China starts world’s largest compressed-air power storage plant

The plant can generate 600 megawatts of power and meet the annual demand of 600,000 households

Published Tue, Jan 27, 2026 · 12:01 PM

THE world’s largest compressed-air power storage plant has begun operating in central China’s Jiangsu province, marking a major step in the country’s efforts to expand energy storage to support its green transition.

The plant, with 2,400 megawatt hours of capacity, can generate 600 megawatts of power and meet the annual demand of 600,000 households, according to a statement from Harbin Electric, which participated in construction of the project.

Such facilities represent the most cost-effective, long-duration solution to storing energy, according to BloombergNEF. They work by pumping compressed air into underground caverns at night, for release during the day to spin turbines and produce electricity.

China’s energy storage sector has seen explosive growth, driven by the country’s rapid deployment of renewable energy. The government has set a target of over 180 gigawatts of new capacity by 2027, fostering a boom in battery storage and alternative technologies such as compressed air. BLOOMBERG

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