German lender NORD/LB has arranged a financing package for the 238-megawatt-hour Schuby battery energy storage project in the state of Schleswig-Holstein, the bank said.
The facility will comprise 64 battery units and 31 power conversion systems and is scheduled to enter operation in 2026, NORD/LB said.
The project is backed by a tolling agreement with Swiss energy company Alpiq, which will provide five years of stable commercial revenue for developer ECO STOR, according to the bank.
“We are delighted to support ECO STOR in financing its latest large-scale battery energy storage development in Germany,” Florian Hock, senior director at NORD/LB, said in a statement.
“The roll-out of battery energy storage systems requires significant capital, and the innovative tolling agreement underpinning this transaction provides a secure and bankable model for financing this essential infrastructure going forward,” he added.
ECO STOR said the financing highlights growing confidence in the sector. “The successful financing of Schuby demonstrates that large-scale battery storage in Germany has reached a level of commercial maturity where projects can be realised with private capital and without subsidies,” Jörn Rohland, chief financial officer at ECO STOR, said.
NORD/LB said it has now financed more than 10 battery energy storage projects and plans to draw on this experience to support a growing pipeline of projects across Europe.
