Key Highlights
- Partnership targets large-scale euro battery storage system projects in Germany to support grid stability and renewable integration.
- Palladio Partners provides financing and market access, while Voltfang leads planning, operations, and second-use battery technology.
- Projects will repurpose unused EV battery modules and strengthen Germany’s battery storage infrastructure amid rising renewable demand.
Palladio Partners, an infrastructure-focused investor, and Voltfang, a battery storage specialist, have formed a binding partnership to expand large-scale battery storage systems (BESS) across Germany. The collaboration represents an investment of approximately €250 million to stabilize the power grid, improve efficiency, and accelerate renewable energy integration.
The first projects are expected to reach construction readiness later this year, funded through a Palladio-managed transformation fund supported by institutional investors, including pension funds and insurers.
A Strategic Match of Financing and Technology
Oliver Sauer, Partner at Palladio Partners, emphasized the opportunity: “With the growing demand for electricity storage and the continued decline in technology costs, this is a particularly attractive time to be investing. Voltfang offers sustainable solutions that align perfectly with our transformation fund.”
David Oudsandji, founder of Voltfang, added: “When implementing projects on this scale, two factors are crucial: scalable battery expertise and robust financing. Palladio offers excellent access to capital, while Voltfang brings unmatched technological expertise in the German market.”
Under the agreement, Voltfang will oversee project planning, construction, and operations, while Palladio Partners will manage financing and commercialization.
Second-Life Batteries at Grid Scale
A defining sustainability feature is Voltfang’s use of second-use EV battery modules, unused battery cells initially manufactured for electric vehicles. These modules are tested, requalified, and repurposed for grid-scale storage applications, offering a cost-effective and environmentally friendly solution for expanding Germany’s battery storage infrastructure.
The systems will help balance supply during peaks in renewable generation, such as solar surpluses, and will contribute to both balancing energy and wholesale electricity markets.
Meeting Storage Needs in Germany
The demand for large-scale storage in Germany is rising sharply. According to the Fraunhofer Institute for Solar Energy Systems (ISE), the country will require 100 GWh of storage by 2030 and 180 GWh by 2045. At present, capacity is only about 3 GWh, highlighting the urgent need for new investment.
By combining institutional financing from Palladio Partners with sustainable battery technology from Voltfang, the partnership aims to close this gap and play a pivotal role in shaping Germany’s energy transition.