A new report from the Solar Energy Industries Association and Benchmark Mineral Intelligence shows that the United States added the most amount of new battery energy storage capacity in 2025.
Arizona is the third largest market for battery storage, behind only California and Texas.
The United States added about 5 gigawatt hours of battery storage last year, enough to power almost 2 million homes for a year. Arizona’s capacity jumped by about 129% last year and is at about 19 gigawatt hours total.
The report found that utilities showed the bulk of the growth, but that gains were also seen in the residential sector as well.
Joan White is senior director of storage and interconnection policy with the Solar Energy Industries Association.
"It really comes down to market dynamics. So demand for energy is skyrocketing in Arizona, and energy storage costs have come down so much in recent years that it becomes possible to install a lot of energy storage," White said.
She says as EV incentives ended last year, companies like Ford and LG shifted some of their factories to build batteries instead.
“EV manufacturing facilities were planned, and companies are now pivoting to grid storage. So it just takes a little bit of retooling their lines,” White said.
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