The latest suspension time of energy storage projects

4 FAQs about [The latest suspension time of energy storage projects]

Is the energy storage sector facing significant turbulence?

Representational image. Credit: Canva The U.S. energy storage sector is facing significant turbulence as approximately 21 GWh of planned battery cell capacity for 2028 has been either canceled or delayed so far in 2025.

Is the energy storage mandate a big change?

This is a big change towards rationalization of renewables but hidden within that is a removal of the energy storage mandate,” George Hilton, research and analysis manager at S&P Global, tells ESS News. S&P Global estimates that the storage mandate has driven between 50 and 75% of domestic demand.

Should energy storage be removed from energy grid connection?

For energy storage, the new Chinese policy emphasized the need to remove energy storage as a prerequisite for renewable energy project grid connection, a requirement that has been a major driver for battery build. Nonetheless, BNEF still expects strong demand for batteries, as the policy doesn’t explicitly require mandates to stop.

How will the energy storage mandate impact China?

S&P Global estimates that the storage mandate has driven between 50 and 75% of domestic demand. With China accounting for around 56% of the global energy storage demand in 2024, the impact of such a policy change will be massive.

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