Portugal's ENAE Sets Aggressive Storage Targets

Portugal has officially opened a public consultation on its National Energy Storage Strategy (ENAE), which will remain open until September 16, 2026. The comprehensive strategy outlines ambitious targets for the country's energy transition, aiming for 6.9 GW of installed storage capacity by 2030 and scaling up to 9.76 GW by 2040. This capacity will encompass pumped-hydro, batteries, and other large-scale technologies, alongside distributed storage and demand-side flexibility initiatives.

New Revenue and Capacity Mechanisms

To support these targets, the ENAE proposes a complementary remuneration structure that combines electricity markets, system services, and capacity mechanisms. Crucially, storage assets will be granted non-discriminatory access to future capacity mechanisms. The strategy also introduces new markets for fast frequency response, synthetic inertia, and voltage regulation, specifically highlighting the vital role of grid-forming inverter capabilities in modernizing the grid.

Streamlining Permitting and Grid Connections

A major bottleneck for storage deployment has been grid access and permitting. The ENAE addresses this by proposing to free up grid capacity currently reserved by unviable projects. It aims to accelerate permitting processes and facilitate connections for both standalone and co-located storage facilities. Additionally, the strategy seeks to eliminate potential double tariff charges that have historically penalized storage operators.

Focus on Advanced Research and Renewable Integration

Looking beyond lithium-ion, Portugal plans to strengthen research into sodium-ion batteries, flow batteries, long-duration storage, recycling, and digitalization. The strategy also explores seasonal storage solutions, such as hydrogen in salt caverns and compressed air in geological formations. Technical analysis indicates that storage must play a pivotal role in helping Portugal achieve 82%-85% renewable integration in electricity generation by 2030, and up to 91.4% by 2040, improving solar profitability and reducing curtailment losses.

Source: ESS News

This article was assisted by AI analysis. Please refer to the original source for official information.