NORD/LB, with Banco Santander and ECO STOR, have announced a financing package for the 300 MW/718 MWh Foerderstedt BESS project in Germany. The project – the largest ever constructed and financed in Germany – is set to go live in 2027.
The new facility is designed to provide large-scale flexibility to the German power system. It will support renewable energy integration, and is expected to strengthen grid stability and enhance security of supply.
The project is supported by a recently announced long-term ‘Flexibility Tolling Agreement’ with Next Kraftwerke, a prominent European virtual power plant operator. The tolling agreement provides a long-term commercial framework for the project and enables the battery to be optimised across multiple energy and balancing markets. What is said to be an innovative structure combines revenue certainty with operational flexibility, reflecting the increasing maturity of utility-scale battery storage and supporting the project’s financing.
As Germany accelerates its energy transition, demand for large-scale BESS is growing rapidly, driven by the need for a more stable and flexible grid. ECO STOR is involving itself in meeting this need by developing the Foerderstedt site and other important projects, which will expand the country’s storage capacity.
Over the past few years, NORD/LB has financed some of the largest battery BESS projects in Europe, supporting more than 11 GWh of capacity across the continent, including more than 1 GWh in Germany. This track record has helped establish it as one of Europe’s leading lenders in the energy storage sector, and the bank intends to continue with other important projects.
Jörn Rohland, CFO at ECO STOR, commented: “Projects such as Foerderstedt do more than add storage capacity. They provide critical infrastructure that strengthens grid stability, supports the integration of renewable energy and enhances security of supply. The fact that this can be achieved through private-sector investment and commercial financing demonstrates the increasing ability of the market to deliver essential energy transition infrastructure without relying on public funding.”
