Will battery storage capacity rise to support Canada's climate goals?

At the same time, battery storage capacity will likely need to rise even further to support Canada’s climate goals. Our recent analysis with Navius Research shows that battery storage capacity needs to rise above 12,000 megawatts by the end of this decade and to around 50,000 megawatts by mid-century to align with Canada’s climate targets.

Are pumped hydro and battery energy storage a new technology in Canada?

Some technologies, like pumped hydro, have a long history in Canada. Others, like battery energy storage systems (BESS) are new technologies to many and raise questions, especially as project approvals anticipate the integration of these assets into peoples’ communities.

How can Canada get more battery storage projects off the ground?

Global market forces are moving battery storage from margin to mainstream, and federal and provincial governments in Canada are making moves to get more battery storage projects off the ground here at home. To date, the main source of federal support has come through the Canada Infrastructure Bank (CIB).

Will Canada's battery storage capacity increase in 2024?

In 2024, projects that are planned or under construction could bring Canada’s total battery storage capacity up to 559 megawatts. By 2028, that could rise to 4,177 megawatts—a 45-fold increase from 2023 figures. At the same time, battery storage capacity will likely need to rise even further to support Canada’s climate goals.

Is Canada on the cusp of a battery storage boom?

This is in large part due to recent dramatic cost declines of batteries. Canada, too, is on the cusp of a battery storage boom (Figure 2). Battery storage capacity has seen steady growth, with the latest data from S&P Global showing total installed capacity rising from 11 megawatts in 2016 to around 92 megawatts in 2023.

How does Canada support battery production & innovation?

Battery production and innovation is supported across the value chain and along technology readiness levels by many public and private institutions in Canada. This support mainly occurs through programs with broader focuses on clean tech and energy innovation, including technology development, manufacturing scaleup, and recycling.