In Central and Eastern Europe, large energy storage may achieve a five-fold growth by 2030.
2024-12-25
Central and Eastern Europe: Energy Storage Market Set for Fivefold Growth by 2030
As Central and Eastern Europe accelerates its renewable energy transition, large-scale energy storage is emerging as a vital enabler. According to PV Europe, the region’s source-grid battery storage capacity is expected to grow fivefold by 2030, driven by a confluence of policy support, market demand, and strategic energy independence goals.
What’s Powering the Energy Storage Boom?
Several key trends are fueling the rapid development of the energy storage sector in Central Europe:
1. Integrating Renewable Energy Sources
The increasing share of wind and solar power has intensified the need for grid-balancing technologies. Battery energy storage systems (BESS) help stabilize power flows, absorb surplus production, and release stored energy during demand peaks—making renewable energy integration more reliable and efficient.
2. Phasing Out Coal and Cutting Emissions
With the EU setting ambitious carbon neutrality targets, countries in the region are aggressively reducing dependence on fossil fuels. Energy storage is seen as a critical tool to replace coal-fired generation and ensure continuous power supply from intermittent renewables.
3. Strengthening Grid Stability and Energy Independence
Energy storage systems mitigate grid fluctuations, manage frequency response, and enhance energy security—a priority amid geopolitical uncertainties and rising energy prices. This is particularly relevant for countries looking to minimize reliance on imported fuels.
4. Supportive EU Policies and Flexibility Mandates
Starting in June 2026, EU transmission system operators (TSOs) are required to assess flexibility needs and integrate energy storage into national energy and climate plans (NECPs). This regulatory move signals clear support to investors and accelerates energy storage project pipelines.
5. Coping with Electricity Price Volatility
Volatile electricity prices are prompting both businesses and utilities to invest in energy storage for load shifting, arbitrage, and peak shaving—offering financial resilience in fluctuating markets.
6. EV Growth and Grid Pressure
As electric vehicle adoption surges, the grid is under mounting strain. Battery storage not only supports charging infrastructure but also functions as a buffer to offset sudden spikes in electricity demand.
Country-Level Developments and Incentives
Central and Eastern European countries are launching various national-level initiatives to accelerate the deployment of energy storage technologies:
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Romania plans to hold battery storage capacity auctions by 2026 and has introduced contracts for difference (CfD) to improve project bankability.
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Poland is using a mix of capacity market mechanisms and tax incentives to support private and public investments in battery storage.
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Hungary offers up to 45% grants for utility-scale BESS projects, in addition to CfD frameworks and updated grid interconnection policies.
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Lithuania is actively promoting the installation of grid-connected battery systems, aligned with modern technical standards.
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Ukraine benefits from duty-free imports and receives significant international donor support to fund large-scale energy storage infrastructure.
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Bulgaria has secured €590 million in EU funding, though regulatory frameworks for C&I storage remain underdeveloped.
The Scale of Growth: Forecasts by 2030
PV Europe projects dramatic growth in energy storage capacity across six leading countries:
Country | 2023 Capacity (MWh) | Projected 2030 Capacity (MWh) |
---|---|---|
Poland | 350 | 4,000 |
Romania | ~0 | 3,750 |
Lithuania | ~0 | 3,500 |
Hungary | ~0 | 3,300 |
Bulgaria | ~0 | 3,000 |
Ukraine | ~0 | 2,750 |
These expansions will significantly improve grid flexibility and support distributed renewable energy deployment across urban, industrial, and rural areas.
Real-World Applications: Beyond the Grid
Battery energy storage systems in the region are being adopted for a variety of use cases:
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Industrial zones: Factories use BESS to reduce peak demand charges and ensure uninterrupted operations.
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Remote communities: Solar-plus-storage systems enable energy access without grid extensions.
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City-level microgrids: Municipalities deploy storage to power critical infrastructure during blackouts.
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Data centers and hospitals: Energy storage ensures backup power for sensitive equipment.
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Commercial buildings: Office parks and malls benefit from self-consumption optimization.
Barriers to Address: Regulation and Infrastructure
While the market outlook is highly positive, certain bottlenecks remain:
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Regulatory ambiguity: In countries like Romania and Bulgaria, unclear interconnection policies and slow permit approvals hinder utility-scale deployments.
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Lack of frequency regulation markets: This limits commercial incentives for storage systems to offer grid services.
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Underdeveloped grid infrastructure: Some regions still lack the transmission capacity to support additional BESS capacity.
Addressing these gaps through regulatory reforms, grid upgrades, and transparent investment guidelines will be critical for long-term success.
Conclusion: The Path Ahead for Central and Eastern Europe
The energy storage boom in Central and Eastern Europe is no longer a distant promise—it's unfolding now. With strong EU backing, favorable policies, and increasing private-sector interest, the region is laying the groundwork for a more resilient, sustainable, and decarbonized energy system.
Overcoming infrastructure and policy hurdles will be essential, but the trajectory is clear: Battery storage is becoming a central pillar of the region’s clean energy transition.