BESS design can more than double co-location revenue potential

Suena Energy analyzed 72 design scenarios for a 30 MW grid connection point and found that projected revenues ranged from around €79,000 to €169,000 per megawatt of installed storage capacity, excluding market premiums.

According to the study, the strongest drivers of revenue are battery power and duration, along with the size and orientation of the solar array. The highest specific returns were achieved with a 60 MW east-west oriented solar plant paired with a 10 MW/40 MWh battery system. The largest annual revenue volume, at roughly €4 million, came from a 30 MW/120 MWh battery combined with a 60 MW south-facing PV installation.

The analysis also found that four-hour battery systems generated higher revenues per unit of installed power, while two-hour systems used storage capacity more efficiently. Oversizing PV arrays and adjusting their orientation also affected performance, although only in combination with other design choices.

Suena said innovation auction structures can further influence project economics. Higher support levels particularly benefited four-hour storage systems by enabling them to monetize a larger share of solar generation that would otherwise be curtailed.

The study examined revenue potential only and did not account for capital expenditure, operating costs, battery degradation, or other project expenses. As a result, the highest-earning configuration was not necessarily the most profitable overall.

From pv magazine Deutschland