Wall mounted battery project financing options in Switzerland 2025

Is battery storage a risky investment?

Firstly, the nascent nature of energy storage technology means that fixed income lenders and senior debt providers are naturally risk averse. Battery storage has less of a track record than other renewable energy assets such as solar and wind power.

What are the key market trends for battery storage?

It covers key market trends, with a particular focus on the shift toward utility-scale storage, the continuing growth of residential and commercial installations, and the evolving role of battery storage in supporting Europe's clean energy goals.

What are the obstacles to a battery project?

The second, bigger obstacle to the project financing of storage assets is that the revenue stack for batteries is more complicated than for generating assets. Unlike wind and solar projects, battery projects are not generating electricity. Rather, they provide a service and act as arbitrage assets.

Are battery projects generating electricity?

Unlike wind and solar projects, battery projects are not generating electricity. Rather, they provide a service and act as arbitrage assets. With a battery storage asset, electricity is bought and sold at different times of day to make money by storing electricity when prices are low and discharging it when prices are high.

How has project finance impacted wind and solar projects?

As technology and development risks have been overcome, so the role of project finance in the roll-out of wind and solar projects has hit new heights. Quite simply, project finance has super-charged the deployment of renewables.

Should batteries be optimised in the balancing mechanism?

Lloyd adds that the big question is now ensuring that batteries “are optimised well enough” in the Balancing Mechanism, the National Grid ESO’s primary tool for balancing supply and demand on Great Britain’s electricity network.