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

Battery Business & Development Forum
Deep Dive Europe 2: Made in Europe – How to Build a Competitive European Manufacturing Base

Wednesday, April 1, 2026 10:45am–12:00pm

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This session unpacks EU policies such as NZIA, CISAF and EU-made bonuses, addressing competitiveness, skills, and raw material challenges.

Battery Business & Development Forum
Deep Dive Germany 1 | Grid Access in Germany: FCA, Grid Fees and Market Perspectives

Tuesday, March 31, 2026 3:45pm–5:00pm

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This session brings together regulators, grid operators and developers to discuss how the system currently works and where it is heading.

Battery Business & Development Forum
Future-Proof BESS: Procurement, Design and Lessons from Operating Projects

Wednesday, April 1, 2026 2:45pm–4:00pm

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This session examines how procurement, system design and construction choices affect project outcomes — and what developers should do differently.

Battery Business & Development Forum
Global Supply Chains – Ensuring Access to Critical Raw Materials for BESS for Europe

Wednesday, April 1, 2026 9:00am–10:15am

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This session looks at measures taken to make the EU more independent in sourcing critical raw materials for BESS components and how the framework conditions to facilitate recycling and circular economy in BESS need to evolve.

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