Battery Projects Lead Belgium’s 2025 Capacity Market Awards
Battery storage secured almost all new-build capacity in Belgium’s recent capacity market auctions, reinforcing its vital role in the country’s energy strategy through 2030.
Dominance of Battery Storage in Capacity Contracts
Battery storage continues to be the primary technology contracted in Belgium’s capacity market auctions. Capacity Remuneration Mechanism (CRM) payments provide these projects with guaranteed revenues, which are crucial for attracting bank financing.
Results of the 2025 CRM Auctions
On the last day of October, the system operator Elia released the results from three CRM auctions conducted simultaneously for the first time: Y-4, Y-2, and Y-1. Each auction targeted different delivery years with specific focuses.
Elia stated that the auctions "ran smoothly and on schedule, meaning that security of supply for the 2026-27 delivery year is fully guaranteed," while also advancing supply reliability for future years.
About the Capacity Market Auctions
- Y-4 auction: targeting capacity four years ahead
- Y-2 auction: targeting capacity two years ahead
- Y-1 auction: targeting capacity one year ahead
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Author’s summary: Belgium’s 2025 capacity market auctions highlight the leading role of battery storage, backed by CRM payments, securing power supply through 2030 and beyond.
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