Growing demand for more resilient power supplies will spur $22.3 billion of global investment in battery-backed local energy systems over the next decade, according to Navigant Research.
Villages and homes in far-flung places will drive the expansion of microgrids -- small-scale solar systems with batteries that can retain power until it's needed. Navigant expects 14.9 gigawatts to be in operation in 2026, up from 0.238 gigawatts this year, according to a report Tuesday.
North America and the Asia-Pacific region will get about three-quarters of the investment as developers find ways to use microgrids more efficiently, including providing energy-management services to utilities. North America will have 5.85 gigawatts of microgrid storage in operation by 2026, and Asia-Pacific will have 5.57 gigawatts. Declining battery costs and new financing methods will also increase deployment in areas like coastal communities in Florida and Texas exposed to flooding and frequent storms, said researcher Alex Eller.
Puerto Rico, where the utility grid was knocked out by Hurricane Maria on Sept. 20, has become a target for developers eager to showcase microgrid designs. These include solar panels, small wind turbines and backup diesel or propane generators.
Suppliers including Tesla Inc., German-based battery-maker Sonnen GmbH, and solar rooftop supplier Sunnova Energy Corp. have each begun shipping microgrid equipment to Puerto Rico to help repower the island following the storm.
Business on 10/04/2017