Invest-NL sees seasonal storage as a relevant and profitable component of the energy transition

This raises the question of whether the market does not recognize the potential of seasonal storage or if seasonal storage for heat simply is not yet profitable, and therefore not attractive to financiers.

The research shows that there is sufficient market potential for seasonal storage. Several techniques are already profitable under current economic parameters, while others become so when societal benefits are included in the business case. Invest-NL sees the potential of storage to connect more homes to the heat grid and the additional CO₂ reductions that can be achieved as societal benefits. By reducing the use of gas-fired peak boilers, two goals are achieved simultaneously: reducing gas consumption and CO₂ reduction. Currently, societal benefits are hardly or not at all considered in the business case because the scaling potential is still relatively unknown and the current CO₂ price is low. Additionally, heat projects are already quite complex on their own. Adding heat storage makes it possible for the process to become even more complicated. Despite the above, the research shows that seasonal storage has a market potential of 45 PJ in 2050. This represents a market value of €500 million until 2035. Of course, this calculation is surrounded by uncertainties, as it is inherently unknown what the future will look like. The estimate aligns with the initial analysis (2019) by PBL and, in Invest-NL’s view, provides a realistic picture of the potential. Seasonal storage is therefore already profitable and there is a relevant market potential. Considering the increasing societal importance, Invest-NL also sees seasonal storage as an increasingly significant factor in the future heat system. It is a challenge for all involved parties to develop future-proof heat systems, no matter how complex that may be. Invest-NL is happy to contribute by connecting heat projects and heat storage companies and thus stimulating investments in seasonal heat storage. Invest-NL brings parties together, supports the development of business cases, and can assist with the financial structuring of a project. We are already doing this with Hocosto. Other parties with good initiatives can also contact us.