Hybrid PV systems are a cornerstone of the energy transition because they combine renewable generation, storage and grid integration. We spoke to Thorsten Jörß, Head of Project Development Photovoltaics at EnBW, on what role hybrid PV systems play for large utilities and energy producers. He explains the strategic significance of these projects, which regulatory and technical hurdles they face and the role hybrid parks can play in profitability, grid stability and supply security.
How does EnBW currently view the importance of hybrid power plants in Germany and Europe?
Hybrid power plants are gaining significant importance in Germany and increasingly throughout Europe. They bring renewable generation, storage and grid integration closer together. For EnBW, they are essential for increasing the availability of green electricity and for operating plants more profitably.
Are there any hybrid projects or project pipelines that are already planned or under construction?
Yes, we have already deployed several hybrid projects, especially solar installations combined with battery storage, and more projects will be put into operation in the coming months. A recent example is a project in Öhringen in northern Baden-Württemberg, Germany, with a 6.2-megawatt (MW) solar farm and a battery capacity of 6.1 megawatt hours (MWh). Numerous other projects are currently in the pipeline, including one particular highlight: the energy park in Gundelsheim. The solar farm and battery storage system are already in operation, while the wind farm at the same site has now received approval under the German Federal Immission Protection Act (BImSchG). In addition to such co-location and hybrid projects, EnBW also builds large standalone battery storage systems, such as the 100-MW storage system in Marbach with 100 MWh capacity. More projects like this will follow.
To what extent will storage systems become a standard component in generation projects? Are stand-alone solar farms still feasible at all?
EnBW now generally plans solar farms in combination with battery storage, following a decision we took and announced around three years ago. Since then, we have made sure to include storage in project development and approval processes from the start, making this combination the standard for us. Of course, the exact process depends on site-specific conditions, such as whether approvals can be obtained or whether storage systems are permitted in protected areas.
The process has definitely become more complex. There are huge challenges, especially when it comes to current regulation. We are waiting for several legislative packages that must be properly harmonized with each other. This includes the revision of the German Renewable Energy Sources Act (EEG), the grid package and the general network tariff system (AgNes) proceedings. These regulatory issues need to be considered along with the approval requirements, resulting in a high overall level of complexity.
Which new business models arising from hybrid power plants and changes in German subsidies are relevant to EnBW, and why?
EnBW operates along the entire electricity sector value chain, including in grids, generation, electricity trading, distribution and electromobility. This opens up a wide range of new opportunities and business models. When it comes to hybrid projects, in particular solar farms with battery storage, all models that combine generation, flexibility and electricity marketing are relevant for EnBW. Direct marketing and hybrid PPAs are especially important.
Hybrid projects are definitely an important part of making renewable power generation more reliable. However, it is difficult to maintain a 24/7 supply solely from such projects. It requires suitable regulation and subsidy policies, further grid expansion, flexible consumers and backup power plants that are available on demand.
We are currently waiting on various legal conditions that need to be well coordinated, most importantly the revision of the EEG, the grid package and the AgNes regulation. The EEG is about creating reliable investment conditions and economic prospects for projects. The EEG is set to transition from fixed subsidies to a model with bilateral contracts for difference. However, the specific framework conditions have not been defined yet, even though the current system expires at the end of this year. The time pressure is huge. Our concern is that these legislative packages will be adopted by the end of the year without being sufficiently harmonized.
We are currently in the middle of a difficult transition period. We are waiting for the regulatory framework and counting on policymakers to make the right decisions, without yet knowing what the situation will look like from 2027 onwards. That is a big challenge. We are a stable company, so we can handle this quite well compared to others. For the industry as whole, however, I believe this uncertainty is a massive problem.
The PV and battery storage industry is highly innovative, and many technical challenges can already be overcome today. An important issue is the need for close cooperation with grid operators. Taking a holistic approach to battery storage, grid integration and grid expansion from the outset could result in a very successful model. Early involvement of all relevant partners is key to ensuring projects and grid expansion are well coordinated.
Hybrid projects can help balance feed-in, thereby reducing redispatch costs. If carefully planned and tailored to their sites, with marketing and grid expansion taken into account, they can make a significant contribution to grid stability.
