More flexibility for your battery storage in Italy’s energy market

Italy’s energy system is undergoing fundamental change: with the massive expansion of solar and wind, the need for controllable flexibility is growing. Storage plays a key role in grid stability, security of supply, and reducing system costs.

Market overview

• Energy trading (MGP & MI)
  Storage participates in the day-ahead (MGP) and intraday (MI) markets — buying at low prices during off-peak hours and selling during price peaks.
  ➝ Goal: Arbitrage & integration of renewable generation
• Ancillary service markets (MSD & MB)
  Terna, Italy’s transmission system operator and one of Europe’s largest independent grid companies, manages system stability through the MSD (balancing market) and MB (real-time market). Storage provides fast frequency regulation and reserve capacity.
  ➝ Goal: Real-time balancing & grid resilience
• Capacity market
  Compensation for available capacity — storage contributes to security of supply in a system with declining thermal generation.
  ➝ Goal: Peak load coverage & supply security
• MACSE platform (capacity market for electrochemical storage systems)
  Long-term remuneration for stand-alone storage via annual Terna auctions. Required is system-relevant time-shifting — e.g., shifting PV surplus into evening hours with at least two hours of discharge.
  ➝ Goal: Long-term revenue security (€ / MWh annually)
• Central role of storage
  Storage bridges north-south imbalances, prevents curtailment, reduces system costs, and stabilizes the integration of volatile renewable energy.