Battery storage: from capacity to purpose

The IEA reports that 108 GW of battery storage was added worldwide in 2025, a 40% increase on 2024. Its review describes battery storage as the fastest-growing power technology and highlights the prominent role of lithium iron phosphate chemistry in deployment.

Growth does not make every battery suitable for every task. Power determines the rate of charging or discharge; energy capacity determines the quantity that can be stored. The useful duration also depends on the state-of-charge window, losses and operating reserves.

NEC perspective: GridMax evaluates ESS and AI around the customer’s existing electricity supply. The business case should identify the duty first—peak management, tariff shifting, renewable self-consumption or defined resilience—and then test whether the expected revenue or avoided cost justifies the system.

Ask for assumptions on degradation, cycling, thermal management, fire response, maintenance and end-of-life arrangements. A storage proposal should make the expected operating pattern understandable. A battery is a controlled energy asset; it does not generate additional energy on its own.

Explore the related NEC topic →