Article

As data centre capacity grows, energy storage solutions are increasingly viewed as vital for managing power supply challenges, particularly for fluctuating demands such as AI workloads. Developers are exploring various revenue models for battery energy storage systems (BESS), despite concerns about reliability and recent mild weather impacting revenue in markets like Texas' ERCOT. Lenders remain cautious, seeking contracts for energy outputs before financing, while innovative solutions are anticipated to balance contract stability with merchant exposure.