Flow Battery Market - Forecast(2024 - 2030)

The Flow Battery Market Size which was estimated to be USD 0.2 billion in 2023. The industry is expected to expand to USD 2.2 billion by 2032, showing a compound annual growth rate (CAGR) of 30.68% during the forecast period of 2023 to 2032. This growth is driven by factors such as the rising need for integrating renewable energy and stabilizing power grids, as well as an increasing demand for dependable and efficient energy storage technologies. The increasing demand for energy storage solutions, particularly in the form of flow batteries, stems from the imperative to seamlessly integrate renewable energy sources into existing grids while ensuring stability and reliability. With the global shift towards renewable energy generation such as solar and wind power, the variability of these sources poses challenges for grid operators in matching supply with demand. Flow batteries offer a promising solution by efficiently storing excess energy during periods of high generation and releasing it during peak demand or when renewable sources are unavailable The remarkable advancements in Vanadium Redox Flow Batteries (VRFBs) have propelled them into the spotlight within the energy storage landscape. VRFBs are garnering substantial attention owing to their exceptional attributes such as long cycle life, scalability, and inherent safety features. Their ability to maintain performance over thousands of charging and discharging cycles makes them an appealing choice for applications requiring reliable and durable energy storage solutions. Moreover, VRFB technology offers scalability, allowing for the customization of storage capacity to meet specific needs, whether for residential, commercial, or utility-scale installations. As research and development efforts intensify, there is a concerted focus on further refining VRFB technology to enhance cost-effectiveness and performance. This includes endeavors to reduce manufacturing costs, increase energy efficiency, and optimize system design. With these ongoing advancements, VRFBs are poised to emerge as a dominant force in the flow battery market, offering a compelling solution for diverse energy storage requirements in the years ahead.

The report: “Flow Battery Market – Forecast (2024-2030)”, by IndustryARC, covers an in-depth analysis of the following segments of the Barium Sulphate Industry. Market.

By Type: Redox Flow Battery, Hybrid Flow Battery

By Material: All-Vanadium, All-Iron, Zinc–Bromine, Hydrogen–Bromine, Polysulfide Bromide, Organic, Others

By Storage: Compact, Large Scale

By Application: Utilities, Commercial, Industrial, Military, EV Charging Station, Off-Grid & Micro grid Power, Others

By Geography: North America (U.S, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands and Others), APAC (China, Japan India, SK, Australia, Indonesia, Malaysia and Others), South America (Brazil, Argentina, Chile, Colombia and others), and RoW (Middle east and Africa)

• EV Charging Station are growing at highest CAGR of 36.2% in the forecast period as flow batteries enhance the fast charging tendency. In addition refueling is possible only in case of electrochemical cells in flow batteries among all electrical storage devices used in electric vehicles.

• All-Vanadium flow batteries are expected to witness a CAGR of 35.3% as they are considered as front runner technology for meeting the growing demand in the energy storage sector.

• The Flow Battery market in APAC region held significant market share of 34% in the forecast period as countries such as India, China, Japan are striving to boost their large-scale energy storage capacity through battery technologies that could, in turn enhance electric storage devices through Zinc-Bromide and All-Vanadium redox flow batteries.

• Flow Battery top 10 companies include VRB Energy, ESS Inc., Vanadis Power GmbH, Primus Power Corporation, Red Flow Ltd., Energy Systems, Rongke Power, CellCube Energy Storage Systems Inc, UniEnergy Technologies (UET), H2 Energy Solutions Inc. among others.

EV Charging Stations are growing at highest CAGR of 51.9% in the forecast as flow batteries enhances the fast charging tendency. In addition refuelling is possible only in case of flow batteries among all energy storage devices used in electric vehicles. Moreover rising investments for the electric vehicle infrastructure is analysed to drive the market growth, governments of several countries have been planning to invest heavily for the development of charging infrastructure. The U.K. government has been proactive in promoting electric mobility. As part of its Electric Vehicle Infrastructure Strategy, it committed a substantial investment of £1.6 billion. The primary goal is to make charging electric vehicles easier and more cost-effective compared to refueling petrol or diesel cars. South Korean government has targeted the deployment of 10,000 fast chargers by 2030. Similarly, India has plans to install 2,700 charging stations by 2030 in cities with more than 4 million residents. As flow batteries are used for several applications in electric charging stations, hence growing investments as such will drive the market growth in the forecast period 2023-2030.

All-Vanadium flow batteries are expected to witness a CAGR of 35.3% as they are considered as front runner technology for meeting the growing demand in the energy storage sector. The demand for these batteries is high, especially in the utility, off-grid, and mini-grid markets. Several global companies, such as Vionx Energy, redT, Rongke Power are involved in the rapid commercialization of this technology. Vanadium is a more significant contributor to the cost of vanadium redox flow batteries than key minerals in comparative battery technologies. Vanadium flow batteries can be quite large and best suited to industrial and utility-scale applications. Also, the vanadium flow battery outcompetes Li-ion and any other solid-state batteries for utility-scale applications. An illustration of the increasing demand for VRFBs is demonstrated by Everdura, an industrial technology firm based in Taiwan, placing an order with Invinity Energy Systems for 15 MWh in December 2023. This underscores the anticipated growth trajectory for VRFBs during the forecast period. Preference for flow batteries is less when compared to Li-ion batteries. As the demand for renewable energy continues to grow, the demand for solutions that can help control the flow of the energy generated is also increasing. Flow batteries using vanadium as the primary element have a lifespan of 20 years with up to 20,000 cycles and no capacity loss. Therefore, energy storage projects implementing flow batteries are expected to boost the market during the forecast period.

