Recording of Tuesday, May 06, 2025 | The smarter E Europe Conferences 2025 | Conference Program | Language: English | Duration: 5:38 .

Key Considerations for Financing Standalone Battery Projects in Germany: Revenue Forecasting and Market Reliability

The transcript discusses the financial considerations for obtaining financing from DKB, particularly focusing on standalone battery projects in Germany. The decision to finance is influenced by market reliability, involved parties, and revenue forecasts. For standalone batteries seeking local bank financing, it's crucial to engage in revenue stacking across wholesale and ancillary services markets rather than relying solely on behind-the-meter use cases like load optimization or peak shaving. Back tests are deemed irrelevant for securing bank loans; instead, realistic scenario-based revenue forecasts should be used over optimistic projections. It's advised to consult both off-takers/optimizers and independent third-party providers regarding potential earnings. Various structuring options exist—such as tolling agreements or floor models—but their effectiveness varies widely. Merchant projects remain viable but require careful consideration of equity as a risk buffer and incentive mechanism within credit contracts' covenants. Emphasis is placed on investor trustworthiness alongside project co-location aspects that could be explored further in discussions or events following this session.

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Speaker

Thomas Osburg
Sales & Origination Manager New Energies
Deutsche Kreditbank AG
Germany

Talk of session: Commercial Models for Utility-Scale BESS - How Investor Appetite Is Shaping the Development Process in Germany

The utility-scale BESS market in Germany has experienced significant growth in the last two years. Typical project size has increased by an order of magnitude over that timeframe from 20 MW to 200 MW. The number of developers in this sector has increased at a comparable rate. But how can developers make key decisions around project design when they are often not the long-term asset owners? How integrated are developers with investors during the project design phase, and what could be done more effectively?In this panel, major players from the investor and developer communities will discuss project design, commercial models including the rise of contracted off-take agreements and expected returns in this fast-growing market.

Further Talks of this session:

Welcome & Introduction

Speaker

Christopher Bryan
Director
Apricum - The Cleantech Advisory
Germany

To Talk

Lessons Learned From 1st German Toll

Speaker

Martin Daronnat
Head of Flexibility & Structured Origination Germany
Engie
Spain

To Talk

Unchaining BESS Capital by Combining Stability and Return

Speaker

Mikko Preuss
Vice President Strategy & Commercial
terralayr Germany GmbH & Co. KG
Germany

To Talk

Panel Discussion including Q&A

To Talk

Partners & Sponsors