14.11.2025
In the face of challenges to our energy system, storage technologies are becoming the key to energy security, stability, and the construction of a decentralized, modern grid.
To discuss practical steps for the industry’s development and the creation of a transparent market that will strengthen Ukraine’s energy independence, Energy Club is gathering business companies, investors, regulators, and government representatives on November 20 for the forum “Energy of Freedom: Resilience and New Opportunities for the Energy Storage Systems Market in Ukraine”.
The success of modern energy projects depends not only on technology but also on the ability to turn them into working business models. Oleksii Tomash, Commercial Director of the Energy Division of the EDS Investment and Engineering Group, will speak about how this works.
By combining engineering and financial expertise, EDS is building a portfolio of flexible energy hubs — systems that integrate generation, storage, and flexible energy management, ensuring autonomy, predictable income, and strategic value. During his speech at the forum, Oleksii will present the EDS business approach to BESS commercialization, explain how the combination of experience in integrating energy storage systems, implementing SPS (Solar Power Stations), and operating in the electricity market allows for the creation of profitable, investment-attractive, new-generation energy solutions, and will share practical EDS case studies that prove the effectiveness of these models in real projects.
In an interview with the Energy Club media department, Oleksii Tomash spoke about how the energy storage systems (BESS) market is forming in Ukraine, which business models currently look most attractive to investors, and what key barriers are holding back the large-scale implementation of such projects.
— Mr. Tomash, EDS has vast experience as an EPC contractor in the construction of solar stations and other energy infrastructure. How large is the real demand for energy storage systems (ESS) from your clients today? Is it still hype and isolated inquiries, or is it already an established mass market?
— The demand for energy storage systems (BESS) from our clients is significant and constantly growing, especially in the context of grid instability and the need for generation flexibility. As for hype, this is definitely not the case, as the market is showing signs of becoming a mass market: large holdings (DTEK, Kernel, Vitagro, etc.) are actively entering it, setting the general direction for the development of this sphere.
— Who is your main client for ESS right now? Is it industry seeking autonomy and savings, or RES developers who want to balance their stations and earn from ancillary services?
— We are not tied to one key client — we work with numerous requests from various segments. If we talk about the current state of affairs, we are currently implementing two large BESS projects: 50 MW/100 MWh and 60 MW/120 MWh with connection to the 110 kV grids of NEC “Ukrenergo” for large foreign investors. Also, three small projects of 2.5/5 MWh each are in the implementation phase, and we recently completed ten similar projects for a Ukrainian investor. Projects with a total capacity of around 300 MWh are in the calculation stage. So, the market is quite stable, and it is gaining momentum.
For now, according to subjective estimates, the ratio is 20/80%: 20% are industrial clients seeking autonomy and savings on peak loads, and 80% are renewable energy source (RES) developers focused on balancing stations and earning from the ancillary services market.
— As an integrator, how do you “package” a project for a client? What is the main argument today that stops a client from signing a contract – the price of equipment and payback period, the complexity of connection, military risks, or regulatory uncertainty?
— Since we have a development division in our business, we offer clients a comprehensive “turnkey” solution: from the land plot and technical specifications (TS) for connection to a full package of permits, construction, BESS supply, and commissioning. This product is especially attractive to clients focused on the arbitrage model. There are also those who, besides autonomy, having a surplus of their own solar generation, want to shift the output of this surplus to more favorable hours (for example, evening periods with peak prices).
The old payback model for solar power stations (SPS) under the “green” tariff in 4 years has outlived its usefulness; its apogee was effectively an economic collapse when the state became unable to pay its huge debts to investors in alternative energy. Today, a realistic payback is 7.5+ years for a pure SPS and 6+ years for a hybrid SPS + BESS. Some clients are still trying to find projects with a payback of 3–4 years — and in vain.
So, some clients are deterred by the extended payback period, some by the high capital expenditure (capex) for an SPS + BESS system, and some by concerns about the novelty of the BESS product in Ukraine: there is no dominant brand that can be bought at a mid-market price and has already proven itself in long-term operation. Of course, the solution from Huawei is indeed a high-quality solution, but its price is noticeably higher than that of many other suppliers who also offer quite reliable equipment that includes storage elements from top manufacturers.
— One of the forum’s topics is simplifying project launches. From your perspective as a company that physically implements projects, where is the main practical “bottleneck” today? Is it obtaining technical specifications (TS) for connection, getting equipment through customs, or a lack of qualified engineers?
— The main “bottleneck” is still in the segment of distribution system operators (DSOs) and the transmission system operator (TSO), to whose grids these projects are connected. All parties are interested in these initiatives, so the process of integrating them into the grid needs radical simplification and unification. For example, an investor in an ESS (Energy Storage Unit) initiates the connection of their facility to the DSO/TSO grids, having and being confident in their EPC partner. In this matter, a reciprocal move is needed from the operator’s side; if such an EPC meets certain quality criteria, then they should be given the opportunity to connect the investor’s facility in a simplified mode.
— Analysis of the first implemented projects is another of our topics. What practical lessons has EDS already learned from the storage projects you have implemented? Perhaps there are unexpected technical or economic nuances that are not visible “on paper”?
— In general, everything is proceeding predictably, without significant deviations from the project implementation plans. If there is anything worth paying attention to, it is the commissioning of the Energy Management Systems (EMS) by the BESS supplier’s representatives — this stage requires special attention, time, and high competence. Overall, projects can be forecasted quite clearly from both a technical and economic standpoint, even at the working design stage.
— As an integrator, which business model do you consider the most “bankable” and understandable for the client in Ukraine? Simple provision for one’s own needs (peak-shaving, backup) or more complex models involving entry into the balancing market?
— In my opinion, banks essentially don’t care who they lend to, as long as the client meets the basic criteria for financial stability, such as stable cash flow or sufficient collateral. Simple models (providing for one’s own needs through peak-shaving or backup) are the most understandable for clients and are bankable because they generate predictable income with low risks. More complex ones, with entry into the balancing market, are more attractive for large projects but require a deeper understanding of regulations. In general, we advise starting simple and then scaling up. But for precise recommendations, it would be best to hear the opinion of banking sector representatives.
Today, as Ukraine’s energy sector is undergoing a transformational stage, the expertise of companies like EDS is becoming a benchmark for the entire industry. After all, it is practical experience, technological competence, and the ability to turn innovations into business that create the foundation for the country’s new energy economy.
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