With behind-the-meter (BTM) battery storage now proven commercially viable, the focus shifts to optimisation. How do you extract maximum value from these investments? Rob Moore, Chief Business Development Officer (utility scale), explains how.
Author: Rob Moore, Chief Business Development Officer (utility scale)
In a recent article, we explored the reasons why the BTM storage landscape was soaring in the UK. The next question is how do operators maximise the return on investment?
The answer is three-fold: strategic co-location, smart financing, and revenue diversification.
While standalone BTM battery installations can work, the real value emerges when batteries are co-located with solar.
The numbers tell the story: co-locating batteries with solar allows deployment of up to 2.5 times more solar capacity, dramatically increasing energy generation and transfer potential.
Solar PV is experiencing explosive growth, with equity firms deploying significant capital into BTM solar projects. These investors are increasingly viewing battery storage as an important component of the energy mix.
The practical benefits of co-location are compelling:
The financing landscape for BTM systems has also matured dramatically, moving well beyond simple capital expenditure models.
Traditional lending has become much more accessible, with lenders growing comfortable with BTM projects – particularly when combined with solar PV systems.
Power Purchase Agreements (PPAs) are increasingly popular, allowing businesses to access BTM systems with zero capital expenditure. Under PPA structures, companies sign 20 – 30 year agreements to purchase power at fixed prices, while third parties handle system ownership and maintenance.
The cost savings can be substantial – PPA-financed BTM projects can reduce energy bills by 50% or more while requiring no upfront investment.
Funded models are also emerging, providing additional pathways for businesses to access BTM technology without capital constraints.
Thanks to regulatory changes (particularly P415 which we discussed in our earlier article), BTM systems can now access multiple revenue streams simultaneously:
Primary Revenue Streams
The Optimisation Imperative
The complexity of these revenue opportunities makes optimisation crucial. The smartest investors are those deploying integrated solar-battery systems while partnering with BTM optimisers to maximise the value across all available revenue streams.
Without optimisation, you’re leaving money on the table. With it, you’re turning your energy infrastructure into a profit centre.
The current boom will continue as long as the economics remain attractive – and all indicators suggest they will. There are a range of factors that make this likely: Falling installation costs continue making more sites economically viable for solar deployment. Electrification trends ensure growing energy demand, creating sustained market opportunity. Regulatory stability provides confidence in long-term revenue streams, unlike previous subsidy-dependent schemes. While growth rates may moderate from current levels, the underlying demand trajectory remains positive. The UK market has achieved something previous energy schemes couldn’t: commercial viability without subsidy dependence. This creates genuine market durability.
For businesses considering BTM investments, our recommendations would be:
The bottom line
BTM energy systems have evolved from an interesting technology to essential business infrastructure. With multiple financing options, diverse revenue streams, and proven economics, the question isn’t whether to invest – it’s how to optimise returns.
The companies moving fastest to deploy integrated solar-battery systems with professional optimisation are positioning themselves advantageously for the energy transition ahead. In a market experiencing structural transformation – those who recognise and act on this opportunity will benefit for decades to come.
Would you like to find out more about how energy storage can be incorporated into your energy plans?
