Europe’s battery moment: The long game in energy security starts with accelerating deployment now

Battery storage has reached a cost and performance tipping point and is transforming power grids worldwide. Lithium iron phosphate batteries have become the dominant technology for grid storage, sharply reducing costs while improving safety and extending project lifetimes. Sodium-ion batteries could drive the next major cost reduction, particularly as rising lithium prices strengthen their business case. Yet while global deployment is accelerating, Europe is falling behind leaders such as Australia, China and the US. Faster battery deployment would help Europe revive solar growth, reduce price volatility and capture more value from domestic renewable electricity. Europe should accelerate deployment of mature technologies with limited short-term energy security risks, while using targeted investment in domestic science, engineering and high-tech manufacturing to manage the more critical long-term security risks. It should especially focus on areas where it can build strategic advantage and lead globally, such as battery recycling and circular value chains.