220 MWh Battery Storage Olt: ENEVO Kraftfeld EPC Contract — NRG-IA

Securing Storage in Drăgănești-Olt: ENEVO and Kraftfeld Sign 220 MWh EPC Contract — What Happened ENEVO Group and Kraftfeld are constructing a giant 220 MWh battery in Olt, a strategic investment that promises to mitigate major imbalances in the National Energy System. The two companies formalized their partnership by signing an EPC (Engineering, Procurement, and Construction) contract during the prestigious Intersolar Europe 2026 international event. The initiative marks a significant step in expanding utility-scale storage capacities in Romania, a sector deemed critical by authorities for integrating new renewable energy production capacities. According to data published by Forbes România and confirmed by the Agerpres news agency, the project entails the development of a battery energy storage system (BESS) with an installed capacity of 110 MW and a total storage capacity of 220 MWh. Located in Drăgănești-Olt, Olt county, the new energy complex will connect directly to the national high-voltage grid. This technical approach ensures increased efficiency in absorbing and injecting power, reducing grid transmission losses associated with long-distance transport. Under this contractual framework, Kraftfeld is the project owner and developer, while the Romanian consortium ENEVO Group will act as the general contractor (EPC contractor). Economica.net highlights that ENEVO will fully secure the engineering, procurement, and turnkey construction services for both the battery system itself and the corresponding high-voltage substation. The collaboration represents a validation of domestic technical expertise in highly complex industrial projects. The information, originally reported by specialized publication e-nergia, underscores an accelerated trend of private storage project development in Romania. Signing the contract in Munich, during Intersolar Europe, also highlights the growing interest of international investors and leading technology providers in the East European market, which is undergoing a profound energy transition. The Renewable Boom and Grid Imbalances Dictate Rapid Storage Deployment The decision to develop a storage project of this magnitude in Drăgănești-Olt is closely linked to the rapid expansion of solar and wind farms in southern Romania. The Oltenia region and neighboring areas benefit from high solar radiation levels, attracting dozens of green energy production projects in recent years. However, this massive influx of intermittent energy has put unprecedented pressure on the distribution and transmission grids managed by Transelectrica. The Romanian energy system frequently faces local congestion and extreme frequency volatility, particularly on days with peak solar generation and low consumption. Without adequate storage infrastructure, the transmission system operator is sometimes forced to curtail renewable farm output to maintain grid stability. The project developed by Kraftfeld and ENEVO Group directly addresses this structural vulnerability in the southern grid. Furthermore, the European regulatory framework and national support schemes have begun penalizing the lack of storage capacity. Renewable energy investors realize that the financial viability of future projects depends directly on their ability to store energy when market prices are low or negative and sell it during peak hours, when the grid needs additional injection the most. Shaving the Peak and Reducing Negative Price Risks in the Market Commissioning the 220 MWh battery at Drăgănești-Olt will have direct effects on the dynamics of the Romanian energy market. With its 220 MWh storage capacity, the system can absorb excess electricity during midday hours, when solar output peaks and prices on the Day-Ahead Market (DAM) managed by OPCOM frequently drop below zero. This mechanism will actively help reduce negative pricing, which hurts clean energy producers' profitability. Subsequently, the stored energy will be injected back into the grid during evening peak hours, when domestic and industrial consumption rises significantly and conventional generation resources are strained. This commercial arbitrage not only optimizes investor revenues but also helps flatten the national load curve. For end-consumers, this process translates into greater price stability in the medium term by lowering balancing costs that are typically passed down to bills. Moreover, a 110 MW battery system can provide ultra-fast ancillary services to Transelectrica, such as primary frequency containment reserve. The millisecond-range response time of lithium-ion batteries makes them far more effective at stabilizing the grid compared to traditional gas turbines or hydro plants, reducing the risk of blackouts during major system contingencies. Engineering Completion and Global Supply Chain Challenges The next critical step in the Drăgănești-Olt project involves finalizing detailed engineering designs and obtaining all necessary building permits for…