This article will conduct an in-depth analysis of the market outlook for the domestic energy storage industry in the second half of 2024 from three aspects: the resilience of large-scale energy storage, the high growth of industrial and commercial energy storage, and the trend of energy storage prices. 1、 Resilience analysis of large storage capacity in front of the table under the background of centralized photovoltaic slowdown Faced with the challenge of the expected slowdown in centralized photovoltaic installation in the second half of 2024, the large-scale energy storage market in front of the balance sheet has shown extraordinary resilience and is expected to maintain a growth trend of about 30%. This optimistic expectation is rooted in the dual drive of electricity market reform and grid regulation demand. 1. Deepening the reform of the electricity market: The steady construction of the electricity spot market is the key to improving the penetration rate of off balance sheet large storage. With the reduction of guaranteed acquisition of new energy and the expansion of market-oriented trading scale, photovoltaic power stations are facing the dilemma of intraday electricity price fluctuations and mismatched output curves. As a 'time mover', energy storage systems can store electricity during low electricity prices and release it during high electricity prices, effectively smoothing out price fluctuations and improving the overall revenue of power stations. In addition, the spot electricity markets in Guangdong, Shanxi, Shandong and other places have a significant impact on independent markets The admission of energy storage power stations has further stimulated market arbitrage enthusiasm. Independent energy storage power stations have achieved considerable profits through accurate electricity price forecasting and flexible charging and discharging strategies, becoming a powerful magnet for attracting new projects. 2. The growth of demand for power grid regulation: Under the promotion of the dual carbon strategy, the proportion of new energy generation continues to rise, which puts higher demands on the regulation capacity of the power grid. The rapid growth of wind and solar power generation has intensified the pressure on power grid consumption, highlighting the problem of wind and solar power curtailment. Energy storage technology Its flexible peak and frequency regulation capabilities have become an important means to alleviate the pressure on the power grid and ensure stable power supply. With the increasing dependence of the power grid on energy storage regulation capabilities, the charging and discharging time of energy storage devices has significantly increased, further enhancing their role in the power system The value within. 2、 High growth expectations for industrial and commercial energy storage driven by both policy and economic factors The booming development of distributed photovoltaics has injected strong momentum into the industrial and commercial energy storage market. In the second half of 2024, it is expected that the growth rate of new installed capacity of distributed photovoltaics in China will exceed 50%. The distributed photovoltaic storage policy and peak valley price arbitrage mechanism jointly promote the industrial and commercial development High growth in the energy storage market. 1. Continued favorable policies: From Hubei, Henan, Shandong to Jiangxi, Anhui, many local governments have successively introduced distributed photovoltaic distribution and storage policies, aiming to enhance the peak shaving capacity of new energy generation through energy storage and promote the consumption of new energy. With the increasing attention paid to the integration and consumption of new energy into the grid, it is expected that More regions will introduce relevant policies to provide broad development space for the industrial and commercial energy storage market. 2. Significant economic advantages: The continuous decline in energy storage costs and the stable high peak valley price difference together form a solid foundation for the high profitability of industrial and commercial energy storage. The decline in the price of energy storage systems, especially the significant decrease in the price of prefabricated cabin tiles on the DC side, has led to a decrease in the investment cost of energy storage projects Significantly reduced. At the same time, the peak valley price difference in Guangdong, Jiangsu, Zhejiang and other regions remains at a high level, providing considerable arbitrage space for energy storage projects. High profitability not only attracts new energy storage configurations for distributed photovoltaic projects, but also drives the proliferation of existing projects Install energy storage devices to further enhance economic benefits. 3、 Energy storage prices remain stable at a low level, with limited downward space The price of energy storage systems is influenced by both battery cells and auxiliary materials, and is expected to maintain a low and stable trend in the future, with limited downward space. 1. Stable operation of battery cell prices: The relative stability of raw material prices and the pressure on profits of battery cell factories have limited the further downward space for battery cell prices. Meanwhile, with the gradual penetration of higher energy density cells (such as 314Ah), the price of energy storage cells will slightly increase on the existing basis Raise. 2. The prices of auxiliary materials have remained stable with a slight decrease: Although the prices of key auxiliary materials such as PCS have stopped falling and stabilized, there is still some room for cost reduction in auxiliary materials such as temperature control and fire protection. However, due to the relatively small proportion of these auxiliary materials in the cost of energy storage systems, their price fluctuations have a marginal impact on the overall price of energy storage systems Weaker. In the second half of 2024, the domestic energy storage industry has shown distinct characteristics of diversified and high-quality development. Under the dual driving force of electricity market reform and grid regulation demand, the large-scale storage in front of the table continues to maintain resilient growth; Under the dual drive of favorable policies and economic factors, industrial and commercial energy storage

has ushered in unprecedented development opportunities. At the same time, the continuous decrease in the cost of energy storage systems and the stabilization of prices have laid a solid foundation for the sustainable development of the industry. With the continuous increase in the proportion of new energy generation in the energy structure and the gradual deepening and comprehensive opening of the electricity market, the domestic energy storage industry will enter the next stage of high-speed development. This also indicates the acceleration of energy storage technology innovation, which will promote the effective reduction of energy storage system costs,

and further promote its widespread application in the power system, achieving a leap from auxiliary services to core support, laying a solid foundation for building a clean, low-carbon, safe and efficient modern energy system.