Latest prices for energy storage cabinets in Spain

What is the market energy storage in Spain?

The market energy storage in Spain, particularly in relation to the BESS systems (Battery Energy Storage Systems), is undergoing a dynamic and accelerated evolution. This transformation is driven by the growing need to integrate renewable energy sources into the electricity grid, improve supply stability and optimize energy use.

Why is energy storage a problem in Spain?

Despite having a clear strategy and ambitious goals in the sector of energy storage In Spain, subsidies and direct aid specific to these technologies remain limited. This creates a significant barrier for companies and individuals interested in investing in energy storage solutions.

How will Spain invest in energy storage?

This will include battery and pumped hydro plants, as well as potentially some thermal storage associated with concentrated solar power technology, which Spain is a leader in. The Spanish government is also looking to create an energy storage value chain within a €1 billion investment program.

Is the capacity market a good investment in Spain?

The capacity market in Spain represents an opportunity for the storage sector but cannot be considered the sole basis for investment. Its design must be complemented by a diversification strategy in other electricity markets to ensure the profitability and sustainability of projects.

Why is pumping hydro storage important in Spain?

Pumped hydro storage already plays an important role in helping to balance large amounts of renewable energy on the Spanish grid, which as of April 2024 was operating with between 60% and 70% renewable energy penetration. Battery storage, meanwhile, is increasingly being co-located with renewable energy plants to avoid revenue cannibalization.

Will battery storage benefit from the UK's capacity market in 2024?

February 2024 once more saw battery storage benefiting from the UK’s capacity market as batteries bagged a bigger slice of the year-ahead T-1 auction than any other clean technology, according to Energy Storage News. Battery plants picked up more than 655 MW of capacity in the auction, with a clearing price of £35.79 per kW a year.