Germany has launched a market-based mechanism for procuring instantaneous reserve, allowing inverter-based assets and battery energy storage systems (BESS) to participate for the first time, creating new revenue opportunities while raising questions over long-term.
Across the EU, photovoltaics surpassed coal-fired power generation for the first time in 2025. Wind power was the strongest net electricity producer in Germany, although production was 3. 2 percent lower than in the previous year at 132 terawatt hours (TWh) due to poorer wind.
As Europe's largest electricity market faces a grid connection crisis, co-located energy storage systems (ESS) emerge as the critical pathway to unlocking solar potential, maximizing revenues, and ensuring system stability.
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