Energy storage professionals switch to finance

Does project finance apply to energy storage projects?

The general principles of project finance that apply to the financing of solar and wind projects also apply to energy storage projects. Since the majority of solar projects currently under construction include a storage system, lenders in the project finance markets are willing to finance the construction and cashflows of an energy storage project.

Will energy storage be a priority technology for energy transition investments?

December 11 - Rising renewable energy capacity and the deployment of electric vehicles will make energy storage the priority technology for energy transition investments in the coming years, according to the 2023 Reuters Events Energy Transition Insights report.

Do project finance lenders consider technology risks in energy storage projects?

Project finance lenders view all of these newer technologies as having increased risk due to a lack of historical data. As a result, a primary focus for lenders in their due diligence of an energy storage project will be on technology risks.

Is it profitable to provide energy-storage solutions to commercial customers?

The model shows that it is already profitable to provide energy-storage solutions to a subset of commercial customers in each of the four most important applications—demand-charge management, grid-scale renewable power, small-scale solar-plus storage, and frequency regulation.

What is the future of energy storage?

Storage enables electricity systems to remain in balance despite variations in wind and solar availability, allowing for cost-effective deep decarbonization while maintaining reliability. The Future of Energy Storage report is an essential analysis of this key component in decarbonizing our energy infrastructure and combating climate change.

Will energy storage become a priority technology in 2024-2026?

Energy storage will become the priority technology in 2024-2026, the data shows, with 43% of respondents stating that their organisation planned to invest in the technology within the next three years. The report also shows offshore wind will become more of a priority technology in the next few years.