Product Code: FBI113866
Growth Factors of off-grid battery energy storage Market
The global off-grid battery energy storage market is experiencing rapid expansion driven by rising demand for clean, reliable, and independent power solutions. According to the latest data, the market was valued at USD 15.24 billion in 2024, is projected to increase to USD 19.99 billion in 2025, and is expected to reach USD 72.56 billion by 2032, growing at an exceptional CAGR of 20.22% over the forecast period. This surge reflects global efforts to extend energy access to remote regions, reduce dependency on fossil fuels, and support renewable power integration.
Off-grid battery storage systems are vital in areas where grid connectivity is unavailable, unreliable, or economically infeasible. These systems store energy generated from renewable sources-primarily solar and wind-and deliver stable electricity during periods of low generation. The technology has become indispensable for rural communities, remote mining sites, telecom towers, defense installations, agricultural operations, and island nations where grid expansion is costly or impractical. The increasing affordability of lithium-ion batteries and falling solar PV installation costs are accelerating global adoption, making off-grid systems more accessible than ever before.
The market is supported by leading players such as EnerSys, SAFT, and LG Energy Solution, which offer advanced lithium-ion, LFP, and nickel-based chemistries designed for industrial, residential, and remote infrastructure use. These companies provide high-efficiency, long-lifespan battery modules that meet the diverse needs of telecom operators, off-grid communities, and off-grid commercial installations. LG Energy Solution's lithium-ion and LFP solutions, for example, are widely deployed in residential and commercial applications where compact design and high energy density are essential.
A major driver of market growth is the expansion of telecom and remote infrastructure networks. As telecommunications service providers extend their coverage into rural regions across Africa, Asia, and Latin America, they require dependable energy solutions for powering cell towers in locations where grid access is scarce. In May 2025, Sonnen announced a partnership with Abundance Energy and Energywell Technology Licensing to deploy a battery-enabled virtual power plant (VPP) in Texas, demonstrating how off-grid battery systems are also contributing to broader energy resilience and grid stability initiatives.
Despite strong drivers, the market faces restraints, mainly due to the high initial investment required for battery storage systems. Lithium-ion batteries, charge controllers, inverters, and solar PV arrays often involve heavy capital expenditure, which can be prohibitive for low-income households, rural communities, and small enterprises. Limited access to subsidies, financing, or leasing models slows adoption, especially in developing nations. As a result, many users continue to rely on diesel generators, despite their environmental drawbacks and long-term operational costs.
However, the market presents significant opportunities driven by government investment in clean energy infrastructure. In June 2025, the Indian government approved USD 616.24 million in viability gap funding for 30 GWh of battery storage, along with compensation reforms and ultra-high-voltage transmission line developments. These initiatives signal strong policy support for battery storage expansion and renewable energy integration-an important catalyst for off-grid storage adoption in rapidly developing energy markets.
A key industry trend is the rising uptake of solar and battery kits, which are increasingly affordable, plug-and-play, and optimized for rural users and small businesses. These systems provide an independent energy source that bypasses the need for complex grid infrastructure. Declining prices of lithium batteries and solar panels further enhance their appeal for households, farms, schools, and clinics in underserved regions.
Regionally, Asia Pacific dominates the global market, valued at USD 7.99 billion in 2024. The region's high solar irradiation, large rural population, and government-backed electrification programs in India, Indonesia, Myanmar, and the Philippines drive strong adoption. North America and Europe also show significant growth due to resilience needs, renewable integration, and decentralized energy initiatives. Meanwhile, Sub-Saharan Africa and Latin America remain high-potential markets as millions still lack access to reliable electricity.
In conclusion, with its strong rise from USD 15.24 billion (2024) to USD 72.56 billion (2032), the off-grid battery energy storage market is poised for transformative global impact, driven by clean energy adoption, telecom expansion, rural electrification, and advancements in battery technology.
