Spain’s regulatory round-up: market signals and incentives for energy storage.
The new draft of the National Integrated Energy and Climate Plan (PNIEC) for 2023-2030 paints an impressive picture, with a total installed capacity of 214 GW. Out of this total, 160 GW will come from renewable sources. And there will be 22 GW of energy storage, covering daily, weekly, and seasonal periods.
To achieve these objectives, the Ministry for the Ecological Transition, and the Demographic Challenge (MITERD) will create market mechanisms that ensure proper compensation for the services provided by the planned 22 GW of energy storage by 2030. But how will the storage market be organized? What services will be key for the Spanish electrical system? In this session, public sector decision makers will delve into the latest regulatory signals at both the European and national levels.
- Learn about the government’s plans to establish incentives and market signals commensurate with the challenge of reaching 22 GW of storage by 2030
- Discover the volume of demand for each service and the potential compensation mechanisms to maximize your energy storage income
- Stay updated on the capacity market and remuneration payments of the sector
- Learn more about the targets and regulations issued by European institutions on energy storage and how they will be applied in Spain
Permitting for energy storage projects
While there has been significant progress on permitting in recent years, there is still no one-stop shop or clear pathway for permitting energy storage projects. Permitting procedures and timelines still vary greatly depending on location and technology. In this session, our panel of experts will attempt to provide a roadmap for the permitting of both hybrid renewables plus storage and standalone energy storage projects.
- Identify the primary obstacles in the permitting process for energy storage projects and discover strategies to overcome these challenges in record time
- Anticipate potential delays in obtaining access to a grid connection point and learn how to mitigate this risk
- Examine practical cases of companies that have successfully completed the permitting process for energy storage projects and apply the lessons learned to your own facility
- Analyze the role of regional authorities in achieving national energy storage targets
Update on the status of the much-anticipated capacity market
The CNMC (National Commission of Markets and Competition) has given the green light to the long-awaited “Order Project for the establishment of the capacity market in the Spanish peninsular electricity system” (IPN/CNMC/011/21). The significance of this market lies in its role as a driver for investments in firm capacity, a valuable guarantee of electricity supply during critical moments.
However, little has been clarified since then regarding the way in which capacity market will shape out, the amount of compensation, and the role of each technology.
- Get all the information you need and prepare for upcoming capacity auctions
- Hear about how medium-term auctions open doors for emerging technologies and the retrofitting of storage in existing energy facilities
Business models, revenue stacking, and trading for energy storage projects
In this session, we will focus on profitable energy storage project proposals with existing revenue stacking options in Spain. We also explore how the storage market for independent projects will evolve, based on various service addition options. We will include trading and the integration of Energy Storage Systems (ESS) into portfolio asset management. Energy storage systems (ESS) enable the adjustment of energy delivery from production facilities to the demand of customer consumption centers, achieving, among other things, cost optimization, deviation reduction, network operation stabilization, and improvement in supply quality and continuity.
- Examine the Internal Rate of Return (IRR) of different revenue stacks for stand-alone storage plants and renewable plants with Battery Energy Storage Systems (BESS) to optimize the profitability of your projects
- Consider how arbitrage and frequency regulation can form the basis of your storage project’s business model.
- Understand how to make a storage project bankable, considering current market constraints
- Analyze the auction for price delta as another profitable option for the storage business
- ESS is gaining prominence as another element in the asset portfolios of electric companies. Evaluate the profitability achieved through their integration with the rest of the assets in a diversified portfolio (customers, generation, supply contracts, and services) and assess the incremental value obtained when managed in an integrated manner (Energy Assets Management)
Addressing curtailment in the Iberian market: new perspectives and opportunities
This session delves into curtailment, one of the most pressing challenges and promising opportunities in the Iberian market. We are already witnessing initial signs of curtailment at specific network nodes, and projections indicate a rapid increase as more solar and wind energy projects connect to the grid. The good news is that energy storage is well placed to play a key role in solving this intricate problem.
- Analyze the growing impact of curtailment on variable renewable generation in Spain in the coming years
- Discover how energy storage can be your ally in minimizing curtailment and explore the associated business opportunities
- Map out where curtailment is expected in the short and medium term with key information to position your projects in the right places and at the right times
Real-life case studies of design, promotion, and construction of energy storage projects
In this session, you will have the opportunity to get updates on current cases of interesting and pioneering energy storage projects in Spain and Europe.
- Hear real-life case studies of the design, promotion, and construction of profitable energy storage projects in Spain and Europe
- Stand-alone or hybrid storage with photovoltaic or wind? Understand the technical, legal, and financial considerations for sizing and designing each system
- Grasp the technical and financial due diligence required during the design and equipment procurement stages to make storage projects bankable
Unlocking financing: key factors for bankable energy storage projects
Meeting the ambitious storage goals in Spain is a challenge that will require significant investment and access to financing. While public sources can provide an initial boost, private financial institutions play an essential role in accelerating energy storage deployments by allowing more companies to develop projects and strengthening the value chain.
In this session, leading storage industry executives will address crucial topics such as…
- What do banks look for when assessing the financial viability of an energy storage project? Discover the criteria that makes all the difference
- Understand how financial institutions analyze and manage commercial and technological risks in storage projects and learn to effectively mitigate these risks
- Consider the different investment and financing approaches that banks are willing to apply to storage projects, ensuring your project is an attractive option
- Non-recourse finance: Study the financial structures that provide comfort to banks and financial institutions and put your energy storage project at the forefront
- Bankability of stand-alone projects and repowering of operational assets: Find out how to structure your project finance and restructure debt for your renewable project to incorporate batteries
Attract investment for your storage projects
There are already established energy storage markets with know-how garnered over many years and many battery projects. National and international investors are already betting on storage globally, and there is a lot of interest in participating in the Spanish market. In this section, we provide insights on how to attract national and international investors for your energy storage project.
