US, China, and UK Lead Global Rankings for Battery Energy Storage Investments: EY Report

According to the latest EY Country Attractiveness Index (RECAI 63), the , , and the United Kingdom have emerged as the top investment destinations for battery energy storage systems (BESS). These markets are positioned favorably due to supportive policies, technological advancements, and robust market frameworks.

The report underscores the critical role of BESS in alleviating network gridlock issues and facilitating the integration of renewable energy sources into existing grids. It predicts a substantial increase in global BESS deployment, with capacity expected to grow fourfold from 2023 to 2030, reaching 572 gigawatts (GW).

Arnaud de Giovanni, Global Renewables Leader at EY, highlighted the strategic importance of scaling up BESS investments, stating, “Scaling up battery energy storage systems can help solve multiple problems holding up clean energy progress, including stabilising and strengthening network and enabling more distributed energy resources to connect to the grid.”

The United States secured the top spot in EY's ranking, driven by a 30% tax credit incentive under the . China closely follows with significant government support and ambitious plans to reduce BESS costs by 30% by 2025. Meanwhile, the United Kingdom's sophisticated energy market design and recent energy legislation classifying BESS as a generation asset solidify its position in the top three.

Ben Warren, Chief Editor of EY RECAI, emphasized the increasing investor interest in BESS amid the global energy transition, noting, “Investor interest in BESS is on the rise. To help cut through the complexity, EY has identified and ranked the attractiveness of the world's top global battery investment markets.”

Warren cautioned that BESS investments require a nuanced approach due to their long-term nature, regional variability, and higher risk profile compared to other clean energy investments. Success, he noted, hinges on understanding local market dynamics, technological advancements, and navigating complex financing structures effectively


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