The global thermal energy storage market size was US$3.7 billion in 2021. The global thermal energy storage market is forecast to grow to US$ 7.1 billion by 2030, registering a compound annual growth rate (CAGR) of 6.5% during the forecast period from 2022 to 2030. 

Thermal energy storage (TES) is among the most efficient and eco-friendly energy-saving solutions. This process is used to transfer energy without involving chemical conversion.

Factors Influencing the Market 

The increasing demand for the decarbonization of the energy segment is driving the growth of the global thermal energy storage market. In addition, rising government initiatives to decrease carbon emissions in order the control climate change will benefit the global thermal energy storage market. 

The beneficial factors of thermal energy storage in CSP plants, such as improved reliability, better efficiency, and low investment costs, will propel the growth of the global thermal energy storage market during the forecast period. 

Thermal energy storage offers benefits, such as overcoming the intermittency of the solar resource. In addition, it also reduces the Levelized Cost of Energy (LCOE) through using power for extended periods. As a result of all these factors, the global thermal energy storage market will grow significantly. 

Increasing demand for renewable energy sources and continuous power supply is forecast to benefit the global thermal energy storage market. Furthermore, high demand for thermal energy storage in ventilation and air conditioning (HVAC) will boost the market growth.

The shortage of skilled laborers may hamper the growth of the global thermal energy storage market. 

Regional Analysis

North America will hold the highest share in the global thermal energy storage market during the study period. The region is witnessing high demand for thermal energy. In addition, growing awareness about the benefits of renewable energy over non-renewable is forecast to fuel the growth of the market. 

In addition, the present energy storage technologies connected with United States' grid are thermal storage, pumped-storage hydropower (PSH), batteries, compressed air energy storage (CAES), and flywheels. Thermal storage holds the highest share in the United States energy storage capacity. Furthermore, the growing population and urbanization will increase the demand for power generation. Thus, the regional market for thermal energy storage will witness favorable growth opportunities. 

COVID-19 Impact Analysis

Due to the disruptions created by the COVID-19 pandemic, the global thermal energy storage market witnessed several challenges. Due to the pandemic, the focus of governments shifted towards the healthcare segment. Moreover, lockdown restrictions also hampered the manufacturing activities, thereby negatively impacting the overall thermal energy storage market. 

Market Segmentation

The global thermal energy storage market segmentation focuses on Application, Type, Technology, and Region. 

By Application

• Residential
• Commercial & Industrial
• Utility

By Type

• Water
• Molten Salt
• Phase Change Material

By Technology

• Sensible Heat Storage
• Latent Heat Storage
• Thermochemical Storage

By Region

• North America
• The U.S.
• Canada
• Mexico
• Europe
• Western Europe
• The UK
• Germany
• France
• Italy
• Spain
• Rest of Western Europe
• Eastern Europe
• Poland
• Russia
• Rest of Eastern Europe
• Asia Pacific
• China
• India
• Japan
• Australia & New Zealand
• ASEAN
• Rest of Asia Pacific
• Middle East & Africa (MEA)
• UAE
• Saudi Arabia
• South Africa
• Rest of MEA
• South America
• Brazil
• Argentina
• Rest of South America

Competitors in the Market

• Abengoa Solar
• Burns & McDonnell
• SolarReserve
• BrightSource Energy
• Calmac, MAN Energy Solutions
• Baltimore Air Coil Technology
• Cristopia Energy
• Cryogel
• Caldwell Energy
• Dunham Bush
• Goss Engineering
• Steffes Corporation
• DN Tanks
• Other Prominent Players