Global Battery Storage Investment to Reach $1.2 Trillion by 2034

The global energy transition requires US$1.2 trillion in battery storage investment by 2034. This funding will support over 5,900 GW of new wind and solar capacity. Wood Mackenzie research highlights the critical role of grid-forming technology (GFM) in this expansion. The report forecasts a US$5 trillion growth in renewable energy worldwide. Renewables will constitute over 80% of new capacity additions. GFM batteries are essential for maintaining grid reliability as global power demand rises 55% by 2034. Analysts project a 1,400 GW shortfall in GFM battery storage between 2024 and 2034. Recent grid instability events underscore the need for robust stability measures. Governments in China, the U.S., and Australia are implementing guidelines to boost battery storage deployment. Wood Mackenzie expects global battery capacity to triple by 2035. GFM functionality will likely become a standard requirement for new storage projects. This will enhance system reliability and optimize renewable energy use.