Large-capacity lithium-battery energy storage is rapidly becoming a reality.

Since 2023, energy storage capacity has entered a phase of “rapid, unchecked growth.” In particular, the latest round of competition—driven by next-generation storage products exceeding 5 MWh—has now reached a fever pitch.

In early September, Envision Energy directly increased the capacity of its energy storage systems to over 8 MWh. This clearly indicates that the 5 MWh system may have only served as a short-lived standard for the “first-generation” of grid-scale energy storage products. Meanwhile, the competition in developing “second-generation” high-capacity systems with 6 MWh or more has already turned into a fiercely competitive red ocean.

According to incomplete statistics from GGII Energy Storage, companies including Sungrow Power Supply, CATL, BYD Energy Storage, CRRC Zhuzhou Institute, EVE Energy, Envision Energy Storage, CALB, Trina Storage, Nandu Power, Svolt Energy, and Ruipu Lanjun have successively announced or disclosed that they are developing next-generation high-capacity energy storage products.

At the foundational level, competition in large-capacity energy storage is primarily cost-driven. As the sector plunges into frenzied overcompetition, whoever cracks the code to achieving the ultimate price-performance ratio will ultimately secure the decisive advantage.

However, a deep-dive into the underlying “drivers” could determine who will define the future of next-generation large-scale energy storage.

According to a review by High-Tech Energy Storage, two dominant forces currently seeking to shape the future of large-scale energy storage are emerging in the sector.

Defining the Two Main Forces in Large-Capacity Energy Storage

The first category comprises battery-cell manufacturers such as CATL, BYD, EVE Energy, Envision AESC, Trina Storage, CALB, Svolt Energy, and Ruipu Lanjun, as well as system integrators that possess in-house battery-cell R&D capabilities.

According to analysis by GGII Energy Storage, such companies are continuously exploring the field of high-capacity battery cells, aiming to redefine energy storage through innovations in this area. A particularly emblematic example is CATL’s Tianheng system, which boasts a 6.25 MWh capacity with zero degradation over five years and is equipped with 587 Ah high-capacity energy-storage cells.

At this launch event, CATL downplayed the battery cell’s capacity while, as in the power-train sector, emphasizing zero degradation over the first five years and high energy density. The company aims to articulate or define the future of energy storage through a different set of terms.

In addition, during GaoGong Energy Storage’s visit to CATL’s energy-storage battery factory, CATL emphasized that its battery cells can achieve a PPB-level failure rate. According to information obtained by GaoGong Energy Storage, this metric originates in the power-train sector and represents the highest specification for cell failure rates in that field.

In the energy storage sector, this metric can be scaled up to TWh-scale storage plants, which translates into a remarkably low cell failure rate and exceptionally high cell safety assurance.

In the battery cell sector, companies such as CATL, BYD, and Envision Energy are vigorously shaking up the large-scale energy storage market.

However, this move by battery-cell manufacturers has clearly prompted the second major player—the system integrators led by Sungrow Power Supply and CRRC Zhuzhou Institute—to swiftly step in and join the effort to define high-capacity energy storage. Their aim is to standardize a single high-capacity battery cell from a system-level perspective, thereby establishing a unified definition for high-capacity energy storage.

At the system level, the advantages of large-capacity energy storage are quite evident: the primary players engaging with domestic and international project owners are energy-storage system manufacturers. Among them, Sungrow has maintained its position as the top Chinese supplier of energy-storage systems globally for eight consecutive years and boasts end-to-end, in-house R&D capabilities. Another key player, CRRC Zhuzhou Institute, also ranked first in China’s energy-storage-system shipments in 2023. Based on the above, it is highly likely that system integrators will be the ones to define the standards for large-capacity energy storage.

First, from Sungrow’s perspective, its adoption of the standardized 314 Ah second-generation energy-storage cell has already served as a market-leading initiative. By focusing on delivering just one kilowatt-hour of energy while eliminating excess capacity, Sungrow, in collaboration with leading cell manufacturers, has defined the 314 Ah energy-storage cell that is now being deployed at scale.

Given its longstanding expertise in battery-cell R&D and testing, Sungrow naturally aspires to “define” or “lead the way” in the next-generation mainstream high-capacity energy-storage systems.

However, another player in the domestic energy-storage market that has achieved “rocket-like” breakthroughs—CRRC Zhuzhou Institute—made a highly sensational move in September: it joined forces with 14 leading component manufacturers to unveil the next-generation high-capacity energy-storage system.

As previously reported by High-Tech Energy Storage, CRRC Zhuzhou Institute has teamed up with several well-known component manufacturers in the industry this time, including battery cell producers such as CN Innovation and Lanjun New Energy.

Interestingly, On August 28, CATL Innovation, a leading player in the battery cell sector, held an event themed “Co-create Greatness, Co-create Beauty.” 2024 CATL Global Ecosystem Conference Published on “Zhi Jiu Series” Energy Storage Products , in the future, CATL Innovation will Phase-wise launches will include long-life 20-foot DC-side containerized energy storage products with capacities of 6.25 MWh and 6.8 MWh, both compatible with a 2,000 V voltage platform, along with 392 Ah battery cells for the 6.25 MWh container and 625 Ah+ battery cells for the 6.8 MWh container. 。

It is evident that, on the one hand, leading battery-cell manufacturers are collaborating with system integrators such as Sungrow Power Supply and CRRC Zhuzhou Institute to launch the development of next-generation high-capacity energy-storage systems; on the other hand, these battery-cell firms aim to leverage their own expertise in energy storage to research, develop, and introduce next-generation high-capacity systems.

“Variables” Outside the Mainstream势力

It is worth noting that there is currently no standardized manufacturing process for battery cells. For a long time, winding and stacking have been in a state of fragmented competition, with stacking technology increasingly gaining traction amid the trend toward higher-capacity batteries.

With blade batteries as its trump card BYD , continuing to leverage this technology in the energy-storage sector, with cell dimensions and specifications that differ markedly from mainstream prismatic lithium-iron-phosphate cells, and a system-capacity architecture that stands on its own.

Another company that uses the stacking process 蜂巢能源 It adheres to the “short-blade plus flying-stack” approach and has also established its own distinct niche in the high-capacity energy-storage sector.

In addition, in the energy storage sector, it has consistently adopted a rather bold approach. EVE Energy was among the first to launch a 628 Ah energy-storage battery cell and has also begun developing its own system-level solutions, with the “MR Gight” series undergoing continuous iteration.

Beyond the lack of standardized dimensions and specifications in the battery cell sector, The battle to define the next generation of high-capacity energy storage is now unfolding between Sungrow Power Supply and CRRC Zhuzhou Institute in the systems sector. This clearly demonstrates that the competition to shape the future of high-capacity energy storage is not merely a showdown between two major camps—it is, above all, a contest among individual companies.

At this pivotal moment in September of this year, CRRC Zhuzhou Institute has seized the initiative by being the first to unveil what it calls the next-generation energy-storage system, with a clearly ambitious vision for redefining the energy-storage landscape—and it has done so by forging strategic alliances with 14 leading component suppliers. According to Gaogong Energy Storage, CRRC Zhuzhou Institute has not only taken the lead but has also pioneered a collaborative, industry-wide “alliance of equals” across the value chain.

In such a highly charged and tense environment, who will define the future of large-scale energy storage, and how will it compete with other technological pathways? It is certainly something to look forward to.

Source: GGII Energy Storage