China’s operational new-type energy storage fleet reached 167 GW/435 GWh at the end of September 2026, up 63% year on year, according to figures the National Energy Administration (NEA) presented at its quarterly press conference on national energy development.
The category covers electrochemical, compressed-air and other emerging storage systems, but excludes conventional pumped hydro. At the end of 2025, the fleet stood at 135.93 GW/351.12 GWh, implying net additions of about 31 GW/84 GWh during the first nine months of 2026.
Longer duration, higher utilization
The NEA said average storage duration rose to 2.61 hours, about 0.27 hours more than a year earlier. Equivalent utilization reached roughly 915 hours over the nine-month period, an increase of about 10 hours from the same period in 2025.
The figures suggest that China’s storage expansion is being accompanied by gradual changes in system configuration and utilization, rather than growth in installed capacity alone. The NEA attributed rapid development to government policies, technological innovation, industrial supply chains and rising demand for flexibility in the power system.
Renewables increase the need for flexibility
Combined wind and solar generating capacity exceeded 2.01 TW at the end of September, accounting for about 48.7% of China’s total installed power capacity. As variable renewable generation expands, storage is increasingly needed to absorb surplus electricity, shift supply to higher-demand periods and provide fast-response grid services.
Official 2025 figures show how the market is structured. Independent storage facilities accounted for 51.2% of cumulative new-type installations. Projects rated at 100 MW or above made up 72% of installed capacity, and systems with at least four hours of duration accounted for 27.6%.
Lithium-ion batteries remained dominant, representing about 96% of installed new-type storage capacity. Compressed-air, flow batteries and other technologies are gradually expanding their presence, though from a small base relative to lithium-ion.
Market reforms and 2030 target
China has been developing arrangements that allow independent storage operators to earn revenue from electricity trading, ancillary services and capacity remuneration. The approach gradually reduces reliance on mandatory storage requirements associated with renewable projects.
Under the 15th Five-Year Plan for power system development, new-type storage capacity is targeted at 300 GW by 2030. The plan places greater emphasis on longer-duration systems, grid-forming capabilities and improved operational efficiency.
Storage’s contribution is already visible in renewable-rich regional grids. In western Inner Mongolia, the grid operator reported 20.23 GW/70.47 GWh of operational storage capacity in October. During emergency dispatch operations, storage supplied up to 12.25 GW, equivalent to 33% of the grid’s electricity demand at the time.
The example illustrates how storage can provide substantial short-term balancing capacity in systems with high renewable penetration. For other countries expanding wind and solar generation, China’s deployment offers experience in large-scale storage manufacturing, grid integration and centralized dispatch.