In 2025, Two Major Opportunities for Utilities to Advance Renewable Energy and Battery Storage

The energy sector is experiencing rapid transformation, shaped by surging demand, evolving policies, and the challenges of an aging grid. While uncertainty remains in the policy landscape, opportunities in battery storage and distributed energy are emerging as critical solutions to strengthen reliability and deliver new value to both utilities and consumers.

In 2025, two key areas stand out: deploying distributed energy resources (DERs) at the edge of the grid to enhance resilience, and leveraging local renewable energy with storage to protect consumers from rising costs.

Distributed Energy Resources: Enhancing Grid Reliability

With extreme weather events becoming more frequent, grid resilience has become a top priority. Outages caused by storms, wildfires, and other disruptions highlight the need for new strategies to safeguard power supply.

Utilities have traditionally relied on large power plants and transmission expansions to maintain reliability. However, distributed energy resources — including solar panels, wind power, and battery storage systems — offer a more cost-effective and flexible solution.

Placing DERs at the edge of the grid ensures that electricity can be generated and stored close to where it is consumed. Even if transmission circuits fail, localized energy resources can continue delivering power, improving reliability and reducing service disruptions. For consumers, this approach offers greater peace of mind and more consistent access to energy.

Combating Rising Energy Costs with Renewable Energy and Storage

Rising electricity prices present another challenge for households and businesses. From 2019 to 2023, U.S. electricity rates increased by nearly 5% annually, a trend driven by growing demand from electric vehicles, data centers, and other sectors.

Energy losses during transmission also contribute to higher bills, as up to one-third of electricity generated is lost before it reaches end users. These inefficiencies are ultimately paid for by consumers.

By generating and storing energy locally through renewable energy systems such as rooftop solar combined with battery storage, households can reduce dependence on centralized supply, avoid transmission losses, and shield themselves from inflation in utility rates. Self-consumption ensures that users pay only for the energy they actually generate and use, making it both cost-efficient and reliable.

Building a Stronger Energy Future

While debates about long-term energy strategy will continue, immediate actions can already strengthen the grid. Utilities can improve resilience through distributed energy deployment, while consumers can benefit from renewable energy paired with storage at the point of use.

The combination of renewable energy and battery storage is key to building a grid that is sustainable, resilient, and cost-effective. By aligning utility initiatives with consumer adoption of distributed solutions, the energy sector can move toward a future that is more reliable and affordable for all.