Energy Storage Power Stations: Planned Installations are Accelerated, and the Industry is Hotter Than Expected.

By the end of 2021, the cumulative installed capacity of energy storage projects in operation worldwide reached 209.4GW, a year-on-year increase of 9%, and the cumulative installed capacity of lithium-ion batteries in the field of electrochemical energy storage was the largest at 23.2GW; Cumulative installed capacity of energy storage projects has reached 46.1GW in China, accounting for 22% of the global total, a year-on-year increase of 30%. Due to its early commercial application and deep integration with traditional power system application scenarios, pumped hydro storage accounts for nearly 90% of energy storage in China and the world, but the proportion is declining year by year. At the same time, the scale and proportion of electrochemical energy storage have increased rapidly: from 2013 to 2020, the cumulative scale of electrochemical energy storage in the world and China has increased from 0.7GW and 0.1GW to 23.2GW and 5.3GW, respectively. In 2021, the world will add 10.2GW of electrochemical energy storage capacity, an increase of 83% year-on-year, and China's new electrochemical energy storage capacity of 2.4GW, a year-on-year increase of 126%.

We counted the public energy storage project bidding information of Polaris Energy Storage Network, excluding feasibility study, supervision, design, survey and other projects. In 1H22, a total of 13.4 GWh of large-scale energy storage projects were won in China, a year-on-year increase of +582%, far exceeding the full year of 2021. Won the bid of 6.6GWh. From the perspective of application scenarios, 1H22 independent energy storage (including shared energy storage) has become a trend, accounting for 47%, and wind power photovoltaic energy storage on the power generation side accounts for 25%.

Since entering 2H22, the energy storage market has been booming. According to the statistics of Polaris Energy Storage Network, since 2022, Shanxi has filed 34 100MWh energy storage power station projects, with a total investment of over 40.3 billion yuan and a total energy storage scale of over 9.1GW/18.9GWh.

We believe that the growth rate of domestic energy storage power plants in 2H22 is expected to be faster than expected, mainly because:

(1) The progress of energy storage construction is closely related to new energy installations, and new energy power stations are expected to usher in a wave of installations in the second half of the year;

(2) The policy clarifies the shared energy storage business model, and the investment economy of energy storage power stations is significantly improved;

(3) The price of EPC has a downward trend, which reduces the initial investment cost.