The advent of distributed generation, distributed storage and distributed intelligence will change power infrastructure into an intelligent and more nimble power web, according to a new report from Lux Research: ‘Alternative Power and Energy Storage State of the Market Q4 2008: Weaving the $65 Billion Power Web.’
‘Smart grid technologies, like advanced metering infrastructure and demand response services, will enable the transformation of the current grid to a more reliable and intelligent power web,’ says Ying Wu, senior analyst at Lux Research. ‘They will also allow carbon-saving technologies, from plug-in hybrid electric vehicles to renewables like solar and wind, to be better integrated into the energy mix.’
To analyze the latest technology and business development trends in the alternative power and energy storage markets, Lux Research updated its second-quarter 2008 state of the market report by incorporating up-to-date information in 2008 investments, market growth and key announcements by technology developers. The report includes the following highlights:
– The market for metering hardware and software plus networking technologies for the smart grid is already $2.7 billion in 2008, and will grow to $4.7 billion in 2013;
– Lithium raw materials will not be a constraint in the near term for growth in transportation lithium-ion batteries, although prices will be volatile, and investors will jump in to fund mining activities; and
– Investment in alternative power and energy storage is shifting from batteries and fuel cells to smart grid technologies that venture capitalists hope will have a faster payback time.
SOURCE: Lux Research Inc.