"Actionable Insights to Fuel Your Growth"
The global flywheel energy storage market size was valued at USD 281.29 million in 2022. The market is projected to grow from USD 301.86 million in 2023 to USD 535.26 million by 2030, exhibiting a CAGR of 8.53% during the forecast period.
Flywheel energy storage is a mechanical energy storage system that utilizes the kinetic energy of a rotating mass, or flywheel, to store and release energy. Flywheels store energy by spinning a heavy rotor at high speeds. When excess electricity is available, the motor accelerates the flywheel, converting electrical energy into kinetic energy. When power is needed, the kinetic energy is converted back into electricity as the flywheel decelerates. is trend of storing energy and conserving it while using it has boosted the market growth in the renewable energy sector.
Lockdowns and Restrictions Cause Project Delays, Impacting Global Operations
Various economies across the globe faced unmatched challenges from COVID-19, with people suffering from health, family, and financial conditions. Businesses also faced significant challenges. According to the Energy Storage Association (ESA) survey, industry stakeholders revealed devastating impacts on the energy storage industry.
Subsequently, major renewable and fossil-based energy-producing countries, such as China and the U.S., took stern actions to impede the growth of the novel coronavirus. Various governments across all the regions presented stringent action plans to reduce the spread of infection. The imposition of lockdowns and travel bans caused delays in several planned projects across the energy storage industry.
Furthermore, various stimulus packages were suggested by the Energy Storage Association (EPA) for the further development of the energy storage industry. The package includes:
Increasing Hybrid Projects is Responsible for More Upcoming Opportunities in Flywheel Energy Storage
The increasing number of hybrid projects is contributing to the growing demand for flywheel energy storage systems (FESS). Hybrid projects combine multiple sources of energy generation, often incorporating renewable sources, such as wind and solar, alongside traditional power generation methods. Flywheel energy storage plays a very important role in these projects for several reasons. The alternating nature of renewable energy sources can lead to fluctuations in power generation.
For Instance, in May 2022, the high-power maglev flywheel and battery storage AGC frequency regulation project, run by a thermal plant of China Huadian Corporation in Shuozhou, formally began construction in March 2022. It is now an operational project in China, which is the first flywheel battery storage project cast off in frequency regulation. It made the R&D process of the flywheel and battery control system ready to operate in mid-August and started its operation by the end of 2022.
Request a Free sample to learn more about this report.
Growing Electricity Demand for Increasing Energy Storage Installation to Drive Market Growth
Energy Storage Systems (ESS) can balance electrical energy supply and demand by consuming stored energy at times of high need, high generation cost, or when no alternative generation is available. The demand for energy continues to increase across various developing countries, such as Brazil, Russia, India, China, and South Africa; hence, this has increased energy prices. ESS is a vital necessity to aggregate traditional generating plants to meet increasing demand and supplement intermittent Renewable Energy Storage (RES) for their integration into the electrical network.
While some datasets exist that quantify the storage capabilities found in today's power systems, the current global installed capacity for energy storage struggles from a lack of widespread and accessible data and conflicting definitions regarding what should be included in the baseline; however, various governmental regulations have passed regulatory orders to overcome this issue.
For instance, in June 2023, Key Energy installed a three-phase FESS at a residence east of Perth, Western Australia. The 8 kW/32 kWh system was installed over two days in an above-ground enclosure, decreasing the time required to install the flywheel system.
Increasing Production Capacities for Environment-friendly Storage Systems to Boost Market Growth
As a counterpart to today’s electrical network, there is a high demand for reliable, cost-effective, long-lasting, and environmentally sound energy storage systems to support various energy storage applications. With advances in materials technology, bearings, and power electronics, the technology of flywheels for energy storage has significantly developed.
With the growing advancement and adoption of this technology in energy storage, various manufacturers operating in the market are enhancing their production capacities, resulting in the demand for FESS.
In June 2022, Amber Kinetics, Inc., a leading energy storage firm, focused on doubling its energy storage systems by increasing the production capacity of its manufacturing facility in Sto. Tomas, Batangas. With the second plant, the company expects to export its flywheels to other countries that need energy storage systems. Up to 70-80% of the existing plant’s output is for the local market, adding that a flywheel weighs about 2.5 tons.
Availability of Alternative Energy Storage Systems is Hindering Market Growth
The growth of alternative energy storage systems presents some challenges to the flywheel energy storage market growth. Alternative energy storage technologies include batteries, thermal systems, pumped hydropower, compressed air, superconducting magnets, and others.
For instance, according to the International Hydropower Association (IHA), the predicted pumped hydropower storage capacity is anticipated to grow by almost 50% – to about 240 GW by 2030.
In addition, batteries are the most scalable type of grid-scale storage, and the market has witnessed strong growth in recent years. As per the International Energy Association (IEA), worldwide investment in battery energy storage exceeded USD 20 billion in 2022, mainly in grid-scale deployment, which accounted for more than 65% of total spending in 2022.
To know how our report can help streamline your business, Speak to Analyst
Uninterrupted Power Supply Segment to Dominate Due to Rising Demand for Continuous Power Supply
Based on application, the market is segmented into an uninterrupted power supply, distributed energy generation, transport, data centers, and others.
The uninterrupted power supply segment held a larger share in 2022. The demand for continuous and uninterrupted energy is rapidly increasing across the globe. According to the IEA, the global energy demand rose by 6% in 2021. With the rising demand, interruptions and fluctuations are also increasing in the energy supply. This increases the demand for uninterrupted power supply.
