Home / Metal News / The demand for ESS in the Middle East is expected to grow steadily in the future. What challenges does local ESS construction face? How can they be resolved? [Middle East PV ESS Summit]

The demand for ESS in the Middle East is expected to grow steadily in the future. What challenges does local ESS construction face? How can they be resolved? [Middle East PV ESS Summit]

iconApr 27, 2025 14:28
Source:SMM

At the 2025 SMM Zero Carbon Path - PV and Energy Storage Summit hosted by SMM, Halim He, Director for the Middle East and Central Asia at CRRC Zhuzhou Locomotive Research Institute Co., Ltd., shared insights on the topic of "CRRC Battery Energy Storage System Solutions and New Features." He stated that the demand for battery energy storage systems in the Middle East is steadily increasing. However, local energy storage systems face numerous challenges, including difficulties in operation and maintenance, weak power grid infrastructure, and limited cross-border power transmission lines. To address these issues, CRRC has provided corresponding solutions.

Outlook and Challenges

Steady Growth in Demand for Battery Energy Storage Systems in the Middle East

Saudi Arabia: A Core Driver of Energy Storage in the Middle East

The Saudi Ministry of Energy plans to tender 24 GWh of battery energy storage projects from 2024 to 2025, with 18.6 GWh already initiated in 2024.

Saudi Arabia aims to achieve 50% renewable energy by 2030, developing at an annual rate of 20 GW to reach 130 GW by 2030.

UAE: Green Hydrogen Strategy and Utility-Scale Projects

Energy storage is critical for green hydrogen. Utility-scale energy storage demand is expected to rise in 2025.

Other Middle Eastern Countries: Emerging Markets

Egypt plans to build 35.56 GW of renewable energy, with a storage ratio of 15%-20% for a duration of 4 hours.

Oman plans to construct a 1.5 GW solar-storage project, which will be tendered in 2025.

Qatar is accelerating its energy transition and increasing energy storage demand following the World Cup.

Challenges for Energy Storage Systems in the Middle East

Power Grid Compatibility and Stability Requirements

Weak power grid infrastructure and limited cross-border power transmission lines. Energy storage systems need to have grid-forming capabilities to handle critical functions such as frequency regulation and black start.

Low Return on Investment in a Price-Sensitive Market

Abundant oil/natural gas → Low traditional energy prices → Low renewable energy on-grid tariffs → Low return on investment → Cost sensitivity among project owners.

Safety and Environmental Issues

Extreme temperatures up to 55°C and dusty environments; safety at large sites is a top priority.

Difficulties in Operation and Maintenance

Large-scale energy storage stations; long-term warranty extensions; battery recycling requirements.

CRRC Energy Storage Solutions

Progress in Containerized Energy Storage Systems

Next-Generation CESS Series - CESS 4.0 Version

Next-Generation CESS Family - CESS 4.0

CESS 4.0 Multi-Dimensional Protection

Direct refrigerant cooling, no coolant required. Leakage? Zero risk!

Battery-grade monitoring. Thermal runaway? Near-zero error detection!

Four-level fuse protection on the DC side. Short circuit? Almost impossible!

High IP protection level + intelligent dehumidification. Condensation? Risk eliminated!

Energy isolation, compartment-level explosion venting. Explosion risk? Only 16%!

Advantages:

Applicable to All Application Scenarios: Can be used for single cabinets or 20-foot containers. Supports flexible capacity configurations for all scenarios.

Traditional String, DC + AC: Compatible with traditional string, DC + AC, high-voltage direct connection, and DC 2000V solutions.

Overall Process: Modular design, plug-and-play on-site.

Full-Time Balancing Technology

Full-time balancing utilizes the passive balancing efficiency of the BMS to enhance system performance.

Efficiency: Breaks through the limitations of traditional balancing technology, supporting 5%-100% SOC all-climate balancing.

Low Power Consumption: The balancing power consumption of a single battery is only 0.4 watts.

Low Cost: Compared to active balancing, costs are reduced by over 50%.

High Reliability: Distributed balancing architecture, no risk of electromagnetic interference, suitable for large-scale energy storage scenarios.

Noise Reduction Design

Q&M Solutions

Digital Management and Intelligent Operation and Maintenance of Energy Storage Stations

An intelligent safety management service platform based on a "cloud-edge-terminal" three-layer architecture, covering the energy management system (EMS) of terminal energy storage stations, the safety operation and maintenance service system (SOMS) for safe operation of energy storage on the power grid/power supply side, and the cloud-based energy storage cloud service system (ECSS). It enables multi-dimensional digital safety management of devices such as battery management systems (BMS), power conversion systems (PCS), and PV inverters.

Battery Management System; Power Conversion System; Energy Management System; Safety Operation and Maintenance Service System; Energy Storage Cloud Service System

Q&M Capabilities

Leveraging extensive experience in the power electronics field, CRRC provides full life cycle PHM (Prognostics and Health Management) for core components and equipment, integrating mechanism analysis and AI-driven big data to achieve comprehensive, precise, and efficient intelligent maintenance.

For queries, please contact Lemon Zhao at lemonzhao@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

SMM Events & Webinars

All