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MACSE Italy: Countdown to Europe’s Largest Energy Storage Auction

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Blogpost on Co-located Energy Storage


The date is set. The first of Italy’s new energy storage capacity procurement auctions (MACSE) will take place on September 30, 2025, Terna’s president for grid development strategies, Francesco Del Pizzo, has confirmed. After months of speculation and a postponement from the initially planned July date, it’s clear that the window to secure positioning for this opportunity is now. Read more here about one of Europe’s largest energy storage opportunities, with 10GWh of battery capacity on offer – roughly equivalent to all of Italy’s currently installed storage.

What we know now

  • Timeline: Qualification process begins June 2 and ends August 26.
  • Capacity tendered: 10 GWh BESS storage; 2029 and 2030 auctions plan 20 GWh each; aiming toward 50 GWh by 2030.
  • Income: Up to 100% fixed toll for 15 years with inflation-indexed returns.
  • Southern focus: This round excludes northern Italy projects, targeting capacity in the south and islands.
  • Strict requirements: Projects need substantial guarantees (up to 15% of project value).

Timeline

With guarantees required 40 days before the auction, investors must act quickly to select development partners:

  • June 2: Admission requests submission deadline
  • July 17: Complete project qualification through the MACSE platform
  • August 21: Submission of pre-auction guarantees
  • August 26: Final date for submitting authorisation documentation
  • September 30: First auction

Terna’s thinking …

Terna, Italy’s transmission system operator, says they postponed the auction to September to increase competition, ensuring more authorised projects can participate. According to them, Italy is entering phase 2 for battery storage, shifting to a more competitive landscape where developers must compete for limited opportunities.

Terna calculated the 2028 storage needs by balancing two factors: how much renewable energy would otherwise be wasted (valued at natural gas plant costs) and how storage improves grid reliability (valued at €8,000/MWh yearly for 4-hour systems). They compared these benefits against the €43,000/MWh yearly installation costs, running simulations to find the sweet spot where net benefits peak. The operator aims for an average duration of 8 hours across energy storage resources. For the capacity market, especially in the north, 4-hour systems are common, while MACSE may require 6-8 hour systems.

Investment potential & key requirements

Project owners provide capacity to Terna, with remuneration reaching up to €34,000 per megawatt contracted (scaled by discharge duration). While asset owners can generate additional revenue through energy arbitrage, 80% of these profits must be returned to Terna.

Important conditions apply: projects must be located outside northern Italy, secure their Single Authorisation (AU) –  the permit covering all environmental, construction and grid connection approvals – by late August, and provide substantial financial guarantees totalling 15% of project value. (This is calculated as the sum of the products of the committed capacity of each contracted storage system (expressed in MWh), the reserve premium, and a percentage equal to 15%.)

About two months from now – that’s the first qualification deadline. Get in touch if you’re a project developer who would like to move decisively to secure a position in one of the decade’s most significant European energy infrastructure investments.

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