GRID-SCALE AND DISTRIBUTED ENERGY STORAGE, 2010–2026: A COMPREHENSIVE REVIEW OF TECHNOLOGIES, MARKETS AND POLICY FRAMEWORKS

Abstract

Energy storage is now a central enabler of electricity system decarbonisation. It addresses the intermittency of solar and wind generation and provides the flexibility services that high-renewable power systems require. Scope and method: This study is a state-of-the-art review covering the period 2010–2026. It synthesises peer-reviewed literature and verified industry data across electrochemical, mechanical, chemical and thermal storage pathways, their economics, grid applications and policy frameworks, with a new dedicated treatment of the African context. Principal findings: Lithium-ion battery pack prices fell to a record low of USD 108/kWh in 2025, 93% below 2010 levels, while stationary storage packs reached USD 70/kWh [1, 2]. Global annual battery storage additions reached 108 GW in 2025, about 40% above 2024, and cumulative global storage capacity approached 460 GW [3, 4]. Turnkey utility-scale system costs fell about 40% between 2023 and 2024, but with pronounced regional divergence: approximately USD 101/kWh in China, USD 236/kWh in the United States and USD 275/kWh in Europe. Levelised cost of storage analysis shows lithium-ion dominates durations below 4–6 h, while pumped hydro, compressed air and hydrogen pathways are competitive at longer durations. The January 2025 fire at the Moss Landing facility in California, which damaged about 55% of some 100,000 battery modules, shows that safety engineering and standards enforcement must scale with deployment [5]. Implications: The study concludes that storage is cost-competitive for short-duration flexibility, that long-duration and seasonal storage remain the principal technology gap, and that weak-grid and diesel-displacement applications represent the dominant near-term commercial case for storage in sub-Saharan Africa. Actionable recommendations are offered for policymakers, industry stakeholders and researchers.