Large Battery Storage as The Key to The Energy Transition: Market Development And Challenges at The Focus of EES Europe

Munich, Pforzheim - Large battery storage systems are becoming increasingly important in the context of the energy transition. According to a recent analysis by the European industry association Solar Power Europe, growth of up to 40 percent per year is expected in the coming years. But what factors are driving this boom, and what challenges need to be overcome?

From May 7th to 9th, 2025, the EES Europe, Europe's largest trade fair for batteries and energy storage systems with international participation, will take place in Munich. A key focus of this year's event, where experts from the storage industry will exchange ideas and network with decision-makers and stakeholders from business, science, and politics, will be developments and frameworks in the large-scale storage sector, which is central to the energy transition and grid stabilization.

Market Development and Potential of Large Battery Storage

As the expansion of renewable energies progresses, the need for solutions to stabilize the electricity grid is growing. Large battery storage systems play a central role in this. In Germany, 1.4 GWh of large storage systems were installed in 2023. According to the grid development plan, the stock of large storage systems could grow to a capacity of 24.2 GW and 61 GWh by 2037, and by 2045, a capacity of 54.5 GW and 136 GWh could be reached. A Fraunhofer study even predicts a demand for large storage systems with a capacity of 104 GWh by 2030 and 178 GWh by 2045.

The expected storage boom is largely driven by falling battery prices and attractive profit opportunities in the field of grid services, as well as intra-day and day-ahead electricity trading. Leonhard Probs, an expert from Fraunhofer ISE, considers an amortization of investments within three years to be realistic, further increasing the profitability of these storage solutions.

Technical Challenges and Regulatory Frameworks

In addition to the favorable conditions for further market development, there are also challenges. The industry association Solar Power Europe expects that batteries with larger storage capacities will prevail in Europe, which would increase the discharge time from the current 1.5 hours to 4 to 8 hours. However, hurdles such as technical standards and storage limitations make implementation more difficult. In this context, Solar Power Europe advocates for regulatory adjustments to unlock the potential of storage technologies.

Source: IWR Online, 31 Mar 2025