ESS Tech and LEAG, a major German energy provider, have signed an initial agreement to expedite the clean energy transition through the deployment of renewable generation and long-duration energy storage (LDES) using ESS iron flow battery technology.
The collaboration aims to construct a 50 MW / 500 MWh iron flow battery system at the Boxberg Power Plant site, with commissioning scheduled for 2027. This module is expected to become a standardized building block in LEAG’s plan to deploy 2-3 GWh of storage across their power plant locations. LEAG and its partners intend to invest €200 million in this endeavor, with additional support anticipated from investors and stakeholders.
ESS has developed an iron-based LDES technology that utilizes safe and sustainable battery chemistry, providing low-cost, utility-scale energy storage. The company’s manufacturing facilities near Portland, Oregon, USA, currently produce ESS technology. Their systems have already been successfully deployed in commercial microgrid projects, and utility-scale installations are underway in the USA and Australia.
Eric Dresselhuys, CEO of ESS, expressed enthusiasm for the partnership, stating that working with LEAG would help establish a model for utilities and communities transitioning from coal to clean, renewable energy. He emphasized that the deployment of renewables and long-duration energy storage not only ensures reliable, clean energy to replace coal baseload power but also offers economic opportunities and a cleaner environment for Germany.
LEAG, a prominent operator of large-scale lignite mining and coal-fired generation in Eastern Germany, envisions transforming the coal-dependent region into Germany’s Green Powerhouse. The company plans to develop 7-14 GW of renewable generation, coupled with 2-3 GWh of energy storage and 2 GW of green hydrogen production. These technologies will combine to create a net-zero-carbon baseload energy system. LEAG aims to showcase a renewable energy system at scale that not only replaces baseload coal generation but also employs short-duration storage, LDES, and hydrogen to replace natural gas for grid balancing.
Thorsten Kramer, CEO of LEAG, emphasized the importance of cost-effective long-duration energy storage in their transformation into Germany’s Green Powerhouse. He expressed excitement about demonstrating the value of iron flow battery technology on a large scale.
Both LEAG and ESS have joined the Energy Resilience Leadership Group (ERLG), an initiative led by Breakthrough Energy and Siemens Energy. The ERLG brings together CEOs, political leaders, financial institutions, and startups to rapidly scale emerging climate technologies and enhance Europe’s energy resilience. By partnering with startups and corporates, the ERLG aims to deploy commercially viable projects within 24 months. LEAG and ESS’s collaboration is one of the projects that the ERLG network is supporting to accelerate their progress.
Philipp Offenberg, Senior Manager, Europe at Breakthrough Energy, expressed support for the strategic relationship between LEAG and ESS through the ERLG. He highlighted that delivering green baseload power through scalable, long-duration energy storage not only aids in decarbonization but also enhances Europe’s energy resilience by reducing the need for natural gas backup power generation.
