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Supplementary Stories

Modernizing the Energy Grid with Advanced Energy Storage Solutions

  • LG Energy Solution is actively expanding its operations in the U.S. through significant investments in ESS.
  • In an era where energy efficiency takes precedence, energy storage emerges as one of the most promising solutions.

As the clean energy transition gains momentum, a pressing need to modernize the electric grid and manage growing power demand by integrating renewable energy resources has emerged. That’s why battery energy storage now claims its status as a pivotal tool to distribute these large amounts of stored power, but only when it’s needed.

The global ESS market is on the cusp of a revolution as sustainable energy policies ensuring efficient renewable energy generation are enacted worldwide. According to market research firm MarketDigits, the global battery energy storage market was valued at $13.7 billion in 2023 and is projected to reach $54.3 billion by 2030, growing at a CAGR of 21.8% between 2023-2030.

Fueled by the growth of the global ESS market, LG Energy Solution is aggressively expanding its business in America with major investments, including an injection of $2.3 billion into the region to become one of the first organizations to secure a large-scale ESS battery production base in America.

LG Energy Solution is building a new plant in Queen Creek, Arizona, as part of a $5.5 billion battery manufacturing hub for stationary storage and EVs. This facility, which is scheduled to begin production in 2026, will utilize the lithium-iron-phosphate technology that has become popular in energy storage applications for being less expensive than batteries containing more cobalt and nickel. LG Energy Solution Vertech, an LG Energy Solution subsidiary and leading US system integrator, will leverage US-made LG Energy Solution batteries to provide integrated energy storage solutions to customers and maximize their US tax credits.

According to S&P Global Market Intelligence, a leading provider of market analytics, LG Energy Solution Vertech is preparing to seize a sizeable share of the growing large-scale battery station market with various projects to be undertaken across Arizona, California, and Texas over the next two years.

Having already secured a reliable local US supply chain of cells, packs, and racks, LG Energy Solution Vertech has everything it needs to excel in the US market including a proprietary AEROS™ software suite which optimizes project revenues through artificial intelligence, machine learning, and other advanced features.

“This is a game for big players now. We’re here, and we’re serious, and we’ve got very big volumes that are right in line with all the market leaders,” said Tristan Doherty, Chief Product Officer at Massachusetts-based LG Energy Solution Vertech. “We’re one of the people you need to talk to if you’re serious about building energy storage.”

“The advantages of having a global battery company integrate storage systems wrapped with warranties supported by a financially strong company, like LG Energy Solution, are hard to ignore,” said Jaehong Park, President and CEO of LG Energy Solution Vertech.

At a time when energy efficiency is paramount, energy storage is emerging as one of the most promising solutions to modernizing the energy grid. LG Energy Solution Vertech’s unique approach to the market demonstrates a vision for a renewable energy future that supports customers in the long term.