Thermal Energy Storage Market Heats Up, Rapid Growth Predicted in Coming Years, says Market.us

The demand for renewable energy sources has been on the rise in recent years, leading to the growth of the thermal energy storage market.

Thermal energy storage systems can store excess energy generated by renewable sources, such as solar and wind, making them available during times of low energy generation. This ensures that renewable energy sources can be utilized more effectively, reducing the reliance on fossil fuels and contributing to a cleaner energy mix.

According to a report by Market.us, “The size of the global thermal energy storage market was estimated at USD 5.3 billion in 2022, and from 2023 to 2032, it is expected to expand at a CAGR of 8.9%. In the projected time frame, it is expected to reach USD 12.4 billion.”

Thermal energy storage systems can also be used in combination with combined heat and power (CHP) systems, making them more efficient and cost-effective.

With advancements in technology, advanced thermal energy storage systems are becoming more widespread. This includes systems such as phase change material (PCM) storage and thermochemical storage, which offer high energy density and are more efficient.

Governments and organizations around the world are placing an increasing emphasis on energy efficiency, further driving the growth of the thermal energy storage market.

Anurag Sharma, a senior research analyst at Market.us, said, “As the global population becomes more aware of the need to reduce carbon emissions and shift towards a cleaner energy mix, the demand for thermal energy storage solutions is likely to increase.”

Governments around the world are providing financial incentives and support to encourage the adoption of renewable energy sources and energy storage solutions.

Companies in the thermal energy storage market are investing heavily in research and development, further advancing the technology and making it more cost-effective.

One of the key challenges facing the thermal energy storage market is the high initial capital costs associated with the development and deployment of thermal energy storage systems. This can act as a barrier to entry for smaller organizations and limit the widespread adoption of the technology.

The thermal energy storage market can be segmented based on technology, application, and geography. Based on technology, the market can be divided into latent heat storage, sensible heat storage, and thermochemical storage. Based on application, the market can be segmented into residential, commercial, and industrial. Based on geography, the market can be segmented into North America, Europe, Asia-Pacific, and the rest of the World.

Some of the key players operating in the thermal energy storage market include Calmac, Ice Energy, Ceres Power, ST Microelectronics, and 1-Thermal Energy.

• In January 2022, Calmac announced the launch of its new thermal energy storage system, designed for commercial and industrial applications.
  
• In March 2022, Ice Energy announced a partnership with a leading energy company to deploy its thermal energy storage systems in the United States.

North America and Europe have been at the forefront of the renewable energy revolution, and this has driven the demand for thermal energy storage solutions in these regions. The supportive government policies, including financial incentives and subsidies for the adoption of renewable energy sources, have also helped to drive the growth of the thermal energy storage market in these regions.

In North America, for example, the growth of the solar industry has been particularly significant, and this has increased the demand for thermal energy storage solutions, as solar energy is highly variable and requires effective energy storage solutions to ensure its effective utilization.

In Europe, the trend towards a cleaner energy mix and the increasing focus on energy efficiency are driving the growth of the thermal energy storage market. The growing demand for thermal energy storage solutions in these regions is expected to continue in the coming years, further driving the growth of the market.

In the Asia-Pacific region, the rising awareness of the need to shift towards a cleaner energy mix, coupled with the increasing adoption of advanced energy storage technologies, is expected to drive significant growth in the thermal energy storage market.