Uniper Secures Strategic Battery Asset Through Tolling Agreement with Neoen
Uniper SE, a leading energy company in Europe, has signed a landmark tolling agreement with Neoen, one of the world’s foremost renewable energy companies, to secure the installed capacity of the Arneburg Battery in Saxony-Anhalt, Germany. The agreement, which is set to commence in 2027 and run for seven years, will enable Uniper to integrate 30 MW / 78 MWh of advanced battery storage into its portfolio, marking an important step in the company’s strategy to enhance flexibility and optimize energy management in Germany.
Under the terms of the agreement, Uniper will assume full control over the optimization of the battery, leveraging its expertise to maximize the value of the asset across multiple market channels. Neoen, meanwhile, will retain responsibility for the operation and maintenance of the battery, ensuring its reliable performance once it becomes operational. This collaboration allows both companies to play to their strengths while contributing to the broader energy transition in Germany.
Optimizing the Arneburg Battery for Market and Grid Services
The Arneburg Battery, which is currently under construction and expected to come online in 2026, represents a significant addition to Germany’s rapidly growing energy storage capacity. Batteries like Arneburg are critical for the integration of renewable energy sources, providing the ability to balance intermittent generation from wind and solar while supporting grid stability.
Through this tolling agreement, Uniper will optimize the battery to deliver a range of services, from providing ancillary support to the power grid—such as frequency regulation and reserve capacity—to participating in wholesale electricity markets. By doing so, Uniper can create additional value from the asset while enhancing the resilience of the German energy system.
Carsten Poppinga, Chief Commercial Officer of Uniper SE, highlighted the strategic importance of the partnership:
“We are delighted to partner with Neoen, one of the world’s most advanced battery developers. Uniper is a leading generator of power, an offtaker from independent renewable sources via Power Purchase Agreements, and a supplier of energy to businesses. Tolling agreements such as this provide a way for us to diversify our portfolio further and support the energy transition. We are proud of this first transaction and look forward to applying our optimization expertise to Neoen’s Arneburg Battery.”
A Collaborative Approach to Renewable Energy Storage
Neoen’s involvement in this project is equally significant. The company has established itself as a global leader in the development, ownership, and operation of large-scale batteries, currently managing a storage portfolio totaling 2.7 GW / 8.1 GWh across projects in operation or under construction. The Arneburg Battery represents Neoen’s first battery project in Germany, signaling the company’s strategic entry into the country’s energy storage market.
Christophe de Branche, Neoen’s Director of Energy Management, emphasized the mutual benefits of the agreement:
“I’d like to thank Uniper for their constructive approach, which enabled us to secure a truly win–win agreement. With a substantial pipeline of projects in Germany, I am confident this marks the beginning of a strong collaboration between our two companies.”
The partnership underscores a growing trend in the energy sector: leveraging strategic collaborations to accelerate the deployment of battery storage technologies while optimizing their operational value. Tolling agreements, such as the one between Uniper and Neoen, allow energy companies to secure capacity from third-party assets without the need for outright ownership, providing a flexible and scalable approach to integrating storage solutions.
Battery Storage: A Key Component of the Energy Transition
As Europe accelerates its transition toward low-carbon energy systems, large-scale batteries are increasingly recognized as essential infrastructure. They help manage the variability of renewable energy generation, reduce the need for fossil-fuel-based backup power, and contribute to a more stable and efficient grid.
The Arneburg Battery, with its 30 MW / 78 MWh capacity, is capable of delivering electricity to the grid for several hours, making it suitable for both peak-shaving applications and the provision of ancillary services. By integrating this battery into its portfolio, Uniper strengthens its ability to respond to market signals in real time, optimize energy flows, and enhance the reliability of supply for its customers.
Neoen’s track record in battery development brings additional confidence in the operational performance of the Arneburg Battery. The company’s global projects have demonstrated advanced capabilities in energy storage management, ensuring that assets operate efficiently and deliver maximum value over their lifetimes.
A Strategic Milestone for Uniper and Neoen
The tolling agreement between Uniper and Neoen represents more than just a commercial arrangement; it is a strategic milestone in the evolution of both companies’ renewable energy strategies. For Uniper, the deal provides access to a critical battery asset that can be optimized across multiple market channels. For Neoen, it represents a successful entry into the German market and the opportunity to establish a long-term collaboration with a leading energy operator.
The partnership is expected to pave the way for future collaborations, particularly as the demand for flexible energy storage solutions continues to rise. By combining Uniper’s market optimization capabilities with Neoen’s technical expertise in battery development, both companies are well-positioned to capitalize on the growing opportunities in energy storage and contribute to Germany’s ambitious climate and renewable energy goals.
Toward a More Resilient and Flexible Energy System
The Arneburg Battery project highlights the increasingly important role of large-scale batteries in enabling the energy transition. With renewable generation expanding rapidly, grid operators and market participants need innovative solutions to ensure stability, efficiency, and reliability. Tolling agreements, such as the one struck by Uniper and Neoen, offer a model for how energy companies can collaborate to meet these challenges while creating value for both parties.
As the Arneburg Battery prepares to become operational in 2026, stakeholders in Germany’s energy sector can look forward to enhanced grid flexibility, improved market responsiveness, and a strengthened path toward a low-carbon future. For Uniper and Neoen, the partnership signals the beginning of a productive collaboration with the potential to influence future battery projects across Germany and beyond.
By combining their respective strengths—Uniper’s optimization expertise and Neoen’s development and operational capabilities—the two companies are not only advancing their business objectives but also contributing meaningfully to the evolution of a sustainable, flexible, and reliable energy system.
Source Link : https://www.uniper.energy/
