China Energy Storage Network News: Facing the challenges of energy change, technological innovation and the ability to adapt to the local policy environment will be crucial to the company's sustainable development.

China Energy Storage Network learned that at 10:15 pm on May 4th, Beijing time, the 2024 Berkshire Hathaway Annual Shareholders Meeting was grandly held in the American town of Omaha. This shareholder meeting attracted tens of thousands of investors from all over the world, and important figures such as Bill Gates and Apple CEO Tim Cook also attended the event.

Buffett speaks at the 2024 shareholder meeting

The entire shareholder meeting demonstrated the importance Buffett and his successor Abel attach to energy storage and battery technology, as well as their long-term plans in the field of renewable energy. Buffett said that Berkshire Hathaway must ensure that users have the possibility of lighting every day and have the hope of using lights. Fossils were once the oldest energy source. In terms of power generation, there are now issues to consider. It's energy storage.

Abel pointed out that current energy storage batteries may only have four hours of power, and there are still economic challenges that require continuous advancement in technology. Although renewable energy has great prospects, continuous improvement of technology is key to ensuring its reliability and economy.

Abel believes that investors should find a balance between technological innovation and traditional energy sources to ensure a stable and reliable power supply to customers. He particularly emphasized that policies, regulations, and regulatory requirements vary from region to region, so local environmental and policy factors must be fully considered when making energy investments to ensure the stability and sustainability of the business.

The speeches by Buffett and Abel also sent an important signal: in the face of the challenges of energy change, technological innovation and the ability to adapt to the local policy environment will be crucial to the company's sustainable development.

In fact, it is not sudden that Buffett and Abel are optimistic about energy storage. Tesla's first-quarter financial report released on April 24, Beijing time, showed that the company's total revenue fell by 9% in the first quarter, and its net profit fell sharply by 55%. However, its energy production and storage jumped to Tesla's profit margin. Top business.

Specifically, in the first quarter of this year, Tesla's energy storage deployment continued to increase, reaching 4.1 GWh, breaking the previous record. In the first quarter, energy generation and storage revenue and gross profit hit record highs: revenue increased 7% year-over-year and gross profit increased 140% year-over-year.

Musk previously stated in the fourth quarter 2023 earnings call that Tesla’s energy storage business will grow much faster than its electric vehicle business. Its first quarter financial report data undoubtedly once again confirmed Musk’s view.

China Energy Storage Network noted that the global energy storage market will remain active in the first quarter of 2024. In Europe, the energy storage market in Germany, Italy, Spain and other places continued to maintain rapid growth in the first quarter, with new officially announced or approved projects in Germany and Italy exceeding 1GW. As the de-warehousing process comes to an end, shipments to the European market are expected to return to steady growth in 2024.

Among them, the Italian energy storage market is mainly affected by favorable policies and will further integrate renewable energy power generation facilities in 2024. According to the "National Recovery and Resilience Plan" decree approved by the Italian Council of Ministers on February 27, 2024, which includes the introduction of the "EU Industry 5.0" plan, it provides for an investment of 6.3 billion euros in digitalization and energy transition. Prior to this €6.3 billion allocation, Italy's National Resilience and Recovery Plan had stated that it would invest €59 billion between 2021 and 2026 to incentivize renewable energy.

At the same time, the U.S. market is expected to maintain rapid growth in the long term, and emerging markets such as Australia, South Africa, and Southeast Asia may take over and become the driving force for household savings growth in the future.

As competition in the global market intensifies, many Chinese energy storage companies have accelerated their expansion in the industrial chain, track and market, and have invariably developed towards a diversified model of "integration", "multiple tracks" and "full market". Overseas Market share will obviously further converge towards leading companies with brand and channel advantages. Targeting the differentiated needs of regional markets will be the key for Chinese energy storage companies to achieve breakthroughs.

Author: Pan Wang

Source: China Energy Storage Network