The era of cheap Chinese solar + storage is ending – here''s why
Bottom line is, ultra-cheap solar and storage gear is on its way out. The next phase of the energy transition will likely come with higher but more sustainable prices.
China's energy storage sector has experienced rapid growth over the past two years and is expected to maintain strong momentum going forward, as the country continues to expand its renewable energy capacity, said industry experts.
One-third of China's 121 listed solar producers are in the red; more than 50 along the supply chain have filed for bankruptcy this year. Energy Summit panellists say that Brasília needs to act quickly on framework for energy storage and long-term concessions.
In this Q&A, Carbon Brief explores how China has been driving the sector forwards and how it fits into the nation's wider energy transition. China is currently the world's largest market for energy storage, followed by the US and Europe, according to BloombergNEF.
In eastern Chinese city of Changzhou, air compressed to over 120 atmospheres in salt caverns 1,000 meters underground is used for energy storage. The heat generated is transferred to thermal oil, and then the electricity is regenerated on command.
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