries, in particular, play a crucial role in storing excess energy during peak production and releasing it during high demand or low production times.
• Beyond large-scale solar installations, the rising trend of solar panels on residential and commercial rooftops is expected to bolster Norway's 8 TWh solar target. The Norwegian Water and Energy Directorate (NVE) has streamlined the process, stating that solar power plants up to 5 MW won't require a license under the Energy Act. NVE's approach ties license obligations to the plant's capacity, ensuring larger plants are managed by NVE and smaller ones by local municipalities. This facilitates the deployment of small-scale solar projects, subsequently driving the adoption of BESS.
• In April 2024, Morrow Batteries, a battery technology firm, inked a deal with Nordic Batteries for a supply of 5.5 GWh Lithium Iron Phosphate (LFP) BEV2 batteries over seven years, with the first batch arriving by the end of 2024. Nordic Batteries will craft modules and packs using Morrow's LFP cells and both companies are exploring joint production and collaborative sales and marketing efforts.
• Morrow is set to commence battery cell production at its inaugural gigafactory in Arendal, Norway, in Q3 2024. Nordic Batteries specializes in assembling and crafting battery packs and energy storage systems tailored for maritime and industrial needs. They are also pioneering battery modules and racks with elevated energy and power ratings, marking the initiation of a 1 GWh automated battery assembly line with a pilot line in Q2 2024.
• Battery technologies are pivotal for Norway's ambition of achieving zero emissions by 2050, playing a crucial role in curbing carbon emissions across energy sectors. Norway boasts a robust battery research community, nurtured over a decade, now drawing heightened industry interest. Numerous battery manufacturing initiatives are underway, with several companies making strides in setting up commercial production facilities.
• For instance, in 2022, FREYR Battery greenlit the Giga Artic project, its inaugural battery production facility in MO industrial park, Norway. They've expanded the project's capacity to an impressive 29 GWh, backed by a substantial USD 1.6 billion in debt financing, courtesy of the Norwegian National Battery Strategy and Eksfin's EUR 400 million in guarantees and loans.
• Moreover, in mid-2023, Freyr Battery secured a EUR 100 million grant from the EU Innovation Fund to bolster the Giga Arctic project. This dual giga factory, boasting a 29 GWh capacity, is set to run entirely on renewable hydroelectric power. Freyr views this financial backing as a testament to the pivotal role of batteries in the energy transition and regional energy security.
• In summary, the Norwegian government is keen on positioning the country as a hub for battery value chain activities, aiming to attract substantial investments and giga factories. These initiatives are poised to bolster Norway's renewable energy adoption and the demand for dependable energy storage, fueling the growth of the rechargeable batteries market in the coming years.