- Hear how others have successfully invested in international energy storage markets and the lessons learned for developers in Spain
- Optimize your storage assets with digitalization and cloud-based management tools to maximize your plants efficiency and security to increase your financial appeal to investors
- Manage development, construction, operation, and maintenance costs to optimize the return on investment (ROI) of your storage project
- Learn more about managing your operational risks with guarantees and insurance
3. SUPPLY CHAIN
Critical Raw Materials Act: traceability of raw materials
To promote the circular economy and achieve net-zero emissions goals as soon as possible, the European Union has begun to require traceability of raw materials as a prerequisite for accessing most subsidies. However, much of the necessary data is not currently accessible to energy storage developers. In this session, industry experts delve into the knowledge about materials to meet this requirement, which is likely to become more stringent in the near future.
- Learn what the Battery Passport is, why it’s important, and how to obtain this certificate to prevent delays in your project
- Analyze the key aspects of the Critical Raw Materials Act and how it affects the lithium battery market in terms of supply chains and material circularity
- Find out how to deal with supply chain uncertainty to ensure that all equipment arrives on time, avoiding costly delays
- Compare the costs of different types of batteries and fundamental materials such as lithium, cobalt, and nickel, among others
- Explore the impact of other factors such as the extraction of local materials and the strengthening of value chains in Europe on your future projects
Unlocking Europe’s local battery production potential
For years storage project developers have been concerned by high battery prices and delays in equipment delivery. In this session, key experts explore the creation of an enabling environment for battery manufacturing at the national and European levels with the aim of overcoming these challenges and meeting the growing demand.
- Hear firsthand from battery manufacturers about the current issues in the supply chain and how they are developing local capabilities
- European Regulations: Analyze European initiatives to support battery manufacturing and discover how local production can be incentivized in this context
- Discover the feasibility and necessary conditions for setting up a truly competitive national and European battery market
- Explore whether investment and support for battery manufacturing represent a long-term strategic advantage in terms of cost and opportunity
Advanced technologies to optimize the performance of your energy storage plant
Technological performance is a critical factor to consider in maximizing the profitability of your energy storage project. In this session, experienced energy storage experts provide insights into the most relevant technical challenges, offering various options to enhance the performance of your plant.
- Analyze the impact of different Battery Management Systems (BMS) on your projects based on your plant’s specific objectives
- Delve into the technical characteristics of various lithium battery chemistries to make informed decisions
- Long-Duration Storage: Discover the advantages of shifting from 2 to 4-hour battery usage and explore the possibilities for longer durations, such as 8 to 12 hours
- Market Response Software: Learn how intelligent energy management software can optimize your asset efficiency and maximize your revenue by adapting to changing market needs
- Compare the technical and economic implications of coupling your projects with alternating current (AC) versus direct current (DC) and choose the option that best aligns with your goals
Innovation in energy storage: other technologies in the market
In a sustainability-driven world, technologies like pumped hydro storage, gravity storage, and thermal storage are emerging as solutions for large-scale, long-duration energy storage. As the electrical grid increasingly relies on variable renewable energy sources, these technologies become essential players by providing critical services for grid operation. This session explores the development of energy storage technologies beyond batteries.
- Analyze the performance and costs of technologies such as thermal storage, gravity storage, and pumped hydro compared to batteries to make informed decisions in your projects
- Access real case studies of long-duration storage plants in operation to understand how these technologies can meet the needs of your projects
- Understand the role of innovative storage technologies in Spain’s electrical system, as it strives to hit 2030 and 2050 decarbonization goals
- Examine the potential implementation of seasonal storage technologies, such as thermal storage, to ensure reliable supply of electricity in Spain
Rising battery prices: strategies for competitive energy storage
High prices of energy storage equipment and higher overall inflation pose serious challenges to the competitiveness of energy storage. In this session, we delve into the development of lithium technologies and their alternatives, assessing their commercial viability in the next two to three years.
- Gain access to a detailed analysis of the possible evolution of LFP and NMC battery prices over the next 24 months, considering volatility and international demand
- Discover how the increase in lithium prices can impact the profitability and competitiveness of your project in a diversified market
- Explore alternatives to lithium batteries, including sodium sulfur, solid-state, and vanadium flow batteries
- Plan for battery recycling to give them a second life and minimize long-term costs
- Get access to the latest research on battery storage technologies that could give you an edge over your competitors sooner than you think
Optimize the technical performance of your project
When it comes to maximizing return on investment (ROI), it’s essential to have a deep understanding of the variables that influence the profitability of your energy storage plant, from lifecycle to degradation and warranties. In this session, we provide you with the keys to extract the maximum value from your storage assets.
- Hear from manufacturers and expert integrators talk about how they maximize battery performance
- Discover how to design your own Energy Management System (EMS) to enhance your business model and maximize your project’s benefits
- Intelligent Control: Analyze the functionalities of software control that allow you to adapt to system needs and provide instant services
- Understand the available options to ensure and protect your plant in case of incidents, such as fire hazards, preventing economic losses
5. INTERNATIONAL MARKETS FOR ENERGY STORAGE
Portugal,Italy and Greece: lessons learned in the international energy storage market
The energy storage industry is constantly evolving, and opportunities are abundant in international markets. In this session, we provide you with essential insights to develop your business in three up and coming European markets: Italy, Portugal, and Greece.
- Discover how to effectively access the energy storage markets in Italy, Portugal and Greece, opening doors for your company
- Dive into the details of the economic models and remuneration mechanisms that govern these two markets and understand how technology and innovation can become competitive advantages
- Listen to practical advice on designing and implementing an effective internationalization strategy that allows your company to successfully expand in the global energy storage market