BNEF Brief: Execs Question the Business Health of Batteries

The video discusses the challenges faced by investors and developers in Europe due to the small scale of the energy storage industry. It highlights the disparity between the global installation of wind and solar energy compared to energy storage. The video predicts a new phase of renewable energy deployment, combining low-cost wind and solar with energy storage, leading to significant growth in battery capacity by 2040. Despite falling costs, the industry faces scale issues. Key drivers for future growth include cost reductions and the need for decarbonization, replacing thermal power plants with renewables and energy storage for flexibility.

What is the main challenge faced by investors and developers in Europe regarding energy storage?

• High costs of energy storage

• Small scale of the industry

• Lack of government support

• Insufficient technology

What is expected to drive the new phase of renewable energy deployment?

• Government subsidies

• Pairing low-cost wind and solar with energy storage

• Increased fossil fuel usage

• Higher energy consumption

How have lithium prices changed recently?

• Decreased by 84%

• Fluctuated unpredictably

• Remained stable

• Increased by 84%

What are the two main factors driving the future uptake of energy storage?

• Government policies and public awareness

• Falling costs and decarbonization

• International agreements and collaborations

• Technological advancements and market demand

Why is energy storage important in the transition to renewable energy?

• It reduces the need for solar panels

• It eliminates the need for wind turbines

• It increases energy consumption

• It provides a source of flexibility