Battery Storage Procurement Shifts Early as Installations Hit 307GWh and 2026 Capacity Tops 450GWh
Updated
Updated · Energy-Storage.news · Jun 2
Battery Storage Procurement Shifts Early as Installations Hit 307GWh and 2026 Capacity Tops 450GWh
3 articles · Updated · Energy-Storage.news · Jun 2
307GWh of battery energy storage was installed globally in 2025, and Fluence says project delivery is now being reshaped less by cell shortages than by earlier supplier engagement and more flexible procurement.
450GWh of new capacity is forecast for 2026, but the main bottlenecks have shifted to local infrastructure constraints—skilled contractors, logistics, transformers and switchgear—rather than battery cell availability.
Early works agreements are emerging as a key tool, letting developers and suppliers lock in long-lead equipment sooner, improve constructability planning and cut contingency pricing tied to uncertain market conditions.
Flexible commercial models for balance-of-plant contractors, including indexed pricing and milestone-based validity periods, can reduce hidden risk premiums and execution surprises while improving cost transparency.
Australia illustrates the shift: battery projects now account for nearly half of AEMO's connection pipeline, making resilient procurement frameworks a competitive advantage for owners and delivery partners.
With project costs soaring, can the battery storage industry build fast enough to meet critical grid demands?
As fixed-price deals fade, will new agile contracts scare away the investors fueling the energy boom?
The BESS boom needs a skilled army. With talent so scarce, who will build our clean energy future?