Increasingly, such long-term commercial partnerships are playing a key role in enabling investments that strengthen power grid flexibility while also supporting the resilience of Italy’s electricity transmission system and the country’s energy transition.

The project, built, owned and operated by Zelestra, will provide approximately 830 MWh of energy storage capacity. Located in Friuli-Venezia Giulia, in northeastern Italy, the BESS will support the growing adoption of renewable energy in one of Italy's most heavily industrialised regions.

Under the agreement, Axpo will provide optimisation services to enable the BESS to smoothly integrate increasing volumes of renewably generated electricity while also delivering flexibility services to the Italian electricity grid. The agreement’s structure will also provide long-term revenue visibility for Zelestra.

Construction is expected to start in 2027, with commercial operation planned for 2028.

“Flexible generation is a cornerstone of Italy's energy transition” said Axpo Italia’s Head of Origination and Structured Products, Simone Rodolfi. “As renewable energy capacity grows, solutions like battery energy storage systems are essential to ensure grid stability and maximise the value of clean power generation. This is our first BESS agreement in Italy and we’re proud to partner with Zelestra. Our landmark partnership demonstrates Axpo's commitment to innovative energy solutions and strengthens our position in the Italian market as a trusted partner for origination and risk management. The agreement has the potential to open new opportunities in the rapidly growing storage sector.”

The partnership between Axpo and Zelestra reflects the commitment of both companies to accelerating the deployment of large-scale energy storage by using innovative commercial structures that enable renewable integration, strengthen security of supply and support the continued evolution of Italy's electricity market.

For additional information:

Zelestra

Axpo