Maturity assessment of grid-scale flexibility and energy storage services towards a decarbonized Europe

Abstract

Background The study evaluates the maturity of grid-scale flexibility services, essential for Europe's transition to a decarbonized economy. Conducted under the Horizon-Europe SINNOGENES project, it focuses on energy storage technologies, regulatory frameworks, and stakeholder perspectives. Methods The methodology comprises three phases. First, significant grid-scale energy storage and flexibility technologies, including Battery Energy Storage Systems (BESS) and Vehicle-to-Grid (V2G) systems, were reviewed. Second, the regulatory framework for flexibility services at the EU transmission systems level was assessed, analyzing key EU directives and national regulations from Spain, Portugal, Germany, Cyprus, and Switzerland. Third, stakeholder perspectives were gathered through a survey of forty-four stakeholders in the European energy sector and bilateral interviews with companies and organizations in the energy sector. Results Technological advancements in grid-scale flexibility services have been identified, along with persistent regulatory challenges. The survey and interviews revealed a varied perception among stakeholders regarding the maturity and implementation of these services. A high demand for flexibility was noted, with 77% of stakeholders expressing a need for or active use of flexibility services. Electrochemical energy storage and demand response were highlighted as the most relevant technologies. However, high implementation costs, perceived insufficient benefits, and regulatory uncertainties were major barriers to widespread adoption. Conclusions The study concludes that despite notable technological progress and some regulatory advancements, several barriers still impede the full maturity and integration of grid-scale flexibility services in Europe. Addressing these regulatory and market challenges is crucial for achieving a fully functional and integrated flexibility service framework across the European grid. Harmonized regulations, financial incentives, and clear long-term pricing signals are essential to support the market.