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US Energy Storage Installations Jump 32% Year-Over-Year to 9.7 GWh Despite Unsupportive Policies, Study Shows

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About 9.7 gigawatt-hours of new capacity was installed by the US energy storage industry in the country in Q1, a 32% year-over-year jump, despite unsupportive policies targeting the clean energy industry by the Trump administration, according to a study published Thursday.

The US Energy Storage Market Outlook Q2 2026, released by the Solar Energy Industries Association and Benchmark Mineral Intelligence, expects installation of over 610 GWh of energy storage by 2030, higher than previous estimates.

"As investors, developers, and grid operators respond to energy price volatility tied to disrupted global gas and gas turbine supplies, solar and storage are becoming increasingly attractive because they are insulated from fuel price swings and increasingly made in America," the study said.

The demand growth is being driven by the surge in data centers, with several tech giants including Alphabet's Google and Meta unveiling deals for the procurement of tens-of-thousands of megawatt-hours of energy storage this year, the study said.

In Q1, about 7.8 GWh of utility-scale, 648 MWh of commercial and industrial, and 515 MWh of residential storage was installed in the US.

Texas, Arizona and California maintained their position as the three largest energy storage markets in the country, with states like Georgia, Iowa, and Mississippi also recording a notable upswing in installed storage capacity during the quarter, the study said.

Also driving investment and deployment were explicit energy storage targets by 13 states, it said.

"While long-term forecasts are validating that the demand for this technology is rising as off-takers seek energy security, actions in Washington to stall permitting are threatening to slow that progress," according to Darren Van't Hof, interim president and CEO of the Solar Energy Industries Association.

"Storage can help America meet rising energy demand and strengthen American energy independence, but only if Washington lets the solar and storage industry build."

About 467 solar and storage projects in the country have permits pending and are vulnerable to politically-motivated delays or cancellations, the study said.

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