Solar Energy Group Proposes Major Expansion of Grid Battery Storage by 2030

The U.S. solar industry is poised for significant advancements in electric grid battery storage. The Solar Energy Industries Association (SEIA) has set an ambitious goal of achieving 700 gigawatt-hours (GWh) of total installed battery capacity in the United States by 2030. This initiative, detailed in a comprehensive whitepaper, aims to deploy 10 million distributed storage installations nationwide, enhancing grid reliability and bolstering energy security.

To put this into perspective, one gigawatt of power can supply electricity to approximately 876,000 homes. A gigawatt-hour represents a sustained output of one gigawatt over an hour, meaning that 700 GWh could power more than 600 million homes for one hour. However, since the U.S. has around 145 million homes, the batteries would typically not need to release all stored energy simultaneously.

Currently, the U.S. energy storage capacity stands at 83 GWh, which includes nearly 500,000 distributed storage installations. Projections indicate that under standard conditions, this capacity may only reach 450 GWh by 2030. Experts emphasize that expanding energy storage is vital to meet the growing demands for clean energy. SEIA President and CEO Abigail Ross Hopper stated, “Expanding energy storage capacity is a crucial means of ensuring our nation’s energy security and resilience. As demand for energy soars, storage helps convert quick-to-build, low-cost solar generation into clean, dispatchable power, ensuring our grid can adapt to challenges, support critical infrastructure, and deliver reliable power to every community.”

The increasing use of artificial intelligence, the rise of data centers, and the growing frequency of extreme weather events are all stressing America’s aging grid infrastructure. Energy storage systems are proving to be essential for maintaining grid reliability and facilitating the shift to renewable energy. These systems allow for the storage of excess solar power generated during the day, which can then be used during peak demand periods or when sunlight is not available.

SEIA’s plan outlines the 700 GWh target in specific segments. Approximately 20% of installations (around 140 GWh) are aimed at on-site residential, commercial, and community storage, while the remaining 80% (or 560 GWh) would be sourced from grid-scale storage projects.

To realize these ambitious goals, SEIA has identified several key policy priorities in a whitepaper released in January, including:

• Preserving the federal tax credit for standalone storage.
• Reforming interconnection processes to enhance storage flexibility.
• Establishing affordable retail rates for storage charging.
• Supporting domestic manufacturing through targeted trade policies.
• Implementing state-level procurement programs.

Falling prices are driving the adoption of storage solutions. The median prices for residential systems have recently dropped below $2,000 per kilowatt, while utility-scale systems have fallen below $1,000 per kilowatt as of the end of 2023. Nevertheless, SEIA has highlighted ongoing supply chain constraints, which underscore the necessity for policies that promote domestic manufacturing.

The organization insists that storage deployment must be equitable, advocating for targeted support for vulnerable communities and areas that are disproportionately affected by extreme weather and poor air quality. This includes offering greater incentives for low-to-moderate income households and strategically deploying resources near critical infrastructure in underserved regions.

Additionally, SEIA is releasing a new 50-state guide to energy storage policies to assist stakeholders in navigating the complex regulatory landscape. The organization plans to collaborate with federal, state, and local policymakers to advance the necessary reforms and incentives to achieve its vision for 2030.