Renewable Energy + Energy Storage: The Cable Behind the Grid

Texas is rapidly becoming a leader in renewable energy, with wind and solar projects transforming the state’s power generation landscape. However, generating renewable energy is only part of the equation. Energy storage systems — particularly batteries — play a critical role in ensuring electricity is available when demand peaks. Behind the scenes, a complex network of cables connects renewable energy sources, storage systems, and the grid, allowing electricity to flow safely and efficiently.

For contractors and engineers, understanding these cable systems is increasingly important. Doing so not only improves safety and ensures compliance but also positions contractors to capitalize on a booming market.

Why Energy Storage is Critical for Renewables

Why Energy Storage is Critical for Renewables

Renewables such as wind and solar provide clean energy, yet their supply fluctuates naturally. The sun does not always shine, and the wind does not always blow. Energy storage systems address these gaps by storing excess electricity and releasing it when generation is low or demand is high.

In Texas, storage paired with renewables stabilizes the grid and reduces blackout risks. For example, ERCOT reports that as of mid‑2023, operators had added approximately 5 GW of storage capacity, which significantly lowered peak power costs. At the national level, utility-scale battery capacity is projected to increase from around 28 GW in early 2025 to nearly 65 GW by 2026. Therefore, contractors can anticipate a surge in projects requiring installation of both renewable generation systems and the associated storage infrastructure.

The Role of Cables in Renewable + Storage Systems

The Role of Cables in Renewable + Storage Systems

Cables serve as the backbone of energy storage and renewable integration, meeting strict electrical, mechanical, and environmental requirements.

Power Cables

Power cables transport electricity from renewable generators or storage systems to the grid. Contractors must size these cables to handle high currents, proper voltage ratings, and heat dissipation. For example, the U.S. added 3.559 GW of battery storage capacity in Q2 2025, which required substantial high-capacity cabling. Common choices for these applications include XLPE, EPR, THHN/THWN, and USE‑2.

Battery Interconnect Cables

Inside storage systems, batteries connect in series or parallel through flexible, heavy-duty conductors. In Texas alone, contractors have installed approximately 9.3 GW of battery storage by late 2024. These installations demand robust cabling to link modules, feed inverters, and integrate safety systems. Contractors typically prefer copper for conductivity, though aluminum sometimes reduces costs in larger installations.

Communication & Control Cables

Modern storage systems rely on low-voltage, shielded communication cables to support monitoring and control. These cables carry sensor data, fire-safety signals, and telemetry information. Consequently, utilities and system operators can manage performance and respond to issues in real time.

Key Considerations for Contractors

Key Considerations for Contractors

Contractors working on renewable + storage projects must focus on several critical factors:

• Voltage & Current Ratings: Verify that cables match the system’s DC and AC loads.

• Environmental Resistance: Many storage facilities sit outdoors. Choose cables that withstand UV, temperature extremes, moisture, and chemical exposure.

• Flexibility & Routing: Battery modules often require flexible cables with proper bend radius to ensure durability.

• Safety & Code Compliance: Follow UL certifications, NEC guidelines, and local regulations.

• Installation Logistics: With Texas adding numerous storage projects, contractors should plan lead times, delivery schedules, and inventory to avoid delays.

For instance, Texas currently has a planned storage pipeline of 64.3 GW, highlighting the scale of infrastructure that contractors will manage in the coming years.

Trends Driving Cable Demand in Energy Storage Projects

Trends Driving Cable Demand in Energy Storage Projects

The rapid expansion of battery storage and hybrid renewable systems is increasing demand for cables.

• In 2024, the U.S. deployed 12.3 GW of new energy storage, a 33% year-over-year increase.

• Texas leads the nation, installing approximately 1.2 GW of utility-scale storage in Q4 2024 alone. Together with California, these two states accounted for 61% of the national total.

• Residential-scale storage systems in Texas average $1,344 per kWh, reflecting both the investment in infrastructure and the need for high-quality, reliable cabling.

Contractors who master the installation of heavy-duty power cables, flexible interconnects, and communication lines can tap into this growing market and differentiate themselves from competitors.

Why Renewable Contractors Should Care

Why Renewable Contractors Should Care

Contractors who understand renewable + storage cabling gain several advantages:

• Access to Growth Opportunities: Storage projects often accompany larger renewable developments or grid upgrades, representing high-value work.

• Skill Differentiation: Correct cable specification, installation, and compliance distinguish expert contractors from the competition.

• Value-Added Services: Advising clients on cable types, routing, and safety reduces costly rework and fosters long-term trust.

By staying ahead of these trends, contractors can establish themselves as essential partners for utilities, developers, and industrial clients.

Final Thoughts

Texas is leading the nation in renewable energy, and storage systems are critical for stabilizing the grid. Behind every successful renewable + storage project lies a network of cables that ensures reliable power delivery. Contractors who understand the cables’ specifications, installation requirements, and practical considerations will be best positioned to thrive in this expanding sector.

References & Resources

1. U.S. renewables tracker: 8.753 GW of clean energy capacity added in Q2 2025; battery storage adds 3.559 GW. (spglobal.com)

2. Texas battery storage summary: 9.3 GW installed by Oct 2024. (comptroller.texas.gov)

3. U.S. battery storage growth: 12.3 GW deployed in 2024, up 33% Y/Y. (tdworld.com)

4. Energy-storage cost in Texas: Average $1,344/kWh. (energysage.com)

5. Texas storage pipeline: ~64.3 GW of planned storage. (spglobal.com)

6. Texas installation leadership: ~1.2 GW utility-scale storage in Q4 2024. (energycapitalhtx.com)

View BWC’s Renewable Products

PRODUCTS