Greece to offer 200 MW in third battery storage auction

Before the end of 2024, Greece intends to provide subsidies for standalone battery projects of 200 MW in total via the third auction.

The Ministry of Environment and Energy issued a decree determining the available operating power quota. Together with the support awarded in the first two auctions, the volume would reach 900 MW, just short of the 1,000 MW originally envisioned.

The decree stipulates that projects that would participate in the third auction can only be located in the country’s coal regions: Western Macedonia in the north and Megalopolis in the Peloponnese. The quota for the latter is 50 MW.

The program is part of the just transition efforts within Greece’s coal phaseout, currently scheduled to be completed in 2026.

Grants for the capital expenditure or capex for the battery energy storage systems (BESS) are set at EUR 200,000 per MW. The maximum bid in the auction can’t exceed EUR 145,000 per MW per year.

The Regulatory Authority for Waste, Energy and Water (RAAEY) is expected to launch a call to the third auction in the next few weeks.

Strict timelines for project connections

Selected investors would have to complete their installations by April 2026. It reflects the strict timeline for projects of the first two auctions, which are required to be connected to the grid no later than at the end of 2025.

So far the first projects have struggled to acquire connection terms from the Independent Power Transmission Operator (IPTO or, in Greek, Admie), leading to fears of delays. It prompted technical talks with the investors.

As part of Greece’s revised National Energy and Climate Plan (NECP), the battery storage goal is set at 4.3 GW for 2030. The final plan will be submitted to the European Commission toward the end of October. The public consultation process was recently completed.

There is a strong appetite from investors for storage. RAAEY received hundreds of applications so far this year.