As you know PHES is geographically constrained. In any case I'm not talking about grid scale storage. I'm talking small scale (i.e. residential/commercial bldgs). I can't fathom it not becoming part of the equation in some capacity in some parts of the US.
The question is whether it's worthwhile. Batteries are short-lived, resource intensive, present a fire risk and to what end? It's really only useful (small scale) if you intentionally over-build solar, which, IMHO, doesn't make much sense and electricity costs have to be obscene, which shouldn't be the goal for any system that's trying to drive broad electrification of society. You end up saddled with a system of perpetual replacement which has considerable cost associated with it as well. Batteries for mobile applications at least are a logical choice, given your other options in that realm.
Yes, PHES is absolutely geographically constrained, but it's also the best large storage medium we have access to.
We are very good at delivering electricity where and when we need it. The push behind batteries is to accommodate sources that don't, and trying to make it so they do. Instead of trying to capitalize on the strengths of certain technologies, integrating them where they make sense, we are attempting to force technologies into roles that they may not be well suited for, and building Rube Goldberg systems around them to try and make it work. This is guaranteed to be both expensive and fragile.
PHES was originally developed to compliment nuclear capacity, where surplus baseload could be socked away overnight and then used to cover demand peaks during the day. This is a complimentary arrangement. Wind turbines tend to pair reasonably well with large reservoir hydro in somewhat the same way, as it provides the long term storage necessary to deal with the long-duration lulls inherent with wind power.
Integrating wind into a grid that doesn't have large reservoir hydro results in liberal use of fast ramp gas, which sets a floor on how far you can reduce emissions. Batteries are incapable of providing the level of storage needed and, if we are being honest, so does PHES, because the required duration is just too long.
Solar on the other hand, as long as you are shaving peaks with it, works quite well, and you only need large storage for the morning/evening ramps. If we are at all concerned with resource scarcity, this should, where able, be met with PHES, which can provide the ~8hrs of storage needed to work with this arrangement. But then of course you also need substantial clean baseload, which is either hydro and/or nuclear.
This conclusion is slowly being arrived at in many jurisdictions globally. Ontario now has two PHES projects under consideration, we are upgrading hydro dams and building new nuclear while refurbishing existing. No new investment in wind is being made, I expect we may see some more solar. Poland, Europe's king of coal, has just signed massive contracts for new nuclear reactors. The energy crisis has laid bare the vulnerability of being dependent on the weather and Russian gas.
We do have the VRE experiment happening in Australia, so it will be quite interesting to see how that plays out.