Mr Bílek, could you briefly describe your role at Fenecon?
I am responsible for international business development and international sales at Fenecon. Following the company’s internal restructuring, my focus is on the residential and commercial sectors, and until last year also on industrial-scale solutions.
So you are personally responsible for global business development?
Not quite. Our company has divided responsibilities not only functionally but also geographically. The DACH region is managed by our German partner management team. The USA also falls outside my area of responsibility, as we have a separate company there with its own production facilities.
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What is your regional focus?
My focus is primarily on Central and Eastern Europe, from Poland eastwards to Ukraine and further south to North Macedonia and northern Greece, extending even to Georgia.
How is Fenecon approaching internationalisation?
We are present throughout Europe primarily through individual projects. Our structured international expansion began in 2022 following rapid company growth. Due to internal restructuring, internationalisation is still relatively new for us.
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In which countries are you currently active?
Currently, we have a structured market presence through country partners in Sweden, the Netherlands, the Czech Republic, Lithuania, Cyprus and Greece. In other countries, such as Croatia and Slovakia, we have established individual contacts and representatives.
What role do country partners play?
Our approach is not based solely on sales. We work with country partners who essentially act as local Fenecon branches. In addition to sales, they handle technical support, monitor compliance with regulatory requirements and provide customer service. They also provide market feedback, which directly informs our product development.
How do you enter new markets?
Entering a new market involves comprehensive preparation. We typically spend up to a year analysing regulatory frameworks, certification requirements, grid connection conditions and simulating use cases before signing a partnership agreement. In the energy sector, one of the most heavily regulated industries, we believe this preparation is essential for successful market entry.
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What types of storage systems are currently driving your business?
Our portfolio ranges from small three-phase residential systems starting at 6 kWh up to industrial systems exceeding 1 MWh, and recently even beyond 4 MWh with our Industrial XL solution. Across markets, approximately 70 to 80 percent of our business is currently generated in the residential and commercial segment. Utility-scale and large industrial applications account for roughly 20 to 30 percent.
Does this apply across all countries?
Market dynamics vary significantly by country and change rapidly. For example, the Czech residential market experienced a boom after 2020, but two years later demand collapsed. At the same time, ancillary services and utility-scale applications, previously considered unattractive, are now emerging as major drivers.
Poland is considered a prime example for PV expansion in CEE. How do you see the market?
In Poland, residential demand has declined significantly since 2023. Three years ago, we received constant inquiries from Polish companies. Last year, activity slowed considerably. We expect increasing development of behind-the-meter and standalone applications in the near future.
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How challenging is the regulatory environment in Central and Eastern Europe?
The biggest challenge is volatility. Regulatory frameworks, grid connection requirements and certification requirements change frequently, sometimes without warning.
Do you have an example?
In the Czech Republic, certification requirements were changed from one month to the next. The market practically ground to a halt. No one knew which systems could still be installed. Similar changes occurred again a year later.
So this constant back and forth is affecting business?
This uncertainty is not good for investors, especially for storage projects with longer lead times. Even residential construction projects are often dependent on subsidy programmes, and the application process can take months. If regulations change before commissioning, systems can be installed but not connected to the grid. Stable framework conditions are crucial for us. That is why we prefer markets that have already undergone initial regulatory adjustments and offer predictable conditions.
Would you say Eastern Europe is more difficult than Western Europe?
I would not say more difficult, but different. In developed markets like Germany, the Nordic countries or the Netherlands, regulatory clarity ensures investment security. Revenues can be predicted more reliably. The disadvantage of mature markets lies in stronger competition and higher regulatory requirements. In emerging markets, the biggest challenge is navigating a changing environment and adapting quickly.
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What role do subsidies play in Central and Eastern Europe?
Subsidies remain the most important driver of the residential energy storage market in many countries, especially in Central and Eastern Europe. When subsidies are available, demand increases significantly; when they are withdrawn, market growth slows.
What about the utility sector?
Subsidies also continue to play a significant role in the industrial and utility sectors, although investments in commercial applications are increasingly viable without subsidies. In Northern Europe, for example, favourable conditions for ancillary services have enabled projects with payback periods of less than three years in recent years, entirely without subsidies.
These are exceptionally short payback periods. How is that possible?
These returns are now more common. They can be achieved in an environment with stable market mechanisms that attract investment. In the long term, ancillary services and grid stabilisation are likely to become the most important sources of revenue for large-scale storage systems and reduce dependence on subsidies.
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Do you expect to see more grid-supporting storage solutions in the future?
Yes. We anticipate an increase in both grid-connected and stand-alone storage solutions. Grid stability requirements are rising. Frequency and voltage fluctuations are posing growing challenges across Europe. With the increasing share of renewable energy, maintaining grid stability becomes more complex. This leads to structural demand for storage systems that can provide balancing and ancillary services.
How do you see market development in Eastern and Western Europe?
In developed markets, I expect continued growth in residential energy storage, with subsidies continuing to play an important role. In the commercial and utility sectors, a clearer and more stable business model is emerging, increasingly independent of subsidies. Requirements for grid stabilisation, dynamic pricing models and the expansion of ancillary services markets will create stronger economic incentives. Dynamic tariffs and market-based mechanisms, combined with balancing services, will help ensure faster payback and economically viable revenue models.
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What is your conclusion for Central and Eastern Europe?
Fenecon’s strategy in Central and Eastern Europe focuses on long-term partnerships, regulatory understanding and technical adaptation to local conditions. While market uncertainties remain, the growing need for grid flexibility will further drive demand for battery storage systems across the region.
Interview by Manfred Gorgus
