The new agreement covers the full scope of optimisation services for a 300 MW/1,200 MWh storage facility to be built in Dzięgielewo, east-central Poland. It is to date the largest agreement of its kind for the optimisation of a single BESS project in Central and Eastern Europe, and one of the largest in Europe more widely.

Following the January announcement of their optimisation deal for Jedwabno BESS, northern Poland, the agreement extends a long-standing partnership between R.Power and Axpo in Poland.

This agreement will begin at the start of commercial operation and runs until the end of 2038. It is based on a profit-sharing mechanism between Axpo and R.Power, combined with a minimum revenue guarantee (floor) that will help to secure the future of Dzięgielewo – one of Poland’s largest planned BESS installations and a key project in R.Power’s 1.7 GW/6.3 GWh Polish energy storage pipeline.

The scale and capacity of the installation is expected to significantly increase the flexibility of Poland’s power system, support integration of the growing renewable energy supply, and provide ancillary services to the balancing market.

“Our partnership with R.Power on the Dzięgielewo project is another step towards building Axpo’s leading position in the large-scale energy storage segment in Poland” said Axpo Polska Managing Director Mateusz Marczewski. “Our goal remains to maximise the value of our partners’ assets throughout their entire life cycle – from participation in power and ancillary services markets to a commercialisation model tailored to bankability requirements.”

R.Power and Axpo in Poland have a long-standing partnership that includes, among other things, long-term power purchase agreements (PPAs) for around 300 MW of photovoltaic capacity and a contract to optimise the Jedwabno storage facility (150 MW/300 MWh). Following the signing of the Dzięgielewo agreement, the total contracted storage capacity with R.Power will reach 450 MW/1,500 MWh.

“The trust we have built with R.Power through PPA projects and our recent agreement for Jedwabno enabled us, in a short time, to define a cooperation framework for an asset as large as the Dzięgielewo storage p”oject" added Axpo Polska Head of Origination Krzysztof Włodyga. “A key challenge was scaling solutions to 300 MW and refining them in the context of rapidly evolving operational and regulatory standards.”

This latest contract for the Dzięgielewo project strengthens Axpo’s position as a technology and trading partner for large-scale energy storage in Poland. For several years, Axpo has been developing, building and commercially optimising utility scale storage systems across Europe. Axpo has been active in Poland for 25 years and today is one of the country’s largest independent energy dealers and offtakers of renewable energy, managing a renewable energy portfolio of around 16 TWh and developing photovoltaic, BESS and biogas projects.

For additional information:

R.Power

Axpo Poland