Through this arrangement, Shell Energy Europe aims to diversify its regional power portfolio, with the transaction facilitated by Energy Portfolio Optimisation. Sunotec described the deal as one of the first of its kind in Central Eastern Europe, highlighting its role in supporting the development of large-scale battery storage projects in the region.
Kaloyan Velichkov, founder and chief executive of Sunotec, said: “Agreements like the one with Shell highlight SUNOTEC’s commitment to working with leading energy players who share our vision for a sustainable and forward-looking energy future. This pioneering agreement demonstrates the power of collaboration in advancing flexibility and renewable-energy driven independence. By uniting technical expertise with financial ingenuity, we are helping to build a more resilient and integrated energy system.”
The collaboration demonstrates a shared commitment to accelerating the energy transition through a combination of technology, infrastructure, and financial innovation. Both companies stated that the partnership will support regional market integration and enable the deployment of large-scale renewable energy, reinforcing the role of battery energy storage systems in balancing intermittent power generation and strengthening grid stability.
The project’s 600 MWh capacity positions it as a significant facility for energy storage and flexibility, helping to optimize renewable energy utilization and reduce reliance on conventional fossil-based power. By providing price certainty through the hedge agreement, Sunotec and Shell aim to mitigate market risks and improve investor confidence in regional battery storage initiatives.
The development aligns with broader European goals for renewable energy integration, grid resilience, and decarbonization. It also highlights the increasing use of financial instruments to support energy transition projects, combining technical and financial solutions to accelerate commercial deployment.
Sunotec emphasized that the agreement reflects a forward-looking approach to energy infrastructure, where collaboration between energy operators and financial partners is essential for establishing sustainable and resilient energy systems. The project is expected to serve as a benchmark for similar storage initiatives across Central and Eastern Europe, demonstrating how battery storage and financial hedging can work together to advance the clean energy agenda.
In summary, the Shell-Sunotec partnership represents a milestone for battery storage development in Central Eastern Europe, combining long-term financial stability, technological expertise, and renewable energy integration to support the regional energy transition and enhance the resilience of electricity systems.
