This year’s SolarPower Europe report didn’t just deliver data, it delivered a wake-up call. After a decade of building out renewables, Europe is now entering a new phase: the age of energy flexibility. Battery energy storage systems (BESS), once seen as a supporting act, are quickly becoming the backbone of a grid that’s struggling to stay balanced in a renewable-first world. Three things stand out: the pace of change over the last five years, the potential growth in the next five, and the speed at which technologies are being implemented.
Shocking Growth
The numbers are impossible to ignore. In just five years, Europe’s BESS market has grown from 2 GWh to nearly 22 GWh. A third of that came in the past year alone. Yes, the growth rate has slowed to 15% from the breakneck pace of 2022-2023, but that’s not a decline, it’s a sign of market maturity. And a stabilizing market is ideal for business: less chaos, more predictability.
Rapid growth grabs headlines, but stable growth builds markets. The projected rise to 118 GWh in annual installations by 2029 shows that we’re no longer in the experimentation phase. Battery storage is now becoming a part of central infrastructure. And yet, even if we stay on this record-breaking trajectory, Europe will still only meet half of its estimated 2030 storage needs to fully transition to renewables.
Reasons the Market Is Catching Fire
At the heart of this boom is a blend of necessity and opportunity. First, there’s the raw need: grids overloaded with intermittent renewables need balance, and fast. In 2024, Germany hit 62.7% renewable electricity, an incredible achievement that comes with a serious challenge. Without storage, it can't handle the growth. Without batteries, it's like a car with an accelerator but no brakes.
Second, the economics have changed. Five years ago, battery storage wasn’t viable for most businesses and could cost businesses hand and leg. Battery prices have dropped significantly in recent years. Even small systems can pay for themselves through peak shaving and energy arbitrage. Countries that recognize this are already reaping the benefits. Balance can’t be bought once, it needs continuous maintenance. And for that, BESS is irreplaceable.
Where Is Switzerland in This Scenario?
Switzerland’s story is especially instructive. For years, the country leaned on hydropower and saw little need for battery storage. That changed in 2024 when the country adopted a new strategy to rapidly scale solar generation. Three factors aligned: a clear need, strategic policy, and technological readiness. Battery prices dropped, investments became attractive, and Switzerland seized the opportunity.
Results are already visible: BESS capacity doubled in 2022, grew 73% in 2023, and climbed over another 50% in 2024. And this is just the beginning. Switzerland isn’t catching up, it’s entering the game at the perfect time, with the perfect toolkit.
For Switzerland, the implications are clear: the country’s energy strategy is now anchored in a triple-renewables push, with solar as the main driver, and that means weather-dependent generation will soon test the resilience of the grid. To avoid volatility, Switzerland must rapidly expand storage capacity, not only to stabilize supply but also to capture the benefits of its upcoming electricity market liberalization. Batteries can bridge the gap between sunny, low-demand hours and peak evening consumption, turning intermittency into opportunity. In this sense, storage is not just a technical fix but a market enabler, helping Switzerland align reliability with competitiveness at exactly the moment when both are most at stake.
Concrete policy action must now focus on amplifying impact where it matters most: Utility-scale and Commercial & Industrial (C&I) storage. Switzerland’s solar PV subsidy scheme, which successfully compensates around 30% of installation costs, shows how targeted financial support can accelerate adoption — a similar model applied to C&I batteries would unlock significant capacity on the demand side. At the same time, utility-scale BESS projects require regulatory streamlining: faster permitting, simplified construction rules, and clearer, more efficient grid connection procedures. These steps would not only speed up deployment but also ensure that storage becomes an integrated part of national infrastructure rather than an afterthought.
Market Segments: Who’s Winning?
BESS brings value to every player: households, businesses, and grid operators. Homeowners gain autonomy and control over expenses. Businesses with dynamic tariffs can cut costs by charging during the day and consuming in the evening. Grids gain stability.
Storage Without Strategy Is Just Hardware
Here’s where the conversation gets interesting. Batteries are the muscle but EMS (Energy Management Systems) are the brain. EMS platforms decide when to charge, when to discharge, and how to turn kilowatt-hours into revenue. Without them, batteries sit idle. With them, they become profit centers.
Final Thought: Who Will Lead?
The future of Europe’s grid won’t be written only by energy ministries or utilities. It will be shaped by homeowners installing micro-batteries, startups building EMS platforms, and businesses making storage part of their core operations.
This year’s SolarPower Europe report makes one thing abundantly clear: BESS is no longer niche. It’s essential. And the smartest players in the market already know the question isn’t if, it’s how fast can we scale?