Global lithium-ion battery deployments over the next five years will grow by 55 percent annually, according to a new report from GTM Research.
The accelerating deployments are made possible by a flurry of interconnected trends, the report says. The demand for EV batteries has incentivized a “massive” build-out in production capacity, which reduces the cost of batteries for grid applications. Meanwhile, lab research continues to improve energy density through ongoing component developments. Then, once electric cars have had a few more years on the road, their used batteries will become cheap, secondhand stationary storage devices.
Authors Mitalee Gupta and Ravi Manghani expect battery pack prices to fall from $219/kilowatt-hour in 2017 to $39/kilowatt-hour in 2040, an 82 percent reduction.