
The company has focused on strengthening the interconnection of power grids, built 29 ultra-high voltage transmission projects, with a cross-regional and cross-provincial transmission capacity of more than 240 million kilowatts, and grid-connected new energy installed capacity of 550 million kilowatts; built the world's largest "new energy cloud" platform, with a total of 2.67 million new energy stations connected; built the world's largest smart car networking platform, with more than 1.5 million charging piles connected, serving the green travel of 6.4 million electric vehicles across the country. [pdf]
State Grid Corporation of China was founded on 29 December 2002 with investments, construction and operation of power grids as its core business. It is committed to meeting energy demands with clean and green alternatives, through new electrifications and energy connectivity solutions.
Global Times The State Grid Corporation of China recently completed the grid connection of GCL-Xin, Banqiao, and Datang energy storage power stations in Nanjing, located in East China's Jiangsu Province.
The State Grid Nanjing Power Supply Company has provided "one to one" guidance and "housekeeper" service for enterprises, conducting numerous field surveys to understand the construction progress.
Li added that China's dominance in energy storage technology, particularly in battery cell production, places it in a leading position to shape global storage standards. At the end of the first half, power storage capacity in China surpassed 100 GW, reaching 103.3 GW, a 47 percent year-on-year increase.
At the end of the first half, power storage capacity in China surpassed 100 GW, reaching 103.3 GW, a 47 percent year-on-year increase. New energy storage systems now account for nearly 50 percent of the total, with lithium battery storage maintaining a dominant position in this sector, said Li.
The country's storage sector is diversifying beyond lithium-dominant technologies, with recent deployments including projects utilizing flywheel and supercapacitor technologies, a compressed-air facility with a capacity of 300 megawatts, and advanced lithium-ion and lead-carbon hybrid setups, it said.

According to partial statistics provided by the CNESA Global Energy Storage Database, as of the 2017 year’s end, China achieved a total of 28.9GW of operational energy storage capacity. Pumped hydro storage occupied the greatest percentage of storage capacity, at nearly 99%.. According to partial statistics provided by the CNESA Global Energy Storage Database, as of the 2017 year’s end, China achieved a total of 28.9GW of operational energy storage capacity. Pumped hydro storage occupied the greatest percentage of storage capacity, at nearly 99%.. According to partial statistics provided by the China Energy Storage Alliance (CNESA) Global Energy Storage Database, at the 2017 year’s end, global energy storage projects reached a total operational scale of 175.4GW. Pumped hydro storage occupied the largest portion of the capacity at 96%, a. . BEIJING - China's renewable energy registered an installed capacity of 650 million kilowatts in 2017, a record high, according to a senior energy official. The renewable energy made up 36.6 percent of the country's total installed capacity of power and generated electricity of 1.7 trillion kilowatt. [pdf]
China is currently in the early stage of commercializing energy storage. As of 2017, the cumulative installed capacity of energy storage in China was 28.9 GW , accounting for only 1.6% of the total power generating capacity (1777 GW ), which is still far below the goal set by the State Grid of China (i.e., 4%–5% by 2020) .
Among them, Pumped Hydro Energy Storage (PHES) accounted for the largest proportion of the total installed capacity of energy storage in China, close to 99%, followed by electrochemical energy storage that is being rapidly developed in recent years.
The intermittent nature of renewable energy poses challenges to the stability of the existing power grid. Compressed Air Energy Storage (CAES) that stores energy in the form of high-pressure air has the potential to deal with the unstable supply of renewable energy at large scale in China.
Energy storage is generally configured according to the wind energy rejection rate . Here, the ratio of power capacity between energy storage and grid-connected wind power is set equal to the wind energy rejection rate, so that wind power generation can be connected to the grid.
The pace of growth in China’s energy demand slows dramatically in the New Policies Scenario to around 1% per year, less than one-sixth the average that the country has experienced each year since 2000.
Based on China's current national conditions, several conclusions are drawn from this review. First, grid-level (100 MW and above) CAES power plants based on underground air storage are the first choice for developing CAES in China due to its mature technology and available geographical conditions.

Research fields will focus on long-life and high-safety battery, large-scale, high-capacity, and high-efficiency energy storage, mobile energy storage for vehicles, etc.3 For promoting the entry of new type storage into the power market, the NEA has clarified the scope4 of storage connected in power system scheduling, and the management and technical requirements for grid connection and scheduling.5 China accelerates the construction of the spot power market and encourages new entities such as storage, virtual power plants, and load aggregators to participate in the power market. [pdf]
Compressed air energy storage has been included as a key development focus in China's 14th Five-Year Plan for new energy storage technologies, with multiple regions introducing dedicated subsidy policies.
Chen Haisheng, Chairman of CNESA, noted: "China’s CAES technology has advanced from 100 MW to 300 MW in a decade, setting a new global benchmark." The Energy Storage Industry White Paper 2025 reveals that global new energy storage installations reached 165.4 GW in 2024, with China contributing 43.7 GW of new capacity.
Developing energy storage is an important step in China's transition from fossil fuels to renewable energy, while mitigating the effect of new energy's randomness, volatility and intermittence on the grid and managing power supply and demand, he said.
China Energy Engineering Corporation’s landmark procurement signals a shift toward market-driven energy storage, with bids reflecting aggressive cost-cutting and rising industry consolidation.
According to the China Energy Storage Alliance (CNESA), new storage installations in China reached 13.3 GW/ 32.1 GWh in the first five months of 2025, up 52.5% / 41.8% year-on-year. The CEEC procurement was split into three packages, totaling 25 GWh and covering systems with durations of one, two, and four hours.
According to Shu Yinbiao, an academician at the Chinese Academy of Engineering, the utilization rate of new energy storage in China is not high, with the average utilization rate indexes for grid-side, user-side, and mandatory allocation of new energy storage projects reaching 38 percent, 65 percent and 17 percent, respectively.
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