Germany, Great Britain, Ireland, Poland offer the best renewable energy sources + colocation potential BESS – pv International magazine

June 17, 2024 Marija Maisch

From pv magazine. ESS News website

Regulatory divergences in European markets regarding hybrid renewable installations are large. While some facilitate co-located deployments by offering faster network access and a wide range of revenue streams, others lack specific policy plans and goals. Confusing market signals, double taxation and restrictive grid rules that prevent BESS from being charged from the grid also hamper implementation.

In its latest analysis, Aurora Energy Research has identified Germany, the UK, Ireland I-SEM and Poland as the four largest European renewable energy colocation markets.

Huge capacity addition

The consulting firm predicts that an additional 421 GW of intermittent renewable energy sources will be added to the grid by 2030. Such massive capacity additions will pose significant risks to renewable energy assets, including capture price cannibalism, increasing curtailments and rising imbalance costs.

These risks will be particularly severe in Germany, Greece, the Netherlands and Ireland I-SEM, and the way to mitigate them is to encourage the co-location of renewable assets with BESS.

“With renewables playing an increasingly important role in Europe’s energy landscape and the recent rise of batteries, collaborative projects will soon become an essential part of developers’ work,” said Rebecca McManus, senior research fellow at Aurora Energy Research. “However, each asset type presents challenges to navigate on its own, and managing how both asset classes interact with each other and how they are handled simultaneously will remain a hurdle.”

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