BW ESS and Nordea Bank sign financing for 211MW Swedish battery portfolio
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Energy storage owner-operator BW ESS has secured a SEK628 million ($65.2 million) green loan agreement with Nordea Bank for its 211MW/211MWh portfolio of operational battery storage assets in Sweden, owned in partnership with Ingrid Capacity.
The transaction is BW ESS’ first external financing and is understood to be the largest battery energy storage system (BESS) financing in the Nordics to date, says the company in a release.
BW ESS, part of global energy and maritime infrastructure company BW Group, says the battery portfolio financing continues a longstanding relationship with Nordea Bank at Group level, dating back over 20 years.
The portfolio of 14 large-scale BESS facilities is the largest in the Nordics. It was inaugurated by Sweden’s Minister for Climate and the Environment, Romina Pourmokhtari, in October last year. The assets are majority owned by BW ESS and were jointly delivered by BW ESS and Ingrid Capacity.
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Commenting in a release was Marc Weisser, CFO of BW ESS: “We are thrilled to be partnering with Nordea on this landmark transaction for BESS in the Nordics, representing not only a significant milestone for the market, but also a significant achievement for BW ESS.
“It underlines the strength of our business model, coupling local development expertise with our global experience and financing relationships to unlock the value of energy storage.”
Sweden’s BESS market
According to energy analytics and insights company Montel in a blog post, Sweden has traditionally lagged behind continental Europe’s BESS growth, but recent developments have propelled rapid expansion.
Until 2022, only a few projects were launched, mainly supported by subsidies and specific storage needs. However, a second wave of growth emerged, driven by high prices in ancillary markets—particularly Frequency Containment Reserve for Disturbances (FCR-D).
Between early 2023 and late 2024, prequalified FCR-D capacity surged from under 10MW to around 600MW, a dramatic increase.
However, as total demand for FCR-D remains below 550MW and is not expected to rise, the market became saturated in 2024, leading to a significant drop in FCR-D market prices.
In view of the saturated market, Montel recommends that Swedish BESS operators adopt a multi-market strategy to optimise revenue. This includes:
- Participation in additional balancing markets like Manual Frequency Restoration Reserve (mFRR) and Automatic Frequency Restoration Reserve (aFRR).
- Active involvement in wholesale electricity markets, including day-ahead and intra-day trading.
- Leveraging algorithmic trading to execute high-frequency trades and capitalise on market fluctuations.
Said Axel Holmberg, CEO of Ingrid Capacity: “This financing is more than a milestone — it’s proof that the market sees what we see: battery storage is not just an emerging technology. It’s part of the core infrastructure of tomorrow’s energy system — essential for energy security, affordability, and decarbonisation.”
“We deeply value our partnership with BW ESS and Nordea — both of whom share our conviction in the critical role of storage and our commitment to delivering impact across Europe.”