For instance, in September 2022, Indian researchers assessed the full range of flywheel storage technologies. They presented a survey of different applications for uninterrupted power supply (UPS), transport, solar, wind, storage, Flexible AC Transmission System (FACTS) devices, and other applications.
The distributed energy generation segment is another lucrative application of flywheel energy storage, as it is known for providing faster power backup. The areas prone to natural disasters majorly install distributed energy generation so that such areas can access electricity during natural disasters.
Geographically, this market is studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.
Asia Pacific Flywheel Energy Storage Market Size, 2022 (USD Million)
To get more information on the regional analysis of this market, Request a Free sample
Asia Pacific accounts for a majority of the global flywheel energy storage market share. The rising demand for uninterrupted electricity is one of the major growth drivers for the market. China, South Korea, Japan, India, and the Philippines are largely adopting flywheel energy storage technology owing to its high efficiency and long service life advantage. The high demand for continuous electricity and rising investments in storage technology drive the market growth.
For instance, in March 2022, The high-power flywheel + battery storage AGC frequency regulation project, led by a thermal plant of China Huainan Corporation in Shuozhou, formally began construction. When finished, it will be China's first flywheel + battery storage project used in frequency regulation. The project has a budget of USD 4.6 million (33.72 million yuan) using a 5MW/5MWh BESS and a 2MW/0.4MWh flywheel storage system. The R&D process of the flywheel and battery control system will probably be completed, which will be ready to operate in August and will be online by the end of 2022. It will be the first application of the hybrid storage system in the power grid frequency regulation scenario in China.
North America is the most lucrative market as far as energy storage is concerned. The U.S. accounts for the majority of installed capacity in North America. For instance, in April 2021, the trial, staged with obtaining partner Sunbelt Rentals, assessed a FESS delivered by technology firm Punch Flybrid.
However, Canada is working extensively to enhance its flywheel energy storage capacity. Both countries have planned upcoming projects, and a few projects are underway for flywheel energy storage technology. The above factors drive the growth of the market.
For instance, in November 2022, NRStor worked on battery microgrid systems and is building Canada's first large-scale commercial FESS project, which will match carbon-free hydropower. NRStor is also building a 1,000-megawatt-hour battery plan with the Six Nations of the Grand River Development Corporation.
Europe is estimated to grow significantly during the forecast period. The transition toward renewable energy to achieve carbon-neutral status has driven growth for energy storage installation in Europe. Flywheel is a preferred technology owing to its environment-friendly nature and strong power capacity. Thus, the above factors drive market growth.
Latin America is likely to anticipate moderate growth during the forecast period. The region is going through a drastic energy transition. Several countries are rapidly transitioning from traditional sources of energy, such as hydroelectricity and crude oils, to a diverse energy mix, including various cleaner fuels. This challenges the region to meet the electricity demand across Latin America. Brazil, Jamaica, Argentina, Chile, and others are increasingly investing in and enhancing the capacity of energy storage systems.
The Middle East & Africa is expected to witness significant growth during the forecast period. The demand and installation of energy storage systems are widely increasing across the region owing to the rapidly growing demand for continuous electricity among the population. The installation of data centers is also increasing in the GCC. There are 22 data centers in Saudi Arabia and 9 in the UAE. These data centers also tend to adopt flywheel energy storage systems due to their benefits, such as high efficiency and reliability, easy maintenance, and more storage power.
Leading Players such as Langley Holdings Plc are Introducing Long-Duration Flywheel Energy Storage Systems
Amber Kinetics Inc. is a leading player in the flywheel energy storage market, collaborating with many public and private entities. In September 2023, Orlando Utilities Commission (OUC), a Florida-based water and electric utility company, partnered with Amber Kinetics to install a 64 kWh FESS. Commissioned in April 2022, Amber Kinetics flywheels supports OUC's Grid Integration Laboratory (GIL) research program, among other renewable technologies.
Langley Holdings plc has subsidiaries, such as Piller Group GmbH. Piller’s kinetic energy storage product gives the designer a chance to save space and enhance power density per unit.
The report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product/service types, and leading applications of the product. Besides, the report offers insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that contributed to the growth of the market in recent years.
To gain extensive insights into the market, Request for Customization
CAGR of 8.53% from 2023 to 2030
Value (USD Million)
A study by Fortune Business Insights states that the global market was USD 281.29 million in 2022.
The global market is projected to grow at a CAGR of 8.53% over the forecast period.
The market size in Asia Pacific stood at USD 126.97 million in 2022.
Based on application, the uninterrupted power supply segment holds a dominating share of the global market.
The global market size is expected to reach USD 535.26 million by 2030.
Rising demand for electricity is propelling the market growth.
Langley Holdings plc, Amber Kinetics, Beacon Power, and Adaptive Balancing Power GmbH Inc. are some of the top players actively operating across the market.
“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”- U.S.-based biotechnology company focussing on treatment of chronic pain.
“Kudos to your team. Thank you very much for your support and agility to answer our questions.”- Europe-based provider of solutions to automate data centre operations.
“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”- India-based manufacturer of industrial and specialty intermediates with a strong global presence.
“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”- One of the largest cosmetics company in the world.
“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”- U.S. based startup operating in the cultivated meat market.
“We received the below report on the U.S. market from you. We were very satisfied with the report.”- Global hearing aids manufacturer.
“I just finished my first pass-through of the report. Great work! Thank you!”- U.S. based solar racking solutions provider.
“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”- World’s leading advisory firm.
“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”- Germany based machine construction company.
“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”- Japanese manufacturing company of stationery products.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry