Pokrovac: Battery Storage Can Reduce Electricity Prices by 25 Percent by 2030

Croatia is a country firmly committed to the energy transition, and investments in the flexibility of the power system and the development of battery storage systems are key to its success. These were the conclusions of the Solar Flex Croatia 2025 conference, organized on March 12 in Zagreb by the Renewable Energy Sources of Croatia (OIEH) in cooperation with SolarPower Europe and the European Commission.

According to Maja Pokrovac, director of OIEH, the lack of energy storage capacity further increases dependence on electricity imports, which accounted for as much as a quarter of domestic consumption last summer. She added that increasing battery storage capacity could reduce electricity prices by 25 percent by 2030, provided that the regulatory framework is accelerated to enable faster development and integration of new capacities.

Photo: OIEH

“Sixty-one percent of the grid capacity is outdated, modernization takes a long time, and last summer, Croatia imported 25 percent of its electricity because it lacks quality storage capacity. Moreover, amendments to the Renewable Energy Sources and High-Efficiency Cogeneration Act, which are currently under public consultation, show a lack of understanding of renewable energy storage. However, increasing battery storage capacity could reduce electricity prices by 25 percent by 2030, and by 33 percent by 2040,” Pokrovac emphasized.

Valburga Hemetsberger, CEO of SolarPower Europe, stated that solar energy is currently the most affordable energy source in Europe, but further growth requires the development of flexible infrastructure and a significant increase in storage capacity. She stressed that investment in flexibility is crucial for maintaining Europe’s energy competitiveness and price stability, especially given the increasing electrification of industries and society.

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“In 2024, Europe installed a record 66 GW of new solar capacity, bringing the total to 330 GW. Solar power has been continuously growing in recent years, but we now face the challenges of infrastructure development and energy price stability. We need flexibility and a large number of battery storage systems for Europe to remain competitive,” Hemetsberger stated.

Zrinka Ujević, Head of the European Commission Representation in Croatia, highlighted European policies that encourage the rapid development of battery storage systems and emphasized that investments in this technology are crucial for achieving Europe’s climate neutrality by 2050.

“The European Commission has introduced numerous policies and measures to accelerate the development of battery storage systems. The Renewable Energy Directive, for example, provides an incentive framework for the development and competitive market of all types of technologies. Furthermore, the European Green Deal, which commits Europe to becoming a climate-neutral continent by 2050, and the Clean Industry Plan are also significant steps. A lot is being done to achieve our climate goals, but the challenge remains adapting infrastructure to efficiently integrate renewable energy sources. These solutions are essential for economic growth, new jobs, and the well-being of citizens. Additionally, it is important that the public and private sectors collaborate as much as possible, as this is key to financing and knowledge exchange. Smart households provide an opportunity to participate in energy production, and batteries are essential for balancing the grid,” Ujević said.

Conference participants agreed that Croatia has the potential to become a regional leader in integrating renewable energy sources and battery storage, but this requires rapid modernization of the transmission and distribution network, as well as adaptations in legislation.

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