On October 16, 2025, the Spanish government published Royal Decree 917/2025 in the Official State Gazette (BOE), revising Royal Decree 413/2014 to facilitate market integration of energy storage and flexible power technologies. The new regulation modifies the dispatch order under non-market conditions by removing the concept of “non-dispatchable generation” and formally including storage facilities in the category of priority generation.
According to the updated rules, renewable energy sources (including storage, provided the storage capacity is less than the renewable generation capacity) are granted the highest priority for grid connection, followed by high-efficiency cogeneration (including storage), and other technologies thereafter. The system operator (REE) may prioritize projects that contribute to grid security and power quality, while ensuring regulated income under zero and negative price scenarios.
For approximately 62,000 plants participating in the ReCoRe mechanism, the regulation stipulates that insufficient equivalent operating hours will affect annual revenue. However, to ensure income stability, unsold electricity due to zero pricing or grid constraints lasting over six consecutive hours will not be counted. The decree mandates that both generation and storage facilities connect to control centers, transmit real-time telemetry data, and accept dispatch instructions. These requirements are also extended to grid-connected loads. Cogeneration units may choose quarterly whether to sell electricity to the grid or consume it internally.
Regarding storage, the new law incorporates it into the specific renewable energy subsidy scheme, removes financial penalties for hybrid storage projects, and recognizes storage as a key technology for system flexibility and stability. Following amendments to Articles 11 and 21, hybrid storage projects without self-consumption are eligible for subsidies based on total renewable generation, with clear definitions provided for “third-type hybrid” (renewable + storage, without self-consumption) projects. Under the revised Annex XV, storage is officially granted the same priority in non-market dispatch as standalone renewable plants. Technically, storage systems over 5MW (0.5MW in island zones) must provide real-time telemetry data to REE, while hybrid systems must report generation and storage data separately. These provisions will take effect on January 1 and June 1, 2026, respectively.
This decree reinforces the central role of storage in power system operations, positioning it as a crucial enabler of flexibility and renewable energy integration. While storage is now recognized as an independent technology, no dedicated subsidy mechanism has yet been established, meaning standalone storage projects must still rely on market mechanisms, capacity markets, or future policy support to achieve profitability.
On October 16, 2025, the Polish Senate unanimously passed the Offshore Wind Energy Act, paving the way for expanded offshore wind development in the Baltic Sea and accelerating renewable energy deployment. The act aims to strengthen energy security by removing investment barriers, establishing a clear legal framework, and addressing regulatory gaps to facilitate the implementation of the country’s first offshore wind and other renewable energy tenders.
The act also promotes urban energy cooperatives and supports local energy consumption groups. It simplifies procedures for regional governments to enter into power purchase agreements (PPAs) within energy clusters and sets emissions reduction standards for biomass fuels. Additionally, it introduces a digital mapping system for renewable energy potential, identifying optimal siting zones for various renewable technologies and helping local authorities designate renewable energy acceleration areas in collaboration with communities.
Benefiting from the Baltic Sea’s stable winds, shallow waters, and low salinity, offshore wind has become a cornerstone of Poland’s energy transition. Under its National Energy and Climate Plan (NECP), Poland aims to install 5.9GW of offshore wind capacity by 2030 and 18GW by 2040. The most advanced project to date, the Baltic Power project, has a planned capacity of nearly 1,200MW and is expected to be operational in the second half of 2026. The following project, Baltica 2, with a capacity of nearly 1,500MW, is scheduled to commence operations in the second half of 2027.
On October 16, the Brazilian Electricity Regulatory Agency (ANEEL) participated in a public hearing on energy storage organized by the Joint Committee for Provisional Measure No. 1304/2025 at the Federal Senate. ANEEL Director Sandoval Feitosa stated that significant progress has been made in regulatory frameworks for storage, and the agency is prepared to license storage projects deemed necessary through national planning.
Currently, seven exclusive storage concession applications are under technical review. Feitosa emphasized that regardless of whether Congress enacts relevant legislation, ANEEL, together with the National Electricity System Operator (ONS), Energy Research Office (EPE), and the Ministry of Mines and Energy (MME), is actively driving the energy storage agenda. He specifically referenced a battery storage project implemented in Registro, São Paulo, which demonstrated the effectiveness of storage as an alternative to transmission line construction during peak demand or in localized generation scenarios.
Depending on implementation strategies, storage projects may be developed independently or integrated into the transmission system. Independent projects follow standalone cost accounting, while integrated ones adopt a cost-sharing model. Revenue streams may include price arbitrage, ancillary services, and dedicated auctions. Cost structures vary depending on the implementation model, each presenting distinct advantages and challenges. This hearing forms part of a broader series of deliberations by the Joint Committee on the 2025 Provisional Measure and is expected to shape future regulatory decisions for the energy storage sector.
