Under the national "dual carbon" goals, energy storage is becoming a cornerstone of China's new power and energy systems. As a major hub for energy development, Jiangsu has prioritized energy storage within its "1650" modern industrial framework, driving rapid and high-quality growth, particularly in the C&I segment.
In July 2024, Jiangsu Province surpassed all other regions in China by achieving the largest deployment of new electrochemical energy storage projects. Over the first 10 months of the year, Jiangsu also led the nation in newly installed and registered commercial and industrial (C&I) energy storage projects. Additionally, Jiangsu ranked first in deploying innovative distributed energy systems, such as photovoltaic storage and integrated solar-charging-storage solutions. These accomplishments raise a critical question: what has Jiangsu done right to secure its leadership in energy storage?
In distributed energy, Jiangsu leads with 21 new integrated solar-charging-storage projects, totaling 22.246 MW/47.516 MWh—24.62% of national capacity for this segment.
Jiangsu's cumulative operational capacity for innovative energy storage projects reached 5.4 GW by mid-2024, a tenfold increase year-on-year, positioning the province as a leader in electrochemical energy storage nationwide.
Economic Vitality: Jiangsu has attracted over 3,138 high-tech SMEs from other provinces in the past five years, fueling local energy demand.
Energy-Intensive Industries: Steel production, a key sector in Jiangsu, accounts for 11.6% of China's crude steel output. Major players like Shagang, Nanjing Iron & Steel, and Zhongtian Steel have driven the adoption of energy storage to reduce costs and ensure grid stability.
Industrial Clusters: High-tech zones, such as the Suzhou Industrial Park, feature numerous high-energy-consuming enterprises, further boosting C&I energy storage demand.
Jiangsu's policies have set benchmarks for the nation by providing comprehensive subsidies to enhance the economic feasibility of C&I storage projects:
Direct Investment Subsidies: Cities like Suqian offer up to ¥20 million, covering 10% of equipment costs.
Operational Incentives: Suzhou provides subsidies of ¥0.3/kWh for three years based on discharged energy.
Integration Incentives: Changzhou supports solar-plus-storage projects with subsidies of up to ¥0.3/kWh for two years.
In mid-2023, Jiangsu introduced significant reforms to its time-of-use electricity pricing:
Summer peak electricity prices now apply for extended hours (14:00–15:00, 20:00–21:00), while winter peaks have been optimized.
Peak-valley price spreads have widened to over ¥0.7/kWh, making energy storage investments more attractive and economically viable. This adjustment allows for two charging and discharging cycles daily, significantly boosting project ROI.
With its robust industrial demand, strong policy framework, and favorable electricity pricing, Jiangsu is poised to maintain its leadership in energy storage deployment. The province’s annual grid-connected energy storage capacity is expected to exceed 10 GWh in 2024, cementing its position as a pivotal market in China’s energy transition.
