Europe’s new energy storage map: 80 GWh awarded through auctions in 2025

During 2025, more than 80 GWh of energy storage capacity were awarded across Europe, according to an exclusive compilation by Energía Estratégica. The figure, which includes tenders in at least ten countries, reflects an unprecedented level of planning, far exceeding the 25 GWh that were actually built during the same year.

The awarded volume comes from a wide range of mechanisms: capacity markets, state aid schemes, European Union–funded programs, and innovative national initiatives. Among the countries that allocated the largest volumes are Poland (20 GWh), United Kingdom (18 GWh), Bulgaria (13.7 GWh), Italy (10 GWh) and Spain (9.4 GWh).

Meanwhile, Germany, Lithuania, Belgium, Greece, Romania and Portugal also participated actively, albeit with smaller volumes. Spain awarded 9.4 GWh of storage in the final resolution of its FEDER program, bringing total public aid to €818 million, with changes in the territorial allocation compared to preliminary estimates. Iberdrola, Atlantica and Rolwind together account for more than 51% of the awarded capacity, positioning themselves as leading storage players in the country.

Italy followed with 10 GWh, awarded in the first auction of the MACSE mechanism, aimed at long-duration energy storage. The process, focused on southern regions and islands, became a benchmark in Europe due to its competitiveness: the average clearing price was just €12,959/MWh/year, well below the cap of €37,000. This outcome surprised the market and contrasts sharply with other schemes, such as Central European capacity markets, where payments have been significantly higher.

Although the average duration of MACSE projects was longer—around 7 hours, compared to 4 hours in Spain’s call—renewable energy executives note that Spain’s tender proved “more efficient for public administration” in terms of price levels.

Poland’s capacity market auction for delivery year 2030 allocated the largest amount of storage: 20 GWh. Awardees included companies such as Grenergy, which secured 2.1 GWh, R.Power with 4 GWh, as well as Axpo, Nala Renewables, RWE and PGE.

The system operator PSE SA set the clearing price at 465.02 PLN/kW/year, equivalent to approximately USD 128/kW/year, marking one of the first auctions in the country where battery storage competed strongly in a market traditionally dominated by gas-fired capacity.

The United Kingdom awarded 18 GWh through its capacity market, reaffirming its role as a mature jurisdiction for energy storage, offering stable contracts with 4–5 year visibility. Bulgaria followed, allocating 13.7 GWh via the RESTORE 1 and RESTORE 2 programs, financing 113 projects with investments exceeding USD 1.3 billion, supported by European funds and doubling the original targets.

Lithuania, for its part, awarded 4 GWh through a state support scheme. More than 50 proposals were submitted, and public funding will cover on average 14.7% of total project value, estimated at over €840 million. Individual installations will range from 30 to 300 MWh, aimed at enhancing national grid security and flexibility.

Belgium awarded 2,848 MWh in its latest national auction. Greece and Germany each allocated 750 MWh, although it is worth noting that the German market added 6.57 GWh of new installed storage capacity during 2025, bringing total capacity to 24 GWh.

Part of this expansion was driven by the InnovationAuction, a program that incentivizes the co-location of storage with renewable generation, which allocated 750 MWh in its most recent round.

Portugal completed the map by awarding 500 MW of power across 43 storage projects, representing an estimated 750 MWh. The €100 million in aid was granted by the Ministry of Energy under the Recovery and Resilience Plan (RRP), with projects scheduled to come online before the end of 2025. The power-to-energy ratio confirms that these are short-duration storage systems, primarily aimed at flexibility services.

Finally, Romania awarded at least 700 MWh of storage through its national grant scheme, also backed by RRF funds. The country also inaugurated a large-scale solar-plus-storage project and is advancing the development of a 1 GW pumped hydro storage plant, seeking to lay solid foundations for large-scale renewable energy integration.

A substantial share of the awards—particularly in Poland, the United Kingdom, Greece and Belgium—took place within capacity market frameworks. These mechanisms, originally designed for dispatchable generation, have gradually opened to battery energy storage, which has successfully competed across multiple auction rounds.

It is worth recalling that Spain is still awaiting formal approval of its own capacity mechanism, currently under review by the European Commission. Once authorized, it is expected to become a key instrument to provide revenue certainty for projects that today rely solely on subsidies or merchant market exposure.

Beyond headline figures, 2025 marked the consolidation of diverse support mechanisms for energy storage, ranging from traditional capacity markets to new state-led programs like MACSE and EU-backed instruments channelled through the RRF. This diversity reflects how each country is tailoring its regulatory tools to the specific needs of its power system.

Nevertheless, deployment is not without risks. Many schemes require commercial operation between 2026 and 2030, placing pressure on developers. Some awarded prices—particularly the exceptionally low levels seen in Italy—could complicate final investment decisions unless accompanied by regulatory stability or complementary revenue streams.

In short, Europe’s energy storage landscape changed dramatically in just twelve months. With more than 80 GWh awarded, Europe not only multiplied its investment signals, but also made clear that energy storage is no longer marginal—it is now a structural pillar of the energy transition.