From Merchant Risk to Bankable Flexibility: Utility-scale Battery Storage Business Models in Grid-Constrained Markets

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Recording of Tuesday, June 23, 2026 | The smarter E Europe Conferences 2026 | Language: English | Duration: 10:04 .

Challenges and Strategies in the German Energy Market

The German energy market faces significant challenges, particularly regarding the need for flexibility in energy supply due to extreme volatility and negative pricing influenced by renewable energy sources. EcoStor, under the guidance of Stefan Engelberger, is addressing these challenges through a platform approach that enhances the value chain for energy assets, focusing on site and grid development, EPC in-house services, and robust route-to-market strategies to ensure stable financing and operations. A reliable regulatory framework is critical for encouraging investment, as clarity in regulations boosts confidence in a stable market environment. Regulatory bodies must establish clear guidelines to reduce market risks and promote investor trust. EcoStor's efforts include developing a Flexible Connection Agreement (FCA) with local grid operators to facilitate local renewable energy integration while managing associated risks. The project emphasizes tailored financing structures, such as partial tolling, which balance contracted income and market opportunities, enhancing project viability. Additionally, the importance of a bankable grid connection and adaptive market strategies ensures future success in navigating the evolving landscape of energy markets.

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Speaker

Dr. Stefan Englberger
Head of Commercial & Investment Analysis
ECO STOR GmbH
Germany

As the energy storage market has evolved, one of the biggest barriers to battery storage deployment is grid connection. In Germany, one of Europe's most attractive markets, several gigawatts of storage remain stuck in connection queues, which questions project business cases as long-term revenues are unknown and projects cannot go online soon to benefit from existing prices and market conditions. Limited grid capacity means developers must act proactively and think creatively. Possible solutions include closer collaboration with DSOs to enable system-friendly integration, co-locating batteries with PV to use existing infrastructure, or cable pooling to optimize grid usage. Therefore, beyond trading and arbitrage, strategies like infrastructure sharing, partnerships with optimizers, and renting out batteries through tolling instead of developing projects are gaining ground. This session will examine how to navigate grid constraints and unlock the full value of storage in today's evolving energy system.

Further Talks of this session:

Speaker

Anna Darmani
Principal Analyst, Energy Storage Europe
Wood Mackenzie
United Kingdom

To Talk

Speaker

Sebastian Glibic
Transaction Manager
Vattenfall
Netherlands

To Talk

Speaker

Genna Boyle
Chief Commercial Officer & Head of EMEA
Gridcog
United Kingdom

To Talk

Speaker

Dr. Oliver Schmidt
CEO
dvlp.energy
Germany

To Talk

Speaker

Eva Zimmermann
Senior Research Associate Flexible Energy
Aurora Energy Research
Germany

To Talk

To Talk

Further Content
Publications
European Market Outlook for Battery Storage 2025–2029

Comprehensive analysis of Europe’s battery storage market – now available for download

Thaddäus Kreisig
Stack ’Em Up: Germany’s Big Battery Inflection Point – with Thaddäus Kreisig

The smarter E Podcast Episode 265 | Language: English

September 16, 2026

Discover how Germany's solar surge is driving a gigawatt-scale battery boom, the revenue models making projects viable, and the hurdles ahead.

The smarter E Europe Conference 2023
Zinc-Ion Batteries: The Key to Sustainable Energy Storage in Europe

Tuesday, June 13, 2023, 04:30 pm - 06:00 pm

The smarter E Europe Conference 2023 | Conference Program

free account

Technology is the key to battery storage markets developing at a rapid pace. Just look at the way system costs have dropped drastically in recent years as a result of progress in the development of battery materials and battery cells and advancement in storage system technology.In the diverse stationary markets in particular, opportunities for technological alternatives to the lithium-ion battery are being opened up. In this session, you can hear from experts directly about current progress in the development of specific battery technologies and learn about the impact those battery technologies are set to have on the market for electrical energy storage systems in the near future.

The smarter E Europe Conference 2023
Pitches by Panelists

Tuesday, June 13, 2023, 11:30 am - 01:00 pm

The smarter E Europe Conference 2023 | Conference Program

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Integrators of Battery Energy Storage Systems (BESS) are positioned at the very core of the value chain for large-scale energy storage systems. Their decisions such which BESS component design to use, which product and software portfolio to offer or which supply chain approach to be taken very well reflect the requirements and trends in the energy storage market.In this panel session, some of the industry's leading BESS integrators and developers will be discussing the developments, opportunities and challenges of the energy storage market, and which BESS products and business models are best suited to address them today and in the future.

The smarter E Europe Conference 2023
NAS Batteries for Long-Duration Stationary Energy Storage

Tuesday, June 13, 2023, 04:30 pm - 06:00 pm

The smarter E Europe Conference 2023 | Conference Program

free account

Technology is the key to battery storage markets developing at a rapid pace. Just look at the way system costs have dropped drastically in recent years as a result of progress in the development of battery materials and battery cells and advancement in storage system technology.In the diverse stationary markets in particular, opportunities for technological alternatives to the lithium-ion battery are being opened up. In this session, you can hear from experts directly about current progress in the development of specific battery technologies and learn about the impact those battery technologies are set to have on the market for electrical energy storage systems in the near future.

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