Octopus Energy's generation arm has entered a joint venture with Nexta Capital Partners to venture into Italy's burgeoning battery storage market. The partnership, based in Milan, aims to develop up to 1.5GW of commercial-scale battery storage systems across multiple projects, predominantly in the southern region of Italy.
Upon completion, the operational projects are projected to store and release sufficient electricity to power approximately one million homes daily. Octopus Energy and Nexta Capital Partners are also exploring the optimization of battery assets through Octopus' flexibility platform, Kraken, which currently manages 6GW of green energy assets.
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This strategic move aligns with Octopus Energy's broader plan to invest €1 billion in Italy by 2030, as part of its efforts to accelerate the country's transition to green energy. Italy has emerged as one of Europe's rapidly growing energy storage markets, recently implementing support mechanisms for this nascent sector. In line with decarbonization goals, Italy aims to construct 9GW of new grid-scale energy storage and increase renewable targets, aspiring to derive 65% of electricity from green sources by 2030.
The investment stems from Octopus Energy Development Partnership (OEDP), a fund managed by Octopus Energy Generation that supports developers in creating new green power across Europe, contributing to future reductions in energy bills for consumers.
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This collaboration builds upon OEDP's existing partnership with Nexta, extending beyond wind and solar farms to now include advancements in the battery storage sector. Zoisa North-Bond, CEO of Octopus Energy Generation, expressed enthusiasm about the venture, stating, “Italy is an incredibly interesting and fast-growing market for renewables, and there's significant untapped potential in the energy storage sector.”
