China’s operational new-type energy storage capacity reached 167 GW/435 GWh at the end of September 2026, up 63% year on year, according to data the National Energy Administration released on Oct. 30. The category covers electrochemical, compressed-air and other emerging storage systems, but excludes conventional pumped hydro.
The total compares with 135.93 GW/351.12 GWh at the end of 2025, indicating net additions of about 31 GW/84 GWh during the first nine months of 2026. The figures were presented at the NEA’s quarterly press conference on national energy developments.
Utilization improves modestly
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 the expansion is being accompanied by gradual changes in system configuration and utilization, rather than growth in installed capacity alone. According to the NEA, rapid development has been supported by government policies, technological innovation, industrial supply chains and rising demand for flexibility in the power system.
That flexibility need is growing as variable renewables scale. China’s combined wind and solar generating capacity exceeded 2.01 TW at the end of September, accounting for about 48.7% of total installed power capacity, the NEA said. Storage is increasingly needed to absorb surplus electricity, shift generation to higher-demand periods and provide fast-response grid services.
Project mix shifts
Official figures for 2025 showed that independent energy storage facilities accounted for 51.2% of cumulative new-type storage installations. Projects rated at 100 MW or above represented 72% of installed capacity, while systems with durations of at least four hours accounted for 27.6%.
Lithium-ion batteries remained the dominant technology, representing about 96% of installed new-type storage capacity. Compressed-air, flow batteries and other technologies are gradually expanding their presence, although they remain small relative to lithium-ion systems.
Market rules and 2030 target
Market reforms are expected to reinforce these trends. China has been developing arrangements that allow independent storage operators to earn revenue from electricity trading, ancillary services and capacity remuneration, gradually reducing reliance on mandatory storage requirements linked to renewable projects.
Under the 15th Five-Year Plan for power system development, new-type energy storage capacity is targeted to reach 300 GW by 2030. The plan places greater emphasis on longer-duration systems, grid-forming capabilities and improved operational efficiency.
Inner Mongolia provides an example
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.