200MW/800MWh! AuraPower's Plan To Deploy Battery Energy Storage Projects in Italy Gets Approval

According to reports, UK-based renewable energy developer AuraPower has announced that the Italian government has approved the company's plan to deploy a 200MW/800MWh battery energy storage system in Italy.

According to industry media reports, the Italian government recently issued a decree confirming that the Campania regional government approved AuraPower's application to deploy the project in January this year. Back in 2018, the project developed by AuraPower was connected to the grid of transmission system operator (TSO) Terna.

The company, which is active across Europe but mainly in the UK, said the battery storage system would start to be deployed in 2025.

AuraPower’s announcement last week coincided with the approval by the Italian Energy, Network and Environmental Regulatory Agency (ARERA) of the criteria and conditions for the deployment of large-scale energy storage systems in the electricity market. The new rules will allow Terna to conduct large-scale auctions for energy storage systems, which sources expect will take place in late 2023 or early 2024.

AuraPower has the support of local law firm Legance to move the energy storage project into preparation. Cristina Martorana, partner at the firm, commented: “I still remember AuraPower contacting me 5 years ago to ask for legal support for this project in the field of battery storage. The legal framework was completely missing at the time. Now, because of the forward-looking approach adopted by AuraPower approach, the high level of cooperation and professionalism shown by all authorities involved in the authorization process, has advanced the imminent deployment of the Maddaloni energy storage project. By deploying this battery energy storage project, Legance Law Firm can have unique expertise in the relevant market .”

With rapid reserve and capacity market auctions in 2020 and 2022, Italy's grid-scale energy storage market is expected to grow significantly in the coming years. The business case revolves around capacity markets, energy trading and renewable load shifting, as illustrated by AuraPower's planned battery storage system.