What is a storage policy?

All of the states with a storage policy in place have a renewable portfolio standard or a nonbinding renewable energy goal. Regulatory changes can broaden competitive access to storage such as by updating resource planning requirements or permitting storage through rate proceedings.

What are the different types of energy storage policies?

Approximately 17 states have adopted some form of energy storage policies, which broadly fall into the following categories: procurement targets, regulatory adaption, demonstration programs, financial incentives, and consumer protections. Below we give an overview of each of these energy storage policy categories.

Are policy changes threatening the storage industry?

“However, the industry stands at a crossroads, with potential policy changes threatening to disrupt this momentum.” In the near term, the report expects 15 GW/49 GWh of new storage capacity to be installed across all segments in 2025, with utility-scale installations projected to grow 22% year-over-year.

Will changes to federal policy slash future storage growth?

The five-year forecast for utility-scale storage remains solid, but looming changes to federal policy could slash future growth. If proposed changes to the Investment Tax Credit (ITC) in the House’s reconciliation bill become law, the total storage buildout over five years could fall 27% below the current base case.

Is there a 27-gw gap between Wood Mackenzie's 'High' and 'low' energy storage cases?

But state and federal policy uncertainty cloud the medium-term outlook for energy storage, resulting in a 27-GW gap between Wood Mackenzie’s five-year “high” and “low” cases, the report said.