China's operational new-type energy storage capacity reached 167 GW/435 GWh at the end of September 2026, an increase of 63% year on year, according to figures the National Energy Administration (NEA) presented at its quarterly press conference on national energy developments on October 30. The new-type category covers electrochemical, compressed-air and other emerging storage systems, but excludes conventional pumped hydro.
Measured against 135.93 GW/351.12 GWh at the end of 2025, the latest numbers imply a net addition of about 31 GW/84 GWh during the first nine months of 2026.
Duration and utilization edge upward
Average storage duration increased to 2.61 hours, roughly 0.27 hours more than a year earlier. Equivalent utilization hours reached around 915 during the nine-month period, about 10 hours above the same stretch of 2025. In the NEA's reading, the figures suggest that expansion is being accompanied by gradual changes in how systems are configured and used, rather than growth in installed capacity alone.
The agency attributed the rapid development of new-type storage to government policies, technological innovation, industrial supply chains and rising demand for flexibility in the power system.
Renewable growth underpins demand
China's combined wind and solar generating capacity exceeded 2.01 TW at the end of September, accounting for approximately 48.7% of total installed power capacity. As variable renewable generation expands, storage is increasingly called on to absorb surplus electricity, shift output to higher-demand periods and provide fast-response grid services.
Market structure is shifting
Official figures for 2025 showed independent energy storage facilities accounting for 51.2% of cumulative new-type installations. Projects rated at 100 MW or above represented 72% of installed capacity, while systems with durations of at least four hours made up 27.6%. Lithium-ion batteries remained dominant at approximately 96% of installed new-type capacity, although compressed-air, flow batteries and other technologies are gradually widening their presence.
Market reforms are expected to reinforce these trends. China has been developing arrangements that let independent storage operators earn revenue from electricity trading, ancillary services and capacity remuneration, gradually reducing reliance on the mandatory storage requirements attached to renewable projects.
Targets and regional experience
Under the 15th Five-Year Plan for power system development, new-type storage capacity is targeted to reach 300 GW by 2030, with greater emphasis on longer-duration systems, grid-forming capabilities and improved operational efficiency.
Storage's growing 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.
Such examples illustrate 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.