energy-systems-grid-storage-and-bess

1. Market Opening for Battery Storage in Greece

Greece has established a clear framework for the integration of Battery Energy Storage Systems (BESS) with the publication of its new regulation on March 13, 2025 (Government Gazette 1248/13.03.2025). This strategic decision aims to stabilize the growing feed-in of renewable energies while enabling new business models in the energy sector.

The regulation defines a structured procedure for applying for binding grid connection offers for standalone energy storage systems. The scope is remarkable: a total of a 4.7 GW storage capacity is being released – a clear signal of the strategic importance Greece attaches to energy storage.

2. Market Potential and Capacity Distribution

The released capacity is distributed across different networks and regions:

  • Transmission Network (ΕΣΜΗΕ): 3,800 MW, divided into several project groups
  • Distribution Network (ΕΔΔΗΕ): 900 MW, subdivided by plant size

Based on a conservative estimate of €200/kWh for 2-hour storage systems, this represents a market volume of around €1.9 billion for hardware and installation – not including maintenance and operation over the lifetime.

The regional distribution is particularly interesting. The highest quotas are allocated to regions with strong renewable energy development:

  • Western Macedonia: 425 MW
  • Central Macedonia: 400 MW
  • Peloponnese: 400 MW

3. Business Models and Applications

The regulation defines various project groups, each enabling specific business models:

Industrial Coupling (850 MW)

  • Direct partnership with energy-intensive industries
  • Long-term offtake agreements (min. 8 years)
  • Size classes from large industrial plants to smaller companies
  • Applications: Peak shaving, energy cost optimization, uninterruptible power supply

Aggregator Model (300 MW)

  • Integration into existing portfolios of renewable energy aggregators
  • Optimization of wind and solar power marketing
  • Applications: Balancing production fluctuations, portfolio optimization

Coal Phase-Out Regions (250 MW)

  • Special quota for former coal regions
  • Applications: Structural change, utilization of existing grid infrastructure

Regional Grid Services (2,550 MW)

  • Largest quota with regional distribution
  • Applications: Grid stabilization, congestion management, frequency regulation

Decentralized Storage (650 MW)

  • By size classes in the distribution network (>5 MW, 1-5 MW, <1 MW)
  • Applications: Local grid support, integration of decentralized generation

4. Participation Conditions and Requirements

The regulation sets clear technical and financial requirements:

Technical Specifications:

  • Minimum 2 hours of usable storage capacity
  • System efficiency ≥ 80%
  • Capability to provide grid services (primary, secondary, and tertiary regulation)
  • Compliance with specific fire protection and safety standards

Financial Prerequisites:

  • Bank guarantees: €200,000/MW for transmission grid projects, €50,000/MW for distribution grid projects
  • Proof of financing capability for the entire project
  • Securing land use rights

Market Concentration Regulations:

  • Maximum capacity per company: 250 MW in total
  • In the distribution network: Maximum 50 MW per company
  • Additional limitations for specific project groups

5. Strategic Options

For BESS manufacturers and operators, various strategic options emerge:

  1. Explore partnerships with Greek industrial companies to gain priority access to capacities
  2. Set regional priorities based on capacity distribution and local grid requirements
  3. Implement technology adaptations to meet specific Greek requirements
  4. Develop a portfolio approach with a combination of large and small projects for risk diversification
  5. Identify local partners for project development, permitting procedures, and grid connection

6. Timeline and Next Steps

The regulation sets clear deadlines for market participants:

  • 90 days from publication for applications in the transmission network (until approx. June 11, 2025)
  • 150 days for applications in the distribution network and certain regions (until approx. August 10, 2025)

After these deadlines, a commission will create priority lists for grid connection capacity based on defined criteria. For successful projects, an 18-month implementation period follows until the operational installation.

Conclusion

Greece’s new regulation provides a clear and comprehensive foundation for market entry in energy storage. The variety of business models, the significant total capacity, and the regional focus create attractive opportunities for BESS manufacturers and operators. However, given the tight deadlines, quick and strategic action is required to benefit from this market opening.

QAES Europe GmbH – Your Partner for the BESS Market

As a manufacturer of high-quality and reliable Battery Energy Storage Systems (BESS), QAES Europe GmbH is optimally positioned to leverage the opportunities presented by the new regulatory framework. With our customized solutions, we offer companies ideal conditions to benefit efficiently and economically from these developments.

For more information, visit our website: qaes.eu

Glossary of Greek Technical Terms and Institutions

  • Ε.Σ.Μ.Η.Ε. (ΕΣΜΗΕ) – Ελληνικού Συστήματος Μεταφοράς Ηλεκτρικής Ενέργειας: Greek Electricity Transmission System
  • ΑΔΜΗΕ Α.Ε. – Διαχειριστή του Ε.Σ.Μ.Η.Ε.: Independent Power Transmission Operator of the Greek transmission network
  • Ε.Δ.Δ.Η.Ε. (ΕΔΔΗΕ) – Ελληνικού Δικτύου Διανομής Ηλεκτρικής Ενέργειας: Greek Electricity Distribution Network
  • ΔΕΔΔΗΕ Α.Ε. – Διαχειριστή του Ε.Δ.Δ.Η.Ε.: Operator of the Greek Distribution Network
  • ΣΑΗΕ – Σταθμών Αποθήκευσης Ηλεκτρικής Ενέργειας: Electrical Energy Storage Plants (Battery Storage Systems)