Commercial energy storage tender price in Spain 2025

How much money will Spain spend on energy storage projects?

Spain’s ministry for the ecological transition said on Friday it will allocate EUR 700 million (USD 799.4m) in grants through competitive tendering to support large-scale energy storage projects in an effort to improve grid flexibility and integrate more renewables. Vanadium redox flow battery installed at the Son Orlandis solar farm in Mallorca.

How much grid-scale storage will Spain have in 2025?

As of early 2025, Spain has roughly 1 GWh of grid-scale storage under construction, according to industry sources. This new wave of funding could accelerate the build-out, enabling developers, integrators, and OEMs to expand their footprint in one of Europe’s most promising emerging markets.

What is energy storage in Spain?

It targets large-scale energy storage projects in Spain. It focuses on technologies like standalone battery energy storage systems (BESS), pumped hydro energy storage (PHES), and thermal energy storage. The program supports hybrid projects, which combine storage with renewable energy, such as solar or wind farms.

Why should Spain invest in energy storage?

Investing in energy storage helps Spain meet its climate goals. This includes achieving carbon neutrality by 2050. Storing renewable energy instead of wasting it helps the country rely less on fossil fuels. This also cuts down greenhouse gas emissions. Pumped hydro, thermal storage, and battery systems are effective technologies.

Can energy storage projects get 85% co-financing?

Standalone and renewables-plus-storage battery projects can apply for up to 85% co-financing, along with pumped hydro and thermal energy storage sites. Friday saw the publication of a call for applications for energy storage projects hoping to receive support from a €700 million ($794 million) EU-funded program in Spain.

How will negative energy prices affect Spain?

Two structural factors limit how negative Spanish prices can go: Limited interconnection: Spain's 3 GW link with France is isolating it from the negative price contagion in Central Europe. When German prices reach -€150/MWh, Spain can't import enough energy to bring the price down.