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EASE Recommendations for the Ownership of Energy Storage

EASE (European Association for the Storage of Energy) has announced its recommendations for the ownership of Energy Storage (ES). The European Union should provide a clear legislative framework on ownership for the ES industry in order to support investment in the sector.

Why ownership?

The rising share of electricity produced by renewable energy sources (RES) in the EU increases the need for innovation in the electricity grid and the need for new RES integration and flexibility tools, such as ES.

The lack of a definition of ownership of ES devices, together with a lack of a broader definition of ES, will have to be resolved in order to allow their use as an ancillary service provider in the electricity system.

EASE has developed five recommendations and is calling upon the EU institutions to take these into account in the upcoming revision of the Renewable Energy Directive, the Energy Efficiency Directive, and especially the New Energy Market design legislation (Winter Package):

  • One cannot talk about ownership of ES by regulated entities in the abstract; instead, positions can be expressed only relative to ES applications or services.
  • The ownership of ES by regulated entities in the absence of competitive supply should be exceptional and on a temporary basis.
  • Regulated entities could be allowed to own ES in this context only upon the approval of the relevant National Regulatory Authority (NRA).
  • ES applications considered infrastructure services should be able to be delivered also with ES devices.
  • For ES applications deemed to be market services, e.g., arbitrage, only market players should be allowed to own or operate ES facilities.

EASE supports the efforts of the European Commission to reform the energy market in order to create a competitive market place and a level playing field, which, along with a definition of ES ownership taking into consideration the recommendations listed above, will make it fit for ES as an ancillary service provider. Additionally, this will enhance the investment in ES technologies.

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