BBDF 2025: Understanding BESS project bankability

Financing remains one of battery energy storage system’s (BESS) biggest talking points, as bankability, risk mitigation, insurance, and more.

From ESS News

While a quick poll at the opening session of the Battery Business & Development Forum 2025 suggested that financing is no longer seen as the biggest hurdle for battery storage deployment, the session “Bankability and Financing in the Context of BESS” drew significant interest. The room was overfull, with attendees lining the walls to hear pitches from speakers and a panel.

Despite the market’s growing maturity, securing financing remains a key step for developers. Whether through equity or debt, investors and banks are prepared to support projects, provided key risks are addressed.

Understanding bankability

Bankability typically refers to the extent to which both technical and market-related risks are mitigated. On the technical side, much depends on the choice of components and suppliers. For instance, if a European battery system is based on Chinese cells, developers should ensure that the European system provider fully backs the performance guarantees. Relying on a warranty from an overseas supplier with no European presence can increase perceived risk and complicate financing.

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