The World Bank Group announced its commitment Wednesday at the One Planet summit in New York to invest $1 billion in accelerating battery storage schemes in energy systems in developing and middle-income countries to further enhance the use of renewable energy.
One of the biggest obstacles developing countries seek to ensure electricity supply is the lack of large-scale power infrastructure, such as grid systems and traditional fossil fuel power plants. In this era, countries around the world are seeking to develop renewable sources of energy to alleviate fossil fuel dependence and gradually replace polluting sources of energy, which is the wisest and most cost-effective option, but lack of infrastructure remains the biggest obstacle.
The World Bank has identified a viable solution and has committed $1 billion to expand investment in battery storage in energy systems as a means of supporting parallel expansion of renewable energy development.
"For developing countries, this may change the rules of the game," said Dr. Jim Yong Kim, president of the World Bank Group. "Battery storage can help countries move beyond next-generation generation generation technologies, expand energy use, and lay the foundation for cleaner, more stable energy systems."
The World Bank expects its $1 billion investment to mobilize $4 billion in climate finance and public and private investment. Overall, the World Bank hopes that the program will fund 17.5 gigawatt-hour (GWh) battery storage by 2025, more than three times the capacity currently installed in all developing countries.
"Batteries are crucial to the power system of the decarbonized world," Dr. King explained. "They allow us to store wind and solar energy and deploy them when needed to provide clean, affordable all-weather power for people. We call on our partners to join us and match our investment today. We can create new markets for battery storage in populations with huge potential for wind and solar energy, growing demand for energy, and still no reliable electricity.
Source: Cable site