Segmentation By Battery Type
- Lithium-ion Batteries
- Lead-Acid Batteries
- Flow Batteries
- Others
By Capacity
- Small Scale
- Medium Scale
- Large Scale
By Application
- Residential
- Commercial
- Industrial
By Geography
- North America (By Battery Type, By Capacity, By Application, By Country)
- U.S. (By Battery Type)
- Canada (By Battery Type)
- Europe (By Battery Type, By Capacity, By Application, By Country)
- U.K. (By Battery Type)
- Germany (By Battery Type)
- Italy (By Battery Type)
- Rest of Europe (By Battery Type)
- Asia Pacific (By Battery Type, By Capacity, By Application, By Country)
- China (By Battery Type)
- Japan (By Battery Type)
- Australia (By Battery Type)
- South Korea (By Battery Type)
- Rest of Asia Pacific (By Battery Type)
- Rest of the World (By Battery Type, By Capacity, By Application, By Country)
Table of Content
1. Introduction
- 1.1. Research Scope
- 1.2. Market Segmentation
- 1.3. Research Methodology
- 1.4. Definitions & Assumptions
2. Executive Summary
3. Market Dynamics
- 3.1. Market Drivers
- 3.2. Market Restraints
- 3.3. Market Opportunities
4. Key Insights
- 4.1. Key Emerging Trends - For Major Countries
- 4.2. Latest Technological Advancement
- 4.3. Insight on Regulatory Landscape
- 4.4. Porters Five Forces Analysis
- 4.5. Impact of Tariffs on the Off-Grid Battery Energy Storage Market
5. Global Off-Grid Battery Energy Storage Market (USD Million, MW) Analysis, Insights, and Forecast, 2019-2032
- 5.1. Key Findings
- 5.2. Market Analysis, Insights, and Forecast - By Battery Type
- 5.2.1. Lithium-ion Batteries
- 5.2.2. Lead-Acid Batteries
- 5.2.3. Flow Batteries
- 5.2.4. Others
- 5.3. Market Analysis, Insights, and Forecast - By Capacity
- 5.3.1. Small Scale
- 5.3.2. Medium Scale
- 5.3.3. Large Scale
- 5.4. Market Analysis, Insights, and Forecast - By Application
- 5.4.1. Residential
- 5.4.2. Commercial
- 5.4.3. Industrial
- 5.5. Market Analysis, Insights, and Forecast - By Region
- 5.5.1. North America
- 5.5.2. Europe
- 5.5.3. Asia Pacific
- 5.5.4. Rest of the World
6. North America Off-Grid Battery Energy Storage Market (USD Million, MW) Analysis, Insights, and Forecast, 2019-2032
- 6.1. Key Findings
- 6.2. Market Analysis, Insights, and Forecast - By Battery Type
- 6.2.1. Lithium-ion Batteries
- 6.2.2. Lead-Acid Batteries
- 6.2.3. Flow Batteries
- 6.2.4. Others
- 6.3. Market Analysis, Insights, and Forecast - By Capacity
- 6.3.1. Small Scale
- 6.3.2. Medium Scale
- 6.3.3. Large Scale
- 6.4. Market Analysis, Insights, and Forecast - By Application
- 6.4.1. Residential
- 6.4.2. Commercial
- 6.4.3. Industrial
- 6.5. Market Analysis, Insights, and Forecast - By Country
- 6.5.1. U.S. Market Analysis, Insights, and Forecast - By Battery Type
- 6.5.1.1. Lithium-ion Batteries
- 6.5.1.2. Lead-Acid Batteries
- 6.5.1.3. Flow Batteries
- 6.5.1.4. Others
- 6.5.2. Canada Market Analysis, Insights, and Forecast - By Battery Type
- 6.5.2.1. Lithium-ion Batteries
- 6.5.2.2. Lead-Acid Batteries
- 6.5.2.3. Flow Batteries
- 6.5.2.4. Others
