Storage was solar’s co-star in 2023, a record-breaking year for both: American Clean Power

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Energy storage installations experienced significant growth last year, nearly doubling to approximately 16 GW from 8 GW in 2022, resulting in a total hybrid project capacity of over 30.7 GW, as per the American Clean Power Association's 2023 annual market report. Solar-plus-storage accounted for 95% of the 11 GW of new hybrid capacity added in 2023, setting a new record in the hybrid sector. Solar developers also achieved a record deployment of 32 GW of capacity last year, marking the first time the industry surpassed 30 GW in annual installations.

Regarding energy storage, the industry is witnessing a surge in demand stemming from factors such as the Inflation Reduction Act's investment tax credit for standalone energy storage and the increasing appeal of selling power during peak demand times amidst extreme weather events and volatile power prices. The expansion of battery storage projects, particularly within hybrid installations, which are becoming increasingly popular due to federal tax credits, indicates a positive trend. However, the industry leaders warned that the ongoing lack of new transmission infrastructure poses a threat to the future of the clean energy sector in the U.S.