Top Compressed Air Energy Storage Companies

The global compressed air energy storage (CAES) market is projected to reach USD 1.88 billion by 2030 from USD 0.48 billion in 2025, registering a CAGR of 31.4%. The market is witnessing strong momentum, driven by the rising integration of renewable energy sources and the growing need for long-duration storage to balance grid intermittency. Increasing adoption of wind and solar power is creating demand for reliable storage technologies that ensure grid stability and energy security. Supportive government initiatives, carbon neutrality targets, and investments in modernizing energy infrastructure are accelerating project deployment worldwide. Technological advancements in adiabatic and isothermal CAES systems are enhancing round-trip efficiency, reducing costs, and enabling scalable applications across utility and industrial sectors. Strategic collaborations among utilities, technology developers, and equipment manufacturers are fostering commercialization, while large-scale demonstration projects are paving the way for broader adoption and positioning CAES as a critical enabler of the global clean energy transition.

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Leading players such as Hydrostor (Canada), Corre Energy (Netherlands), Storelectric LTD. (UK), Baromar (Israel), and APEX CAES (US) are driving innovation and commercialization by advancing adiabatic and isothermal CAES technologies that improve round-trip efficiency, reduce operational costs, and scale across utility and industrial applications. These global firms employ growth strategies, such as long-term service contracts, collaborations, acquisitions, expansions, joint ventures, and agreements, to enhance their position in the market.  In May 2024, BaroMar and RheEnergise entered into an agreement to advance innovative long-duration energy storage (LDES) projects in Cyprus and the UK. As part of the deal, BaroMar has engaged Jacobs to design a 4 MWh underwater compressed air energy storage (CAES) pilot off the coast of Cyprus, utilizing rigid tanks ballasted to the seabed to address land-use constraints. In parallel, RheEnergise initiated a 500 kW high-density pumped hydro energy storage (PHES) project at Sibelco's Cornwood mining site near Plymouth, UK, leveraging dense fluids for compact and efficient operation. In June 2023, Storelectric Ltd. completed the acquisition of TES CAES Technology Ltd., expanding its portfolio of compressed air energy storage (CAES) intellectual property and strengthening its expertise in delivering integrated, long-duration energy storage solutions. This acquisition enhances Storelectric's ability to commercialize advanced CAES designs, accelerate project rollouts in the UK and abroad, and reinforce its role in supporting grid reliability while contributing to the global clean energy transition.

Hydrostor is a Canadian energy storage company specializing in advanced compressed air energy storage (A-CAES) technology, designed to provide long-duration, emission-free storage solutions for global power markets. Hydrostor develops utility-scale storage projects that support renewable integration, grid reliability, and the replacement of retiring thermal generation. It's A-CAES systems store compressed air in purpose-built underground caverns and recover the heat from compression to deliver dispatchable power with zero direct emissions and a lifespan of over 50 years. The company has successfully operated a commercial A-CAES facility in Goderich, Ontario, and is advancing large-scale projects in California and Australia, while maintaining a global development pipeline. Backed by leading investors such as Goldman Sachs Asset Management, Canada Pension Plan Investment Board (CPPIB), and Canada Growth Fund, Hydrostor is strategically positioned to meet the growing demand for long-duration storage and provide essential grid services, including capacity, ancillary support, and renewable firming. In recent years, it has made several strategic decisions, such as partnerships, contracts, and agreements, to position itself for growth in the compressed air energy storage market. In December 2023, Hydrostor, a developer of advanced compressed air energy storage (A-CAES) technology, entered into a Long-Term Energy Service Agreement (LTESA) with AEMO Services Ltd., acting as Consumer Trustee under the New South Wales Electricity Infrastructure Roadmap, whereby Hydrostor is awarded a 200 MW contract for its Silver City Energy Storage Project in Broken Hill, NSW. Under the terms of this agreement, Hydrostor will develop, construct, and operate the facility to provide up to 1,600 MWh (8 hours) of long-duration, emission-free electricity storage, with commitments to deliver approximately USD 670 million in local economic benefits, create 750 construction-phase jobs and 70 ongoing operational roles, and strengthen grid reliability in support of New South Wales' clean energy transition.

Storelectric LTD. is a UK-based green energy storage company developing grid-scale long-duration storage solutions using advanced Compressed Air Energy Storage (CAES) and hybrid CAES/Hydrogen systems. The company designs plants with scalable capacity (from tens of MW up to multi-GW) and durations ranging from 4 hours to multiple days. Its technologies include Adiabatic (thermal energy storage) CAES, hydrogen CAES, and hybrid CAES/CCGT retrofits—all aiming for high efficiency, low emissions, and flexibility. With patented technology to capture and reuse heat of compression, Storelectric seeks to integrate renewables, support hydrogen production, reduce grid intermittency, and provide ancillary services, including inertia and capacity. In June 2023, Storelectric LTD. completed the acquisition of TES CAES Technology Ltd., significantly enhancing its portfolio of compressed air energy storage (CAES) intellectual property and reinforcing its capabilities in delivering integrated, long-duration energy storage solutions. The acquisition strengthens Storelectric's ability to commercialize proven CAES designs and accelerate project deployment in the UK and internationally. It also positions the company to play a larger role in supporting grid stability and advancing the global clean energy transition.

Market Ranking

The compressed air energy storage (CAES) market is moderately consolidated, with leading players such as Hydrostor (Canada), Corre Energy (Netherlands), Storelectric Ltd. (UK), BaroMar (Israel), and APEX CAES (Germany) collectively holding a significant share of the global market. Hydrostor is advancing commercial-scale adiabatic CAES projects with innovative designs that improve round-trip efficiency and cost competitiveness. Corre Energy is expanding its presence across Europe with large-scale CAES facilities integrated into renewable and hydrogen hubs. Storelectric Ltd. is strengthening its portfolio through intellectual property acquisitions and project partnerships, reinforcing its ability to deliver long-duration storage solutions in the UK and beyond. BaroMar is pioneering underwater CAES systems to overcome land constraints and enable scalable offshore deployment, while APEX CAES is focusing on utility-scale installations across Germany, leveraging its technical expertise and regional support. The CAES market is evolving rapidly as these players drive technological advancements, infrastructure deployment, cost optimization, and ecosystem growth through strategic alliances, pilot demonstrations, and cross-sector collaborations.

Related Reports:

Compressed Air Energy Storage Market by Type (Adiabatic, Diabatic), Expenditure Type (CAPEX, OPEX), Storage Form (Underground, Above Ground), Application (Grid Management, Renewable Energy Integration), Capacity, and Region - Global Forecast to 2030

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