US battery installations reach record highs in 2026

Battery installations in the United States reached a record 20.2 gigawatt-hours in the second quarter of 2026, putting the country on track for a 20% annual increase. This growth is primarily driven by large-scale, utility-grade projects designed to support the integration of renewable energy sources like solar and wind into the national grid. While utility-scale storage is thriving, the residential sector has experienced a 16% decline in installations, largely attributed to the expiration of federal tax credits in 2025. Meanwhile, the industry is shifting its focus toward domestic manufacturing to comply with new regulations limiting reliance on Chinese-made battery cells. Although US production capacity is expanding, experts warn that domestic supply may not fully meet demand until 2030, potentially impacting future pricing. Data centers currently lead the commercial sector, highlighting the critical role of energy storage in supporting modern digital infrastructure.