As China pursues carbon neutrality, the decarbonization of its power systems demands strategic integration of energy storage technologies to address renewable energy intermittency and grid stability. A research team led by Professor Qiang Zhang at Tsinghua University has systematically evaluated the evolving landscape of electrical energy storage technologies, their economic viability, and deployment pathways. Published in Technology Review for Carbon Neutrality, the study provides a roadmap for policymakers and industry stakeholders to accelerate the transition to a sustainable energy future.
The research underscores the critical role of electrical energy storage in balancing supply-demand mismatches, enhancing grid flexibility, and enabling renewable integration. By categorizing technologies based on storage duration—from ultrashort-term (flywheels, supercapacitors) to ultralong-term (hydrogen storage)—the team identifies their unique advantages and bottlenecks. For instance, lithium-ion batteries dominate short-duration applications (0.5–4 hours) due to declining costs, while hydrogen storage emerges as a cost-competitive solution for seasonal energy shifts (>100 hours). Pumped hydro and compressed air storage remain pivotal for intermediate durations (4–100 hours), though their market share may shrink as lithium-ion and hydrogen technologies advance.
Economic analysis reveals that the levelized cost of storage (LCOS) for lithium-ion batteries is projected to drop by 33% by 2030, solidifying their dominance in sub-4-hour applications. Meanwhile, hydrogen storage is expected to achieve cost parity for ultralong-duration scenarios by 2035. Regional deployment strategies are tailored to local resources: the Northwest prioritizes hybrid "lithium-hydrogen" systems to leverage its abundant solar/wind resources, while the Northeast adopts thermal-energy hybrid storage to mitigate extreme cold impacts on electrochemical systems.
The study proposes multi-sectoral policies to accelerate electrical energy storage adoption, including R&D incentives for solid-state batteries and high-efficiency electrolyzers, market mechanisms for grid service compensation, and region-specific financial tools such as tax rebates and infrastructure REITs. The team emphasizes workforce development through academic programs and vocational certifications to address skill gaps in the rapidly expanding storage sector.
"Energy storage is the linchpin of China's decarbonization strategy," said Qiang Zhang, corresponding author of the study. "Our work provides a techno-economic foundation and policy blueprint to align storage deployment with regional needs, ensuring a reliable, cost-effective transition to carbon neutrality."
The research team's findings, grounded in China's provincial energy profiles and global LCOS trends, offer actionable insights for achieving the nation's 2060 carbon-neutrality target. The study underscores the urgency of scaling diversified storage solutions to balance grid resilience, energy security, and environmental sustainability.
This work was supported by National Natural Science Foundation of China, National Key Research and Development Program, Tsinghua Jiangyin Innovation Special Fund, Ordos-Tsinghua Innovative & Collaborative Research Program in Carbon Neutrality, and Tsinghua University Initiative Scientific Research Program.
