Battery Energy Storage Systems are becoming a critical component of modern electricity systems, but successful development depends as much on timing, positioning and regulatory foresight as on technology.
In Greece, early BESS project development started before a clear regulatory framework for storage was established. Storage systems were not formally defined, and permitting procedures were granted under broader categories such as power plants utilising storage. A formal definition of energy storage was introduced later, with Law 4951/2022.
Within this environment, EUDITI initiated battery storage project development at an early stage, including the ALASIA project and the ERKA storage portfolio. This required taking structured development decisions under regulatory uncertainty and limited visibility on future market conditions.
Experience from these projects shows that successful storage development depends on the ability to anticipate key parameters over a long time horizon. Project development cycles may extend over several years, during which regulatory frameworks, equipment costs and revenue mechanisms evolve significantly.
Site selection is a determining factor for project success. Storage projects must be located close to suitable grid infrastructure, while avoiding areas that may be excluded due to environmental, land-use or regulatory constraints. At the same time, developers must form a clear view on the expected evolution of battery costs and the future value of storage services in the electricity market.
Equally important is the ability to anticipate market dynamics. Storage revenues depend on market design, support schemes and system needs, all of which evolve as renewable penetration increases. Projects must therefore be positioned to remain viable under different regulatory and market scenarios.
Battery storage project development is inherently high risk. Early-stage investments, including grid connection applications and bank guarantees, require significant financial commitment well before revenue streams are secured.
Experience gained from project development in one country can be transferred to other markets, particularly in regions with interconnected electricity systems such as Greece, Bulgaria, Romania and other Balkan countries. However, successful implementation requires a strong understanding of local regulatory frameworks and close cooperation with experienced and reliable local partners.
Key takeaway
Storage development is not only a technical exercise. It is a strategic activity requiring foresight, risk management and the ability to act ahead of market maturity.