Flow Battery market in APAC region as held significant market share of 40% in 2023. In recent years, China, India, Japan and Australia are striving to boost their large-scale energy storage capacity through battery technologies that could, in turn, enhance electric stability. In countries such as India, China, and Japan, respective governments have laid regulations and reforms as well as initiatives for modernizing the power sector. APAC has several operational flow battery installations with large power ratings. Australia has the most number of flow battery projects for utilities, residential, industrial, and commercial applications from various players across the world  In addition, according to the data from the European Environment Agency (EEA), 22% of the EU's energy consumption was derived from renewable sources in 2023. Furthermore, the percentage of energy from renewables used in EU transportation. All these factors are expected to drive the demand for flow batteries in the region during the forecast period.2023-2030.

 

                                                       

 

The electric car market has witnessed rapid evolution with the ongoing developments in automotive sector and favorable government policies and support in terms of subsidies and grants, tax rebates. Flow batteries have a unique capability for rapid and safe recharge of electric vehicles by electrochemical cell exchange, hence rise in production of electric vehicles is analyzed to drive the market. In 2024, Ford has continued its commitment to electric vehicles (EVs). They launched the Ford F-150 Lightning, an all-electric version of their popular pickup truck. The F-150 Lightning boasts impressive specs, including a range of up to 300 miles on a single charge and the ability to power your home during outages using its Pro Power Onboard feature. This move signifies Ford’s dedication to sustainable mobility and innovation, Toyota has been making strides in the hybrid and electric vehicle market. In 2024, they introduced the Toyota bZ4X, an all-electric SUV. The bZ4X is part of Toyota’s broader plan to launch 15 new battery-electric vehicles globally by 2025. Additionally, Toyota continues to invest in hydrogen fuel cell technology, aiming to create a more sustainable transportation future2.

Moreover governments of several countries have been investing heavily for the development of electric vehicles GM has been actively pursuing its vision of an all-electric future. In 2024, they unveiled the Chevrolet Silverado EV, an electric version of their popular pickup truck. The Silverado EV is expected to have a range of over 400 miles and will be built at GM’s Factory ZERO in Detroit. GM’s ambitious plans include launching 30 new electric vehicles globally by 2025, emphasizing their commitment to zero-emission mobility. Hence these investments and developments are analyzed to be the key drivers for the growth of the electric vehicle market and thereby the flow battery market during the forecast period 2023-2030.

Although flow battery has emerged as a potential technology that provides various energy storage advantages, it also encompasses a few technical drawbacks that hamper its market growth. The major drawbacks of flow battery are lower power density and complexity of the structure. Flow batteries are more complicated than the standard batteries as these require pumps, sensors, flow and power management, and secondary containment vessels to function. These components and their functional design make the battery comparably larger and heavier, which, in turn, restricts its application to large-scale areas. Energy densities in different types of flow batteries vary considerably. Besides, these flow batteries suffer from pumping losses and chemical reaction losses that adversely affect the overall efficiency of the system. Moreover, corrosive and toxic electrolyte necessitates proper maintenance, careful storage, and transport, thereby restraining the growth of the market.

Product launches, acquisitions, Partnerships and R&D activities are key strategies adopted by players in the Flow Battery market. In 2020, the market of Flow Battery industry outlook has been fragmented by several companies. Flow Battery top 10 companies include VRB Energy, ESS Inc., Vanadis Power GmbH, Primus Power Corporation, RedFlow Ltd., Energy Systems, Rongke Power, CellCube Energy Storage Systems Inc, UniEnergy Technologies (UET), H2 Energy Solutions Inc. among others.

• In September 2022, CellCube, a subsidiary of Enerox, an Austria-based technology provider, initiated an R&D collaboration in Australia, laying the groundwork for entering the country's long-duration energy storage sector. Collaboratively, the firms aim to integrate CellCube's vanadium redox flow batteries (VRFBs) to address Australia's need for continuous low-carbon energy, commencing with the deployment of a pilot project featuring a 2 MW/8 MWh VRFB system.

• In November 2022, Tdafoq Energy, based in Riyadh, Saudi Arabia, announced the execution of a distribution and manufacturing license agreement with Delectrik Systems, an Indian company. As part of this agreement, Tdafoq Energy will market vanadium redox flow battery products produced by Delectrik in India throughout Gulf countries such as Kuwait, Bahrain, Oman, Saudi Arabia, Qatar, and the United Arab Emirates (UAE).