Large-scale battery storage in the focus of municipal utilities

Municipal utilities discover new business segment

05.03.2025

Source: E & M powernews

Asew sees opportunities for municipal utilities in the growing market for large-scale battery storage. According to the association, increasing volatility in the electricity market makes flexible storage systems economical.

The energy transition is changing the electricity market and placing new demands on producers and suppliers. In particular, the increasing feed-in of electricity from renewable energies is leading to increasing volatility and thus to challenges in terms of grid stability. The Arbeitsgemeinschaft für sparsame Energie- und Wasserverwendung - ASEW for short - therefore sees large-scale battery storage systems as a promising business area for municipal utilities.

"It is important to bridge the gap between low or even negative and high market prices for electricity - and this can be done particularly effectively with electricity storage systems," says Linus Erbshäuser, Senior Project Manager Photovoltaics at Asew. Particularly at times of high or low generation - for example due to the midday peak, seasonal fluctuations or dark doldrums - the marketing of battery storage systems and the achievement of arbitrage profits are possible. The storage systems could also be used for primary and secondary control power.

Although storage systems such as pumped storage power plants have long been established, large-scale battery storage systems are gaining in importance as battery prices fall and demand for flexibility increases. Especially in combination with ground-mounted solar or wind power projects, they increase the economic efficiency of generation plants. This allows operators to temporarily store cheap electricity and sell it at higher prices.

Municipal utilities get involved in battery operation

According to Asew, member companies are currently primarily involved in the project planning and operation of storage systems, but also in their marketing. "It is particularly interesting that municipal utilities of all sizes are involved in this business area - sometimes in partnerships," adds Christian Esseling, Deputy Head of Sales Solutions at Asew. However, marketing requires special processes, systems and know-how, so that municipal utilities with experience in direct marketing or cooperations with service providers have advantages here.

There is great interest in the sector. "Municipal utilities could miss out on an exciting business area if they don't position themselves early on," warns Asew Managing Director Daniela Wallikewitz. Asew accompanies this market with specialist events and working groups and offers support for interested municipal utilities. The next seminar on this topic will take place on March 6, Wallikewitz said.

You can register for the seminar on large-scale battery storage on the Asew website.

Author: Susanne Harmsen