June 4, 2025

CAISO battery storage growth expected to slow amid 49-percent revenue drop

California, by far the nation’s largest market for battery storage, is expected to see project growth fall over the next four years, with other Western states posting stronger numbers, a new report shows.

Falling Revenue: California's battery storage growth, while currently the fastest-growing resource in the California ISO balancing area, is projected to slow down over the next four years. This slowdown comes as revenues have dropped by about 49%, according to a recent CAISO report. Growth Projections: While California added about 4 GW of battery storage capacity last year, bringing total capacity ...

Details:

Filing Date: May 29, 2025

Docket Numbers:

n/a

Short Summary:

California’s battery storage growth, while currently the fastest-growing resource in the California ISO balancing area, is projected to slow down over the next four years. This slowdown comes as revenues have dropped by about 49%, according to a recent CAISO report.

Impact Level:

Categories:

Energy Market Intelligence

Tags: Battery Storage, Capacity Addition

Entities: California ISO

Markets: California ISO (CAISO)

Regions: West

States: Arizona, California, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, Wyoming

Regulators: FERC

Courts:

Documents:

2024 Special Report on Battery Storage