flexibility

Southeast Europe faces a growing power-system flexibility shortage as grids, storage and dispatchable capacity lag behind project growth and rising volatility. Country-level pressures range from heavy imports in Serbia to negative prices in Croatia and faster battery deployment in Bulgaria.

More than a quarter of Serbia’s October electricity use came from imports as weak hydropower output increased EPS’s exposure to regional prices. The imports had a market value of around €100 million.

Power prices in Hungary, Bulgaria and Romania reached close to €300/MWh on 4 November, keeping Southeast European prices above western European levels despite expanding renewable capacity. Constrained firm generation, scarce flexibility and transmission limits contributed to the premium.

Recurring evening electricity price peaks strengthened the commercial case for flexible generation, demand response and storage across Southeast Europe. The available weekly data do not establish project returns.

Serbia’s forecast power balance on 15 October required about 1,027 MW of scheduled net imports, while SEEPEX recorded 368.6 €/MWh at hour 20. Battery storage could reduce exposure to the most expensive deficit hours and improve trading flexibility, but would not eliminate the country’s energy shortfall or import dependence.

Serbian industrial companies must weigh owning batteries against buying flexibility as a service. The choice depends on whether factory-specific savings or market optimisation provides most of the battery’s value.