Target IRR range by project profile
Investments in BESS projects pay back within 3–5 years, with a projected internal rate of return (IRR) of 30–45%.
BESS investment projects in the Baltic region
We help you evaluate, finance and develop BESS investment projects – from presenting the investment opportunity to due diligence, the financial model, permits, grid connection and long-term return optimization.
Energy storage – a growing investment direction in the Baltics
The Baltic BESS market is still taking shape, but demand for energy storage is growing fast. Synchronization with the continental European grid, renewable energy expansion and a rising need for balancing are creating new opportunities for investors.
REEI has prepared the „Baltics BESS Market Outlook 2026–2030“ apžvalgą. Download it for free or explore the key insights below.
Demand for BESS capacity is set to grow severalfold
- Today
Lithuania has around 200 MW / 200 MWh of 1-hour energy storage capacity installed.
- By 2030
A portfolio of around 1,500 MW / 4,400 MWh is planned.
- By 2050
Long-term demand reaches around 4,000 MW / 16,000 MWh.
What it means for investors?
The market is still at an early stage, but projected demand shows significant room for growth. The capacity planned by 2030 alone means about 7.5x more power and about 22x more energy capacity than today.
From short-duration storage to longer-duration systems
- Today
Existing capacity mostly follows a ~1-hour storage model.
- By 2030
The planned portfolio shifts to a mix of 1, 2 and 4-hour systems, with an average duration of about 2.93 hours.
- By 2050
The target approaches an average duration of 4 hours.
What it means for investors?
BESS market value grows not only through MW of power but also through MWh of capacity. Longer-duration systems can participate in a broader revenue model – not only fast-response services but also energy shifting, arbitrage and future flexibility products.
Balancing needs grow together with renewables
- Today
After synchronization with the continental European grid, the Baltic states must provide more frequency stability and system balancing themselves.
- By 2030
Litgrid forecasts that demand for aFRR / mFRR balancing reserves may grow by around 80%.
What it means for investors?
The more solar and wind in the system, the greater the need for fast-responding balancing solutions. Here, BESS is not a “nice to have” extra but infrastructure the market itself needs to operate reliably.
BESS revenues come from several market sources
- Today
BESS projects can participate in balancing markets such as FCR, aFRR and mFRR, and trade in the Nord Pool day-ahead and intraday markets.
- Forecast
2026 simulations show that a 50 MW / 100 MWh BESS project in Lithuania can generate more than €20,000/MW per month from multiple revenue streams.
What it means for investors?
A BESS project's potential does not rest on a single revenue source. Stronger projects are built on revenue stacking – balancing services, arbitrage, reserve markets and aggregator optimization. This makes it easier to manage market shifts and reduces dependence on the price of any single service.
Early market means opportunity, but also risk
- Today
The market still has a limited track record of operating private BESS projects, and banks and insurers assess projects cautiously.
- Forecast
As BESS capacity grows, some revenues, especially FCR, may decline due to competition.
What it means for investors?
Early entry can provide an advantage, but each project must be assessed carefully: grid connection, permits, CAPEX, OPEX, financing structure, revenue scenarios and risk management all matter. That is why BESS investing requires not only capital but also a strong local technical and regulatory partner.
How do BESS projects create investment value?
Revenue from balancing markets
Battery storage systems can participate in the FCR, aFRR and mFRR reserve markets, generating income from grid balancing services.
Smart EMS management and optimized trading via an aggregator
Smart AI algorithms are deployed to optimize aggregator operations and maximize project profitability.
Co-investment opportunities
Several partners can invest in BESS parks or individual battery storage projects, sharing the risk, costs and returns.
BESS Parks
Investment projects currently open
UTENA BESS PARK II 100 MW / 200 MWh
Open for investment
The Utena BESS Park is a 100 MW / 200 MWh battery energy storage system in early-stage development in the Utena region, Lithuania.
DUKSTAS BESS PARK 12 MW / 30 MWh
Sold
The Dukstas BESS Park is a 10 MW / 20 MWh battery energy storage system planned in the Dukstas area of the Ignalina region, Lithuania. Strategically connected to the 10/35/110 kV Dukstas substation, the project offers a highly cost-effective and technically optimized grid connection point.
UTENA BESS PARK I 8 MW / 20 MWh
Sold
Utenos BESS parkas – tai 8 MW baterijų energijos kaupimo sistema, esanti Utenos regione, Lietuvoje; tolimesni projekto realizacijos darbai jau vykdomi.
AKMENE BESS PARK 100 MW / 200 MWh
Sold
The Akmene BESS Park is a 100 MW / 200 MWh battery energy storage system planned in the Akmenė district. Strategically connected to the new 30/330 kV transformer substation, the project ensures a highly cost-effective and technically optimized grid connection point.
Support at every stage of a BESS investment
Investing in BESS projects requires not only capital but also a clear technical, financial and regulatory assessment. REEI helps investors understand project potential, evaluate risks and make informed decisions at every stage of the investment.
Market research
Decisions based on market and regulatory data
- We maintain and continuously update a database of Baltic solar, wind and BESS projects.
- We monitor and assess regulatory changes (ESO / Litgrid, AST, Elering).
- We compare CAPEX, OPEX and IRR scenarios across projects.
- Technical and economic feasibility studies.
- Project bankability report.
Outcomes: clearer project potential and lower risk when making an investment decision.