7. Europe Off-Grid Battery Energy Storage Market (USD Million, MW) Analysis, Insights, and Forecast, 2019-2032
- 7.1. Key Findings
- 7.2. Market Analysis, Insights, and Forecast - By Battery Type
- 7.2.1. Lithium-ion Batteries
- 7.2.2. Lead-Acid Batteries
- 7.2.3. Flow Batteries
- 7.2.4. Others
- 7.3. Market Analysis, Insights, and Forecast - By Capacity
- 7.3.1. Small Scale
- 7.3.2. Medium Scale
- 7.3.3. Large Scale
- 7.4. Market Analysis, Insights, and Forecast - By Application
- 7.4.1. Residential
- 7.4.2. Commercial
- 7.4.3. Industrial
- 7.5. Market Analysis, Insights, and Forecast - By Country
- 7.5.1. UK Market Analysis, Insights, and Forecast - By Battery Type
- 7.5.1.1. Lithium-ion Batteries
- 7.5.1.2. Lead-Acid Batteries
- 7.5.1.3. Flow Batteries
- 7.5.1.4. Others
- 7.5.2. Germany Market Analysis, Insights, and Forecast - By Battery Type
- 7.5.2.1. Lithium-ion Batteries
- 7.5.2.2. Lead-Acid Batteries
- 7.5.2.3. Flow Batteries
- 7.5.2.4. Others
- 7.5.3. Italy Market Analysis, Insights, and Forecast - By Battery Type
- 7.5.3.1. Lithium-ion Batteries
- 7.5.3.2. Lead-Acid Batteries
- 7.5.3.3. Flow Batteries
- 7.5.3.4. Others
- 7.5.4. Rest of Europe Market Analysis, Insights, and Forecast - By Battery Type
- 7.5.4.1. Lithium-ion Batteries
- 7.5.4.2. Lead-Acid Batteries
- 7.5.4.3. Flow Batteries
- 7.5.4.4. Others
8. Asia Pacific Off-Grid Battery Energy Storage Market (USD Million, MW) Analysis, Insights, and Forecast, 2019-2032
- 8.1. Key Findings
- 8.2. Market Analysis, Insights, and Forecast - By Battery Type
- 8.2.1. Lithium-ion Batteries
- 8.2.2. Lead-Acid Batteries
- 8.2.3. Flow Batteries
- 8.2.4. Others
- 8.3. Market Analysis, Insights, and Forecast - By Capacity
- 8.3.1. Small Scale
- 8.3.2. Medium Scale
- 8.3.3. Large Scale
- 8.4. Market Analysis, Insights, and Forecast - By Application
- 8.4.1. Residential
- 8.4.2. Commercial
- 8.4.3. Industrial
- 8.5. Market Analysis, Insights, and Forecast - By Country
- 8.5.1. China Market Analysis, Insights, and Forecast - By Battery Type
- 8.5.1.1. Lithium-ion Batteries
- 8.5.1.2. Lead-Acid Batteries
- 8.5.1.3. Flow Batteries
- 8.5.1.4. Others
- 8.5.2. Japan Market Analysis, Insights, and Forecast - By Battery Type
- 8.5.2.1. Lithium-ion Batteries
- 8.5.2.2. Lead-Acid Batteries
- 8.5.2.3. Flow Batteries
- 8.5.2.4. Others
- 8.5.3. Australia Market Analysis, Insights, and Forecast - By Battery Type
- 8.5.3.1. Lithium-ion Batteries
- 8.5.3.2. Lead-Acid Batteries
- 8.5.3.3. Flow Batteries
- 8.5.3.4. Others
- 8.5.4. South Korea Market Analysis, Insights, and Forecast - By Battery Type
- 8.5.4.1. Lithium-ion Batteries
- 8.5.4.2. Lead-Acid Batteries
- 8.5.4.3. Flow Batteries
- 8.5.4.4. Others
- 8.5.5. Rest of Asia-Pacific Market Analysis, Insights, and Forecast - By Battery Type
- 8.5.5.1. Lithium-ion Batteries
- 8.5.5.2. Lead-Acid Batteries
- 8.5.5.3. Flow Batteries
- 8.5.5.4. Others
9. Rest of the World Off-Grid Battery Energy Storage Market (USD Million, MW) Analysis, Insights, and Forecast, 2019-2032
- 9.1. Key Findings
- 9.2. Market Analysis, Insights, and Forecast - By Battery Type
- 9.2.1. Lithium-ion Batteries
