Falling installation and operating costs as well as lower prices for batteries are boosting the large-scale storage boom. © Eco Stor GmbH
MUNICH & PFORZHEIM, GERMANY -- The energy transition has reached a crucial point. With increasing electricity generation from renewable sources, the need for effective grid stabilization solutions is growing. Large-scale battery storage systems play a key role. According to SolarPower Europe, the European market will grow by 30-40% annually, driven by the rise of large-scale storage. These systems will be central to discussions at ees Europe, the continent’s largest trade fair for batteries and energy storage, from 7 to 9 May 2025.
Germany is experiencing rapid growth in large-scale battery storage. In early 2023, 1.4 GWh were installed, with projections of 61 GWh by 2027 and 136 GWh by 2045. A Fraunhofer study predicts 104 GWh by 2030 and 178 GWh by 2040. By the end of 2024/25, 650 battery storage inquiries totaling 226 GW had been received.
Price erosion and fast amortization
Two key factors drive the large-scale storage boom: declining installation and operating costs, mainly due to falling battery prices, and attractive revenue opportunities in balancing energy and electricity trading. Leonhard Probst from Fraunhofer ISE estimates a three-year amortization period. Given a 15-year battery lifespan, this allows 12 years of profit generation.
Industry association calls for regulatory reform
SolarPower Europe expects longer-duration storage systems (4 to 8 hours) to become standard in Europe. However, hurdles such as technical standards and storage restrictions must be addressed, according to Dries Acke, Vice President of SolarPower Europe.
Integration and flexibility
Large-scale storage systems efficiently integrate increasing renewable electricity into the grid, ensuring power availability when needed. These systems support both grid stability and overall system efficiency. For Germany, Frontier Economics estimates that by 2050, day-ahead trading alone could yield at least €12 billion in economic benefits, mainly from fuel savings and CO2 reduction.
Grid boosters ease the burden on the power grid
Grid boosters—specialized battery storage systems—help alleviate grid bottlenecks. Tennet is operating two projects where one facility absorbs excess wind power in the north while the other feeds power into the grid in the south. This approach offers a cost-effective alternative to building new power lines.
ees Forum and ees Europe Conference: Large-scale storage systems under the spotlight
At ees Forum (Hall C2, Stand C2.230) on the first day of the trade fair, visitors can attend a session on business models and applications for large-scale storage. The ees Europe Conference, running on 6 and 7 May 2025 at the International Congress Center Messe München, will focus on regulatory requirements, investor preferences, project development, market trends, and the business outlook for large-scale storage systems. Large-scale battery storage is becoming a key component of the energy transition, enabling renewable integration, grid stability, and economic benefits. With technological advancements, declining costs, and growing demand, energy storage is set to play an increasingly vital role in Europe's renewable energy landscape.
