Banks have incorporated the prospect of financing energy storage facilities into their business planning and are currently conducting studies in order to formulate an appropriate financing formula, but sector ambiguities still need to be cleared up if lenders are to offer investors financial support.

Banks need clarity on two issues. Firstly, ambiguity as to the revenues that storage units can earn from participation in the market needs needs to be cleared. Also, regulatory framework specifics are needed in order to offer clear information on how subsidies and other support would be awarded to energy storage units.

Investors behind energy storage projects must be able to determine revenues as part of their business plans if banks are to conduct proper evaluations ahead of financing.