SK&S Advised Axpo Polska on Landmark Battery Storage Agreement with EDP Renewables

We have advised Axpo Polska Sp. z o.o. in the process of conclusion with EDP Renewables (EDPR) of a pioneer storage services agreement, which is one of the first private-sector arrangement securing long-term revenues for a battery energy storage system (BESS) in Poland.

The agreement, signed with Farma Fotowoltaiczna Budzyń Sp. z o.o., a special purpose vehicle from the EDPR Group, paves the way for the development of a 60 MW / 241 MWh electrochemical energy storage facility in the Greater Poland region (Wielkopolska), scheduled to begin operations in 2027.

Under the long-term contract, Axpo will manage the commercial dispatch and rendering of balancing services with use of the BESS, leveraging its pan-European expertise in flexible asset optimization. The innovative revenue model, based on a floor and revenue-sharing mechanism, ensures both financial stability for EDPR and enhanced market responsiveness for Axpo, while contributing to the stability of Poland’s electricity grid.

Our team – Tomasz Młodawski (Partner, Energy) and Krzysztof Woś (Senior Counsel, Energy) – provided comprehensive legal support to Axpo Polska, including developing and negotiating the agreement on behalf of Axpo.

This milestone project sets a precedent for energy storage development in Central and Eastern Europe and reflects growing private-sector commitment to a more flexible and resilient energy system.