Floor standing battery project financing options in Switzerland 2025

Why has Brussels stepped up its support for industrial battery production?

In a context of increasing global competition and urgent climate challenges, Brussels has stepped up its support for technological innovation and industrial battery production, aiming to reduce its reliance on third countries and to ensure the stability of the European energy system.

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 projects will be supported in the battery industry?

Initiatives aimed at improving the adaptability and flexibility of production processes in battery manufacturing will also be supported. In addition, projects demonstrating cost-effective, safe, and sustainable production of battery metals, precursors and active electrode materials will be eligible.

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.

Why is the battery industry struggling in Europe?

Despite the momentum the battery sector is gaining in Europe, there remains a certain dependency on third countries for raw materials, as well as challenges such as regulatory fragmentation, high energy and labour costs, a shortage of skilled battery manufacturing workers, and considerable business uncertainty.

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.