This review explores the multifaceted aspects of safety and environmental considerations in battery storage systems within the context of renewable energy. It has multiple advantages such as safety, reliability, ease of use, and flexible adaptability. To study the impact of policies on energy storage decisions in the power supply chain, this paper constructs an electricity supply chain and compares the equilibrium results. The integration of battery storage systems in renewable energy infrastructure has garnered significant attention due to its potential to enhance energy reliability, efficiency, and sustainability. However, alongside these benefits, concerns persist regarding the safety and environmental impacts. Grid-scale storage refers to technologies connected to the power grid that can store energy and then supply it back to the grid at a more advantageous time – for example, at night, when no solar power is available, or during a weather event that disrupts electricity generation.