Battery Price Reduction Stimulates The Rapid Development Of Energy Storage Market

- Oct 10, 2017-

Since this year, although the positive and negative materials market and usher in a wave of price increases, the cost pressure from subsidies TuiPo also has not receded, but under the trends of electric vehicles on the big, flat battery prices are inevitable.

 This was partly due to the electric car entered the stage of civil penetration, car and fuel cost of a lack of advantage, the price pressure will transfer by the end of the forward end, split to the industrial chain of each link, although the price of raw materials not increasing, this year the profit margins of lithium-ion batteries is expected to decline to a certain extent, but other niche markets for battery enterprises to relieve stress.

On the other hand, the structural excess of power battery industry has caused the market competition to intensify, the low-end market is oversupplied and the products are homogenized.

High-end market players are large and medium-sized enterprises, and the advantages of r&d and scale production will also drive down battery costs.

Wang yong, the executive vice President of ganyuan hi-tech, said battery costs are expected to be flat in 2017 compared with 2016, while the company has been able to maintain a 10-15 per cent drop in space per year.

 Relevant data show that in 2016, China's energy storage lithium ion battery installed share proportion reached 52%, the energy storage capacity of new was put into operation, lithium batteries in the renewable energy grid, auxiliary services and power distribution application accounted for 79%, 100% and 79% respectively.

Obviously, lithium battery is not only widely used in energy storage, but also its application speed is improving.

 Compared with last year, the price of the iron phosphate battery in 2017 has been reduced by about 20% to 30%, while the price reduction of the three-yuan battery is about 10% to 15%.

The decline in the cost of lithium battery prices will stimulate the rapid development of energy storage markets.

Although the price reduction of the three - yuan battery is small, the market application of the energy storage area is based on the lithium iron phosphate battery.

 Power lithium batteries are widely used in energy storage market, is bound to stimulate power battery enterprises industry layout, after all, as one of the most in the future market prospect of industry, energy storage with first-mover advantage in the field of lithium battery companies, its appeal is self-evident, but the mainstream of the electric car companies at home and abroad for the development of the energy storage market has never stopped.

 Tesla, for example, after according to foreign media reports, tesla will work with the French renewable energy generation operator Neoen company hand in hand to cooperate, south Australia's third largest state in Australia to build the world's largest lithium ion battery energy storage system, the system can provide 100 mw (129 mw) of energy storage.

In addition, byd, ningde era, watma, sequoia shares, guoxuan gaoke, huitao stock, lion technology and other domestic car companies and battery companies are also actively positioning the storage market.

 With the development of new energy industry, the future power will continue to reduce the cost of lithium-ion batteries, the personage inside course of study is expected, in 2025 the average price of lithium-ion batteries is about $109 per kilowatt-hour, in 2030 the average price is 73 $/ KWH.

 Adnanz. Amin, director-general of the international renewable energy agency (IRENA), said: "as battery storage technology improves and costs fall, utilities and small-scale distributed storage applications are likely to grow substantially.

In this dynamic low-carbon energy environment, it is now a critical moment for the application and development of energy storage technologies.