Project and partner selection
Curated opportunities instead of fragmented search
- We identify ready-to-build and early-stage BESS / renewable energy projects.
- We run PPA partner searches between renewable generators and large consumers.
- We prepare technical, financial and legal due diligence packages.
- We help establish relationships with local developers, EPC partners, aggregators and regulators.
Outcome: access to curated BESS projects and vetted partners.
Financial modelling
Clear numbers before the investment decision
- We build custom financial models (IRR, NPV, payback period, sensitivity analysis).
- We model revenue stacking (FCR, aFRR, mFRR, arbitrage).
- We structure the financing: equity-to-debt ratio, development costs, subsidies, bank guarantees.
- We prepare investment memoranda and presentations tailored to investment committee (IC) requirements.
Outcome: a transparent financial case and a defined financing structure.
Risk management and compliance
Fewer hidden risks along the way
- We advise on bank guarantees, curtailment conditions and insurance costs.
- We ensure compliance with EU and Lithuanian regulation (double charging, grid fees).
- We run sensitivity analysis of market, regulatory and technical risks.
- Community engagement planning for smooth local acceptance of the project.
Outcome: projects that meet legal requirements and are more resilient to regulatory and market changes.
Long-term investment optimization
Return optimization across the whole project lifecycle
- We work with aggregators that optimize market trading.
- We track key performance indicators: availability, degradation, actual vs. planned IRR.
- We help plan system upgrades and run O&M procurement.
- We provide quarterly market reviews so operations stay aligned with new opportunities.
Outcome: more stable income and better control of returns throughout the investment period.
Process
How does investing with us work?
We start by clearly assessing the investment opportunities. Based on your capital size, investment interests and the opportunities available in the market, we help you choose the most suitable path – from participating in BESS projects already under development to developing a new, larger-scale battery storage park.
Free introductory consultation
We briefly present the Baltic BESS market context, possible investment directions and REEI’s projects under development or open for investment. We also discuss whether it is more relevant for you to join a project already in development or to evaluate developing a new, larger-scale BESS park.
Preliminary cooperation proposal
After the consultation we prepare a preliminary cooperation proposal. It clearly lays out the full scope of work and the cost of equipment and materials, together with a preliminary payback estimate. We also specify the additional data required, the planned due diligence directions, financial model options, project timelines and other cooperation terms.
Project due diligence and final details
We collect the required project and investor data, assess the technical, financing, legal and regulatory compliance aspects, and prepare the budget, ROI / IRR scenarios, risk analysis and a possible financing structure.
Project implementation stages
Once the decision is made to move forward, we guide the project through the key implementation stages: permitting, grid connection terms, design, securing financing, equipment procurement, contractor coordination, installation, testing and the start of operations.
How is a BESS project's payback calculated?
Every BESS project is assessed by its size, grid connection conditions, CAPEX, OPEX, financing structure, revenue sources and risk profile. REEI builds financial models that help investors understand the expected payback, IRR, NPV and sensitivity to market changes.
Different revenue scenarios are modelled, including balancing markets, arbitrage, aggregator operations and other potential revenue sources. This lets investors make decisions based on the numbers of a specific project rather than a general market promise.
BESS project development and grid connection
Developing BESS projects requires consistent work on permits, grid connection terms, the technical design, equipment compliance, testing and regulatory requirements. REEI helps investors and developers understand this process, assess timelines and manage the key stages of project delivery.
Step
Capacity reservation
Step
Preliminary connection conditions
Step
Letter of intent
Step
Fulfillment of obligations guarantee
Step
Permit to develop energy storage capacity (VERT)
Step
Connection conditions
Step
Building/construction design
Step
Connection agreement
Step
Construction
Step
Equipment compliance assessment
Step
Transmission services and imbalance services agreement
Step
Trial operation
Step
Performance tests
Step
Permit to generate electricity (VERT)
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FAQ
Frequently asked questions
Find answers to the most common questions about investing in Baltic BESS projects.
We collaborate with renewable energy developers, EPCs, aggregators, utilities, large energy consumers, and investors across the Baltics. Our role is to connect the technical, financial, and regulatory sides of the market – helping partners and investors develop and deliver bankable, high-performing renewable and storage projects.
Yes. We coordinate with transmission and distribution operators (ESO, Litgrid, AST, Elering) and guide clients through environmental and regulatory processes to ensure full compliance and timely approvals.
Yes. We provide consulting across technical, regulatory, and financial domains — including CAPEX/OPEX benchmarking, feasibility studies, and contract optimization.
We apply consistent due diligence standards, financial modeling, and performance tracking to ensure all projects meet investor and lender expectations.
We connect investors with vetted, ready-to-build or early-stage renewable and storage projects in the Baltics, covering BESS assets.
Returns vary by project size and risk profile, but we typically target double-digit IRR for well-structured BESS and hybrid renewable projects.
REEI works closely with financial institutions, banks, and development funds to deliver projects that meet lender and investor standards. Each project undergoes technical, financial, and legal due diligence and includes detailed financial models, feasibility studies, and risk assessments. We structure financing through a mix of equity, debt, grants, and guarantees, and support PPA negotiations as well as multi-revenue models such as FCR, aFRR, and mFRR to ensure strong, sustainable returns.
The Baltics combine strong renewable potential, improving regulatory frameworks, and growing grid flexibility needs – offering early-mover advantages and competitive returns in a fast-developing market.
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