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# BNEF expects global energy storage deployments to reach 188GW in 2026
- URL: https://www.energyinsider.io/bnef-global-energy-storage-deployments-188gw-2026/
- Published: 2026-10-24T15:03:10.000Z
- Updated: 2026-10-24T15:03:10.000Z
- Description: BloombergNEF has raised its 2026 forecast to 188GW/535GWh, a 45% rise on last year's record, as data centres, co-located solar and protectionist policy shape the market.
- Author: Editorial Team
- Tags: Energy Storage, BESS, Policy, Data Centres, #energyinsider-auto

BloombergNEF (BNEF) expects global energy storage deployments to reach 188GW/535GWh in 2026, up 45% on 2025, and projects cumulative capacity of 3.1TW by 2036.

The figures come from the second-half 2026 edition of the research provider's Energy Storage Market Outlook. They exclude pumped hydro.

The 2026 forecast is an upward revision from the 158GW/459GWh BNEF published in the first-half edition. Last year's record of 112GW/307GWh was reached despite a slowdown in global solar PV and wind additions. A year earlier, BNEF had forecast 92GW/247GWh for 2025, and the outturn proved considerably higher.

BNEF forecasts 209GW/638GWh for 2027\. That figure includes faster buildout in emerging markets such as Spain, the UAE, Chile and Japan.

## Cumulative capacity and market spread

BNEF puts global cumulative installed capacity at 3,098GW/11,106GWh by 2036\. That is about ten times the 307GW/747GWh expected by the end of 2025, and an 8% upward revision on the estimate issued six months earlier.

Growth is spreading beyond established markets, according to BNEF. Mainland China, the US and Australia are expected to account for 62% of additions. India is forecast to deploy more than 6GW this year, and the UK and Germany are also expected to be major contributors.

China and the US together made up 70% of deployments in 2025, so their combined share is expected to dip slightly as other markets grow.

## Data centres enter the US forecast

For the first time, BNEF has included on-site energy storage for data centres in its US deployment forecast. It sits within the end-user category. Battery backup units and uninterruptible power systems are excluded. Power purchase agreements for storage co-located at data centres are counted in utility-scale forecasts.

BNEF estimates 0.5GW/1.4GWh was deployed as on-site data centre storage in 2025\. It expects that to rise to 4.9GW/7.4GWh this year and 6.3GW/8.4GWh in 2027, which it anticipates will be the peak.

## Three trends shaping the market

BNEF identified three dominant trends: protectionist and supply chain policies, growing deployment of battery energy storage systems (BESS) co-located with solar PV, and rising lithium prices.

**Lithium costs.** Lithium prices have climbed since the latter part of 2025\. BNEF said they had risen tenfold since October last year, reaching US$11.5/kWh by May 2026\. Over the same period, prices for lithium iron phosphate (LFP) BESS cells in China more than doubled. LFP materials make up roughly half the cost of a complete system.

**Protectionist policy.** BNEF described the US as the "most aggressive" government in pursuing such measures, though others have moved in the same direction. US measures include:

- The One Big Beautiful Bill Act kept the investment and production tax credits introduced under the previous administration. It added restrictions on projects and factories receiving foreign entity of concern assistance above a certain threshold.
- New Section 301 tariffs further increased import duties on Chinese batteries, which were already set to rise.
- Foreign-made inverter equipment must come from a Federal Communications Commission-approved list.
- An Executive Order issued in August further prohibited installation of bulk power system equipment, including power conversion systems, transformers and BESS.

The EU and Japan have taken similar steps on cybersecurity and the restriction or control of foreign power electronics imports, alongside domestic content policies. India, South Korea and Brazil have introduced policies to encourage domestic production and use.

**Solar co-location.** China leads the trend of pairing BESS with renewables, mainly solar. At the end of 2025, global operational utility-scale storage co-located with solar stood at 69.3GW/195.6GWh, alongside 303.6GW of solar PV. In gigawatt terms, around 61% of that was in China, which had 42.4GW of storage co-located with 244GW of solar.

The US, Australia and Chile are the other leading markets for solar-plus-storage. BNEF said a growing number of countries, including India, the Philippines and Vietnam, have introduced mandates to promote co-location or integration of solar and storage.