23.09.2026
The long-term resilience of investments in energy storage systems can be strengthened by combining several technologies and business models within a single energy project. Serhii Harmashev, Head of Energo Group, discussed the prospects for such solutions and practical implementation models during the Energy Club forum “Energy Freedom: Resilience and New Opportunities in Ukraine’s Energy Storage Market,” held in Kyiv on 17 September.
At the beginning of his presentation, Serhii Harmashev noted that large energy projects often require companies with different areas of expertise to join forces. Energo Group was established approximately two years ago on this principle, bringing together the experience of four companies in the construction of industrial and energy facilities, engineering, renewable energy project development and equipment supply. “To implement major projects, it is sometimes necessary to create partnerships in which the strengths of individual participants compensate for the weaknesses of others,” Serhii Harmashev explained.
The companies within the group have experience in both Ukraine and the European Union. Energo Group also represents several Chinese and European equipment manufacturers. According to Serhii Harmashev, at the time of the forum the company had contracted the supply of approximately 260 MWh of energy storage capacity to Ukraine. The group is also working on energy projects in European markets. He identified regulatory unpredictability, complicated grid connection procedures and the absence of clear long-term guidance for businesses among the principal factors affecting investors’ decisions. “Businesses do not need ideal conditions for operating or recovering their capital expenditure. They need clear and predictable long-term rules,” the Head of Energo Group emphasised.
In his assessment, recent grid connection decisions and time limits imposed on project implementation may slow the development of energy storage systems as standalone market assets. He referred in particular to short deadlines for completing projects already under development and restrictions linked to 1 May 2028.
These factors increase the risks for investors planning to generate revenue from a storage facility operating in only one market segment. Serhii Harmashev considers projects capable of combining several business models simultaneously to be more promising. “Investments in energy storage systems should cover not just one or two, but potentially three different segments within their business models, allowing the project either to generate revenue or produce savings,” he said.
As an example of this approach, Serhii Harmashev presented a project prepared for implementation that combines a 5 MW/20 MWh energy storage system with gas-engine-based cogeneration. A municipal boiler house is located near the site and could use the heat produced by the cogeneration facility. The project itself is situated in an industrial zone, creating opportunities for the direct connection of large consumers. “This is a relatively small project in terms of capacity, but it has considerable multiplier potential. One location combines an energy storage system, gas-engine cogeneration and a municipal boiler house capable of using the heat produced,” the speaker said.
Legally, the individual components of such a project may not be connected to one another. However, their location on the same site makes it technically possible to integrate generation, storage, consumption and the use of thermal energy.
The site also contains buildings that could be incorporated into the project’s subsequent development. Its location in an industrial zone creates opportunities for connecting major consumers directly and expanding the number of potential revenue streams.
Serhii Harmashev identified the creation of a data centre as one possible direction for further development. The growth of artificial intelligence and large-scale data processing is increasing demand for facilities that require substantial volumes of stable electricity supply. “Artificial intelligence and other large data-processing systems require the development of data centres. The entire world is now investing in this area, and a multi-hybrid approach to designing energy facilities allows another business segment to be added to the project,” the Head of Energo Group noted.
A single location could therefore potentially combine electricity storage, cogeneration, heat supply, services for industrial consumers and power supply for a data centre. Each of these activities creates a separate source of revenue or savings and reduces the project’s dependence on conditions in any one market segment.
During the subsequent discussion, Serhii Harmashev presented another project illustrating how such energy complexes could develop over the next three to five years. The project envisages an energy storage system with a power capacity of 30 MW and an energy capacity of up to 120 MWh. It has a connection to the NPC Ukrenergo transmission network, allowing the model to be implemented without involving a distribution system operator. A land plot of approximately 2.8 hectares has been allocated for the first phase. There is also potential to expand the site to 20–30 hectares, install solar generation and develop an industrial park. “We see the future of the energy system in diversified, multi-purpose models. The energy storage system is the foundation, but the project should provide from the outset for opportunities to develop further,” Serhii Harmashev explained.
In this model, the industrial park could become a major consumer of electricity generated or stored directly within the energy complex. In addition, Ukrainian legislation provides certain incentives for industrial parks, which could improve the project’s economic attractiveness.
The site also has the potential for a gas connection. This would make it possible to add gas-engine generation in the future and further expand the configuration of the energy hub. “There is an electricity grid connection, the possibility of constructing a solar power plant, access to a gas connection and land available for developing an industrial park. In effect, this project offers a very broad range of opportunities,” the speaker said.
Attracting capital under wartime conditions remains a separate obstacle to implementing large-scale projects. According to Serhii Harmashev, major investments are entering Ukraine with considerable difficulty, while the availability of war-risk coverage has a significant impact on whether a project can move from planning to construction. Projects must therefore be not only technically sound but also capable of adapting to different scenarios for the development of the electricity market. “We need to look one or two steps ahead today so that new opportunities capable of generating additional cash flow can be added to these projects in the future,” Serhii Harmashev concluded.
