Investor Race for 4.7 GW Battery Storage Units – Ministerial Decision Released

An investment ‘fever’ is gripping the new energy storage sector as the ministerial decision was published yesterday (March 14, 2025), setting the rules for installations with a total capacity of 4.7 GW in our country. So far, three auctions have supported 900 MW projects with subsidies. Additionally, there’s a 150 MW project being developed by HERON under a different regime, along with other 300 MW projects based on Law 5151. These will be supplemented by the 4.7 GW from the ministerial decision, which pertains to commercial battery storage units operating in the market without subsidies. According to the decision by the Ministry of Environment and Energy, 3,800 MW will be implemented on the ADMIE grid plus another 900 MW on the DEDDIE distribution network. The majority of the projects (2,650 MW) belong to Group Γ and will connect to ADMIE as follows per region. A key factor driving companies is that this large capacity will cover all the storage needs Greece will require by 2030. Another element motivating companies is that the first units to be implemented will enjoy the greatest benefits in the market. Over time, as more projects are added, electricity prices will tend to stabilize both monthly and intra-daily between midday and evening, meaning battery revenues will likely be constrained, with the highest returns coming early. According to Professor Pantelis Biska of AUTH, financing from banks is crucial for the sustainability of these investments. Many factors depend on the terms of the ministerial decision regarding bank guarantees, loan pre-approvals, etc. ‘These investments translate into billions of euros, and banks must be able to fund them and take on the associated risk,’ he emphasized. Another factor is the pace of renewable energy installations in the country over the next few years, especially photovoltaics. If the rate is satisfactory, corresponding storage units will be required. Otherwise, not all 4.7 GW of batteries may be needed.