Montenegro has begun preparations to select a strategic partner for a large-scale battery energy storage project, as the country seeks to support the rapid expansion of solar and other renewable generation.
The Government has authorized a working group to oversee the partner-selection process, although details on the planned storage capacity, investment value and tender timetable have not yet been disclosed.
The initiative comes as state-owned utility EPCG continues to pursue several partnerships aimed at expanding Montenegro’s energy-storage capabilities. In May, EPCG signed a memorandum with Japanese battery manufacturer PowerX covering cooperation on approximately 500 MWh of storage during an initial three-year period. PowerX is also considering establishing battery-system assembly operations in Montenegro.
EPCG has separately entered into agreements with Abu Dhabi-based Masdar covering renewable energy and storage projects, further highlighting the utility’s growing focus on flexibility infrastructure as Montenegro expands its clean-energy portfolio.
The latest initiative follows an earlier large-scale procurement that failed to move forward. EPCG cancelled a EUR 58 million tender in 2025 for two battery systems with a combined capacity of 30 MW/120 MWh, after the Government declined to approve the loan required to finance the project. Smaller battery procurements have continued since then.
The need for storage is expected to increase as Montenegro adds more solar capacity. The country’s 2026 energy balance projects installed solar capacity to reach 215 MW by the end of the year, while annual solar generation is forecast to rise from 76 GWh in 2025 to 198 GWh in 2026.
The expected increase in photovoltaic generation will create a greater need for flexibility, balancing and shifting electricity production from periods of high daytime solar output to hours when demand is higher. Large-scale batteries could also help Montenegro integrate renewable capacity more efficiently and reduce pressure on the electricity system during periods of rapidly changing generation.
For EPCG and the Government, the selection of a strategic partner could therefore represent an important step toward establishing a larger-scale storage infrastructure base. The eventual capacity, financing structure and commercial model will determine how significant the project becomes for Montenegro’s wider energy transition.
