Market Size of South America Energy Storage Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 7.39 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
South America Energy Storage Market Analysis
The South America energy storage market is expected to grow at a CAGR of approximately 7.39% during the forecast period. Factors such as the declining prices of lithium-ion batteries with increased application range and improved adoption and increased demand for uninterrupted power supply are expected to drive the South America energy storage market. Moreover, the growing renewable energy sector which demands a higher need for energy storage is expected to promulgate the market. However, the demand-supply mismatch of raw materials such as a shortage of minerals required for lithium-ion batteries is expected to restrain the growth of the energy storage market in the region.
- Batteries segment is expected to be the largest market during the forecast period in South America, owing to an increasing shift toward higher levels of renewable energy into grids and the need for long-term energy storage.
- The Compressed air energy storage (CAES) can achieve an efficiency of 70-80%, which is a significant improvement from the current 25-35%. Achieving such high efficiency can help CAES becoming a mainstream energy storage technology, in turn, allowing this technology to explore significant untapped potentials and creating opportunities for the market players.
- In South America, Brazil is expected to be the dominate during the forecast period marked by increasing energy demand from residential as well as industrial and commercial sector.
South America Energy Storage Industry Segmentation
The South America energy storage market report include:
| Type | |
| Batteries | |
| Pumped-Storage Hydroelectricity (PSH) | |
| Thermal Energy Storage (TES) | |
| Fywheel Energy Storage (FES) |
| Application | |
| Residential | |
| Commercial & Indsutrial |
| Geography | |
| Brazil | |
| Argentina | |
| Rest of South America |
South America Energy Storage Market Size Summary
The South America energy storage market is poised for significant growth, driven by the declining costs of lithium-ion batteries and their expanding application range. The increasing demand for uninterrupted power supply and the burgeoning renewable energy sector are key factors propelling the market forward. However, challenges such as the demand-supply mismatch of raw materials, particularly the shortage of minerals essential for lithium-ion batteries, pose potential constraints. The batteries segment is anticipated to dominate the market, fueled by the transition towards integrating higher levels of renewable energy into grids and the necessity for long-term energy storage solutions. Additionally, advancements in technologies like Compressed Air Energy Storage (CAES) are expected to unlock new opportunities, enhancing the efficiency and mainstream adoption of energy storage systems.
Brazil is expected to lead the market in South America, supported by its substantial energy demand from residential, industrial, and commercial sectors. The country's reliance on hydropower and initiatives like 'Pro-GD' aim to boost renewable energy capacity, thereby increasing the need for energy storage systems. The Argentine market, traditionally focused on pumped hydropower, is also exploring battery-based utility-scale storage systems. The region's energy storage market is characterized by its fragmentation, with key players including GS Yuasa Corporation, Contemporary Amperex Technology Co. Limited, BYD Co. Ltd, LG Chem Ltd, and Samsung SDI Co. Ltd. Government policies and investments in distributed generation are expected to further drive the market's expansion during the forecast period.
South America Energy Storage Market Size - Table of Contents
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1. MARKET OVERVIEW
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1.1 Introduction
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1.2 Market Size and Demand Forecast, in USD billion, till 2025
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1.3 Recent Trends and Developments
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1.4 Government Policies and Regulations
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1.5 Market Dynamics
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1.5.1 Drivers
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1.5.2 Restraints
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1.6 Supply Chain Analysis
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1.7 Porter's Five Forces Analysis
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1.7.1 Bargaining Power of Suppliers
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1.7.2 Bargaining Power of Consumers
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1.7.3 Threat of New Entrants
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1.7.4 Threat of Substitutes Products and Services
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1.7.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Type
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2.1.1 Batteries
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2.1.2 Pumped-Storage Hydroelectricity (PSH)
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2.1.3 Thermal Energy Storage (TES)
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2.1.4 Fywheel Energy Storage (FES)
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2.2 Application
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2.2.1 Residential
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2.2.2 Commercial & Indsutrial
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2.3 Geography
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2.3.1 Brazil
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2.3.2 Argentina
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2.3.3 Rest of South America
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South America Energy Storage Market Size FAQs
What is the current South America Energy Storage Market size?
The South America Energy Storage Market is projected to register a CAGR of 7.39% during the forecast period (2024-2029)
Who are the key players in South America Energy Storage Market?
GS Yuasa Corporation, Contemporary Amperex Technology Co. Limited, BYD Co. Ltd, LG Chem Ltd and Samsung SDI Co. Ltd. are the major companies operating in the South America Energy Storage Market.
