Europe System Flexibility and Energy Storage Outlook
The big five power markets in Europe (France, Germany, Great Britain, Italy and Spain) are in the process of decarbonisation. We expect variable renewable energy (VRE; wind and solar PV generation) to be the largest source of power supply by 2023. We estimate 298 GW of new VRE by 2040. This brings about a power supply-demand balancing challenge that most existing assets were not designed for. Therefore, we expect a flexibility market for new, more capable assets to flourish. We discuss the flexibility challenge and provide our view of energy storage out to 2040.
Rory is a principal analyst with the Global Energy Storage team at Wood Mackenzie Power & Renewables, where he focuses on the Europe, Middle East and Africa storage markets. Rory has more than eight years of experience in the energy space, along with a previous career in software systems and deployment. Prior to joining Wood Mackenzie he worked at an early-stage tech firm, developing grid-scale front-of and behind-the-meter storage projects. Before this he worked at Ofgem, the UK energy regulator, focusing on policy and regulation for the grid edge and storage.