Pumped Hydro Storage Market

Hydropower Generation is the largest segment driving the growth of Pumped Hydro Storage Market

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The global Pumped Hydro Storage Market is estimated to be valued at US$ 348.25 Bn in 2023 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Pumped hydro storage uses pumps to store energy in the form of gravitational potential energy of water, which can be converted back to electricity as required. This is majorly used in the electrical grid for load balancing and to improve power quality.

Market key trends:
One of the key trends in the pumped hydro storage market is the rising deployment of these systems for grid-scale energy storage. Pumped hydro storage provides large-scale long-duration energy storage capabilities for renewable power like solar and wind. As the share of renewable energy increases in the overall energy mix, the need for long-duration storage is also growing to balance demand with intermittent renewable power supply. Pumped hydro storage can time-shift the generation from renewable resources and helps integrate more renewables into the grid in a stable and cost-effective manner. This is driving increased investments in new pumped hydro storage projects as well as capacity enhancements of the existing systems worldwide.
Market key trends:
The pumped hydro storage market has been witnessing high adoption of large scale storage systems owing to increasing need for managing intermittent renewable energy resources such as solar and wind. Large utility-scale pumped hydro storage systems allow flexible storage of large amounts of potential energy by moving water between reservoirs at different elevations. This helps ensure grid reliability and balance variability in electricity generation from renewable sources.

SWOT Analysis
Strengths: Large storage capacity, reliable and cost-effective grid balancing solution. Renewables integration and ancillary services.
Weaknesses: High initial capital investment, long lead times in development and approvals. Site specific with geographical and topological constraints.
Opportunities: Increasing share of variable renewables, need for long-duration storage solutions. Regional capacity expansion programs.
Threats: Slow policy and regulatory support, competition from alternative storage technologies. Requirement of suitable land and water resources.

Key Takeaways
The global Pumped Hydro Storage Market Share  is expected to witness high growth, exhibiting CAGR of 6.9% over the forecast period 2023 to 2030, due to increasing penetration of renewable energy sources globally.

Regional analysis: Asia Pacific dominates the market currently owing to significant installed base and regional expanion plans in China, Japan and India. Countries like India are expected to offer high growth potential as they promote pumped hydro storage to address intermittency issues in solar and wind generation.

Key players operating in the pumped hydro storage market are Operators (Duke Energy Corporation, EON SE, Enel SPA, Electricite de France SA, and Iberdrola SA) and Technology Providers (General Electric Company, Siemens AG, Andritz AG, Mitsubishi Heavy Industries, Ltd, Voith GmbH & Co. KGaA, and Ansaldo Energia SpA). With a global installed capacity of over 127 GW, pumped hydro storage plays a significant role in large-scale grid energy storage.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it