Battery Stocks

Why It Matters

To electrify everything, we need more energy storage.

Renewable energy is becoming cheaper and more prevalent. But solar and wind aren't constant sources of energy because the sun and the wind aren't always "on."  This means they can't instantly meet energy demand. This also means that when they do generate a lot of electricity, it needs to be stored. In the same vein, as more electric vehicles (EVs) take to the road, better batteries are needed.

The bottom line: we need more energy storage systems and batteries. Drawdown calls batteries the transformation that transforms the energy industry. That's because they're an essential supporting technology that makes the electrification of everything a reality.

The clock is ticking for energy storage and batteries.

Large, utility-scale energy storage are needed as a pivotal part of the power grid as more renewable energy comes on line. And there needs to be many more smaller-scale distributed energy storage systems (or just batteries) as more households and organizations install their own rooftop solar and as more micro-grids are created.

According to the International Energy Agency (p. 198), for the world to reach net-zero emissions by 2050, battery storage capacity needs to increase from 18 gigawatts in 2020 to 3,097 gigawatts in 2050, a whopping 172-fold increase!

Here are the companies that are helping this transition.

Here is the list of energy storage and battery companies that are traded on US stock markets. We choose companies that derive more revenue from these Drawdown solutions than they do from fossil fuel-dependent products and services. We also exclude penny stocks whose share prices were less than $0.50 in our last update.

If you are a Carbon Collective member, you own all of these companies through the Climate Index.