Are battery storage systems a primary electricity source?

Battery storage systems are not a primary electricity source, meaning the technology does not create electricity from a fuel or natural resource. Instead, batteries store electricity that has already been created from an electricity generator or the electric power grid, which makes energy storage systems secondary sources of electricity.

How do utilities use batteries to improve grid reliability?

Utilities can also make use of batteries to improve grid reliability with services that support the transmission of electricity, known as ancillary services. One type of ancillary service is frequency regulation, which is the most common use case reported at least once for battery capacity.

Will battery storage set a record in 2025?

In 2025, capacity growth from battery storage could set a record as operators report plans to add 19.6 GW of utility-scale battery storage to the grid, according to our January 2025 preliminary electric generator inventory data.

Can batteries move electricity from low to high prices?

Electricity utilities increasingly report using batteries to move electricity from periods of low prices to periods of high prices, a strategy known as arbitrage, according to new detailed information we recently published.

How much battery storage capacity does a generator have in 2024?

In the United States, cumulative utility-scale battery storage capacity exceeded 26 gigawatts (GW) in 2024, according to our January 2025 Preliminary Monthly Electric Generator Inventory. Generators added 10.4 GW of new battery storage capacity in 2024, the second-largest generating capacity addition after solar.

How do utilities charge batteries?

In arbitrage, utilities charge batteries by buying electricity during low-cost periods and then sell that electricity when electricity prices increase. Utilities can also make use of batteries to improve grid reliability with services that support the transmission of electricity, known as ancillary services.