The energy transition is reshaping how power systems manage peak demand and grid reliability. Distributed energy resources (DERs) are increasingly positioned to reduce reliance on fossil-fuel plants while keeping electricity available during periods of peak demand and grid imbalance. As electrification accelerates across transport, buildings, and industry, the intermittency of renewable energy is placing growing pressure on existing power networks.
Energy storage and demand-side flexibility offer a practical response. Yet technology alone does not ensure adoption at scale. Unlocking the full value of distributed energy resources requires commercial agreements that align asset owners, technology providers, utilities, and market operators.
This article highlights commercial agreements that are accelerating the market adoption of distributed energy resources. Together, they show how well-designed partnerships are improving grid resilience, lowering system costs, and enabling a more reliable and decarbonised power network.
Offtake Agreement between EDP and Zelestra
Challenge
Electricity systems increasingly rely on fossil fuel peaker plants to manage short-term demand surges and balance variability from renewable generation. As a result, peaker plants typically run only during high-demand periods resulting in high COâ‚‚ emissions. With power demand rising and renewable penetration increasing, continued reliance on peaker plants undermines decarbonisation efforts and exposes utilities to cost and emissions volatility.
Solution
To address this challenge, Spanish renewable energy company Zelestra and Portuguese utility EDP have signed Spain’s first solar-plus-battery power purchase agreement. The long-term PPA combines large-scale solar generation with battery energy storage to deliver firm, dispatchable clean power during peak demand periods.
Under the agreement, Zelestra will develop a hybrid project in Trujillo, Extremadura, comprising 170 MWdc of solar capacity and 400 MWh of battery storage. The system is structured so the battery can be fully charged daily using solar generation, even under variable weather conditions. This design allows EDP to access clean electricity beyond daylight hours, when demand and market prices are typically highest.
Outcome
The project enables reliable access to clean energy during peak periods and reduces dependence on high-emissions peaker plants. The hybrid system is expected to generate around 300 GWh annually and avoid more than 40,000 tonnes of CO₂ emissions each year, supporting Spain’s power sector decarbonisation.
Strategic Partnership between Monta and GridBeyond
Challenge
Urban electricity networks face growing pressure from the rapid expansion of electric vehicle charging infrastructure. Concentrated clusters of EV chargers can create sharp demand peaks increasing the risk of disruptions in the grid.
Solution
To address this challenge, Dublin-based energy-as-a-service provider GridBeyond has partnered with Copenhagen-based EV charging software company Monta. The collaboration integrates EV charging infrastructure into the UK’s Static Firm Frequency Response (SFFR) programme.
Under the agreement, 2,000 EV charge points have been successfully registered to provide grid balancing services. Monta’s PowerBank software enables individual charge points to respond automatically to grid signals by briefly pausing charging during periods of imbalance.
The integrated solution allows EV charge points to operate as flexible energy assets rather than passive loads. By adjusting charging schedules in real time, the system helps stabilise grid frequency while minimising disruption to EV users.
Outcome
The partnership strengthens grid resilience and reduces the risk of shortages during peak demand periods. It demonstrates how EV charging infrastructure can actively support grid stability as electrification accelerates. The collaboration is expected to scale further, with an additional 1,500 charge points planned for near-term integration.
Offtake Agreement between Kion Group and ENVIRIA
Challenge
Large intralogistics and warehouse operations face rising electricity demand as automation and electric material handling expand. At the same time, industrial operators are under pressure to decarbonise operations while managing energy costs and avoiding capital-intensive infrastructure investments.
Solution
To address this, KION Group has partnered with solar developer ENVIRIA to deploy a large-scale rooftop photovoltaic system at KION’s regional distribution centre in Kahl am Main in Germany. The project is structured under a long-term Power Purchase Agreement, under which ENVIRIA will design, finance, install, operate, and maintain the solar installation.
The photovoltaic system will cover approximately 17,000 square metres of rooftop space and is expected to generate around 975,000 kilowatt-hours of solar electricity annually. The majority of the output will be used directly to power KION’s warehouse logistics and production operations, with surplus electricity fed into the public grid.
By using a PPA model, KION secures long-term solar electricity at a fixed price without upfront capital investment, while ENVIRIA assumes project financing and operational responsibility.
Outcome
The partnership enables KION to reduce reliance on conventional electricity and lower operational emissions while maintaining cost predictability. It demonstrates how industrial logistics operators can scale on-site renewable generation through asset-light procurement models.
Service Agreement between The Heineken Company, Rondo Energy and EDP
Challenge
Breweries consume large volumes of steam and very high-temperature heat as part of their production processes. Historically, this heat has been generated by burning fossil fuels, making industrial heat one of the hardest areas of brewery operations to decarbonise.
As climate targets tighten, breweries face increasing pressure to eliminate fossil-based heat while maintaining continuous and reliable steam supply.
Solution
HEINEKEN has partnered with EDP Comercial and Rondo Energy to install a 100 MWh Rondo Heat Battery at HEINEKEN’s Vialonga Brewery and Malting Plant near Lisbon. This project marks the first large-scale deployment of heat battery technology in the European beverage industry and will be the largest installation of its kind in the sector globally.
The system will store renewable electricity and convert it into high-temperature steam for brewery operations. Renewable energy will be supplied through a combination of a new 7 MW on-site solar plant and a long-term renewable electricity contract from the grid.
Under a Heat-as-a-Service model, EDP Comercial will design, build, and operate the system, while Rondo provides the battery technology. This allows HEINEKEN to receive low-carbon steam without operating the system itself.
Outcome
This partnership will provide continuous, renewable steam and significantly reduce carbon emissions at the site. It supports HEINEKEN’s Brew a Better World strategy and its ambition to decarbonise production sites by 2030.
The deployment demonstrates a replicable pathway for decarbonising high-temperature industrial heat across energy-intensive sectors such as food and beverage, chemicals, and pulp and paper.
Offtake Agreement between Colorado State University and Pivot Energy
ChallengeÂ
Colorado State University currently sources about half of its electricity from renewable energy, through a mix of utility purchases and on-campus generation. Reaching the 2030 goal of 100 percent renewable electricity requires not only adding new renewable supply, but also reducing overall electricity demand through sustained energy efficiency and conservation efforts across existing buildings.
Solution
Colorado State University has entered into a 20-year partnership with Pivot Energy to develop a 5.75 megawatt ground-mounted solar project in Weld County, Colorado. Pivot Energy will develop, own, and operate the project, with electricity transmitted to the Xcel Energy electric grid, which serves much of Colorado.
Through a virtual net metering arrangement, CSU will receive all Renewable Energy Credits from the project without installing solar infrastructure on campus or increasing its electricity costs. This approach allows CSU to expand its renewable electricity supply through offsite generation while maintaining long-term cost stability.
Outcome
Once operational in the fourth quarter of 2026, the project will increase CSU’s solar portfolio by nearly 50 percent and deliver approximately 11 million kilowatt-hours of renewable electricity annually. It is expected to eliminate nearly 7,400 metric tons of CO₂e each year, advancing the university’s progress toward 100 percent renewable electricity by 2030.
Commercial pathways for scaling distributed energy resources
These commercial agreements demonstrate how distributed energy resources are being integrated into power systems as reliable, market-facing assets. By enabling storage, flexible demand, smart charging, and electrified heat to respond to periods of grid imbalance, they reduce reliance on fossil-fuel peaker plants and support higher penetration of renewables.
More importantly, they show that scaling distributed energy depends on commercial structures as well as innovation. Together, these agreements strengthen grid resilience, reduce system costs, and enable deeper industrial decarbonisation.
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