- 9.2.2. Lead-Acid Batteries
- 9.2.3. Flow Batteries
- 9.2.4. Others
- 9.3. Market Analysis, Insights, and Forecast - By Capacity
- 9.3.1. Small Scale
- 9.3.2. Medium Scale
- 9.3.3. Large Scale
- 9.4. Market Analysis, Insights, and Forecast - By Application
- 9.4.1. Residential
- 9.4.2. Commercial
- 9.4.3. Industrial
10. Competitive Analysis
- 10.1. Company Market Share Analysis, 2024
- 10.2. Company Profile
- 10.2.1. EnerSys
- 10.2.1.1. Business Overview
- 10.2.1.2. Product and Service Offerings
- 10.2.1.3. Recent Developments
- 10.2.1.4. Financials (Based on Availability)
- 10.2.2. SAFT
- 10.2.2.1. Business Overview
- 10.2.2.2. Product and Service Offerings
- 10.2.2.3. Recent Developments
- 10.2.2.4. Financials (Based on Availability)
- 10.2.3. LG Energy Solution
- 10.2.3.1. Business Overview
- 10.2.3.2. Product and Service Offerings
- 10.2.3.3. Recent Developments
- 10.2.3.4. Financials (Based on Availability)
- 10.2.4. Samsung SDI
- 10.2.4.1. Business Overview
- 10.2.4.2. Product and Service Offerings
- 10.2.4.3. Recent Developments
- 10.2.4.4. Financials (Based on Availability)
- 10.2.5. BYD ESS
- 10.2.5.1. Business Overview
- 10.2.5.2. Product and Service Offerings
- 10.2.5.3. Recent Developments
- 10.2.5.4. Financials (Based on Availability)
- 10.2.6. Sonnen
- 10.2.6.1. Business Overview
- 10.2.6.2. Product and Service Offerings
- 10.2.6.3. Recent Developments
- 10.2.6.4. Financials (Based on Availability)
- 10.2.7. Tesla Energy
- 10.2.7.1. Business Overview
- 10.2.7.2. Product and Service Offerings
- 10.2.7.3. Recent Developments
- 10.2.7.4. Financials (Based on Availability)
- 10.2.8. Aquion Energy
- 10.2.8.1. Business Overview
- 10.2.8.2. Product and Service Offerings
- 10.2.8.3. Recent Developments
- 10.2.8.4. Financials (Based on Availability)
- 10.2.9. Exide Industries
- 10.2.9.1. Business Overview
- 10.2.9.2. Product and Service Offerings
- 10.2.9.3. Recent Developments
- 10.2.9.4. Financials (Based on Availability)
- 10.2.10. Su-Kam Power Systems
- 10.2.10.1. Business Overview
- 10.2.10.2. Product and Service Offerings
- 10.2.10.3. Recent Developments
- 10.2.10.4. Financials (Based on Availability)
- 10.2.11. Loom Solar
- 10.2.11.1. Business Overview
- 10.2.11.2. Product and Service Offerings
- 10.2.11.3. Recent Developments
- 10.2.11.4. Financials (Based on Availability)
- 10.2.12. SunGarner Energies
- 10.2.12.1. Business Overview
- 10.2.12.2. Product and Service Offerings
- 10.2.12.3. Recent Developments
- 10.2.12.4. Financials (Based on Availability)
- 10.2.13. Okaya Power Group
- 10.2.13.1. Business Overview
- 10.2.13.2. Product and Service Offerings
- 10.2.13.3. Recent Developments
- 10.2.13.4. Financials (Based on Availability)
- 10.2.14. CATL
- 10.2.14.1. Business Overview
- 10.2.14.2. Product and Service Offerings
- 10.2.14.3. Recent Developments
- 10.2.14.4. Financials (Based on Availability)
- 10.2.15. Schneider Electric
- 10.2.15.1. Business Overview
- 10.2.15.2. Product and Service Offerings
- 10.2.15.3. Recent Developments
- 10.2.15.4. Financials (Based on Availability)