The U.S. energy storage industry installed a record 20.2 gigawatt-hours (GWh) of new capacity in the second quarter of 2026, bringing total installations during the first half of the year to 30.8 GWh, according to the U.S. Energy Storage Market Outlook Q3 2026 (ESMO) released by the Solar Energy Industries Association (SEIA) and Benchmark Mineral Intelligence.

Utility-scale energy storage capacity increased from 88 GWh to 165 GWh during the first 18 months of the Trump administration, as grid operators, utilities and energy buyers deployed storage to support grid reliability and address rising electricity demand.

The report also increased its forecast for U.S. energy storage capacity through 2030 by 11.5%, to 683 GWh. The revised forecast follows continued record levels of deployment, with more than 10% of the country's currently installed energy storage capacity coming online during the second quarter alone.

“This record growth highlights that storage is a powerful reliability tool that strengthens our energy security, meets rising demand and puts downward pressure on electricity bills,” said Tim Pawlenty, president and CEO of the Solar Energy Industries Association.

More than 74% of the energy storage capacity installed during the second quarter was located in states won by President Donald Trump in 2024. Arizona, Texas and Utah accounted for much of the capacity.

Arizona led the country with 6.2 GWh of new energy storage installations in Q2, marking the largest quarterly installation total for any state on record. The state, which has the nation's fourth-largest solar market, is increasingly pairing solar resources with energy storage to capture additional power, address rising demand and help manage electricity costs.

“Energy storage is no longer just a California and Texas story anymore,” said Shan Tomouk, BESS & Energy Lead at Benchmark Minerals. “We’re seeing strong pipeline growth in Arizona, Nevada, Oregon, Colorado and several other states.”

Battery energy storage supplied more electricity to the grid during the first eight months of 2026 than it did during all of 2025. During periods of extreme heat in states including Texas and California, energy storage has provided electricity during periods of high demand, supporting grid reliability and helping protect consumers from price spikes.

Texas and California installed 3.8 GWh and 3.6 GWh of energy storage, respectively, during the second quarter.

The U.S. also recorded new domestic manufacturing capacity during the quarter, including the opening of two battery cell manufacturing facilities in Ohio and Tennessee and a 50 GWh battery module facility in Texas. The facilities bring U.S. battery cell and module manufacturing capacity to record levels.

Utility-scale projects accounted for most of the energy storage capacity installed during Q2, with 17.9 GWh deployed. Commercial and industrial storage accounted for 1.8 GWh, while residential storage accounted for 657 MWh.