The CM welcomes cross-border participation.

As Europe accelerates its transition to cleaner energy, two major challenges are emerging: ensuring there's always enough reliable power available, and maintaining the flexibility needed to balance supply and demand.

These issues are especially pressing in systems that rely heavily on renewable sources like solar and wind, which are inherently variable and less predictable.

In recent years, traditional thermal power plants—particularly combined cycle gas turbines (CCGTs)—have seen their operating hours decline. This trend threatens their economic viability and has led to the shutdown of several units, raising concerns about the long-term adequacy of the power system. Italy’s experience reflects this shift, with data showing a narrowing margin of available capacity. Fig. 1 shows the trend of adequacy margin experienced in Italy in the last years.

To address these concerns, Italy has gone beyond short-term energy markets and invested in forward-looking mechanisms that secure future capacity and flexibility. One of the country’s most innovative tools is the Capacity Market (CM), designed to ensure that enough “firm capacity”—power that can be counted on at any time—is available years in advance.

Italy was among the first in the EU to launch a CM, holding its inaugural auction in 2019 for delivery in 2022. The most recent auction took place in February 2025, securing capacity for 2027. These auctions are open to
all technologies, except those exceeding a set CO₂ emissions threshold—effectively excluding coal and other high-polluting sources. Successful bidders receive a fixed annual premium (€/MW/year), and in return, they commit to offering their capacity in the day-ahead and ancillary services markets.

Importantly, the CM also welcomes cross-border participation, allowing foreign providers to contribute firm capacity if they secure transmission rights at Italy’s borders. Even variable renewable energy sources (VRES) like solar and wind are participating. While their awarded firm capacity may seem modest—just 5.8% or 2.2 GW—it represents around 14 GW of installed capacity when adjusted for reliability factors.

At the European level, capacity remuneration mechanisms like Italy’s CM are now recognised as essential tools for maintaining system adequacy during the clean energy transition. This approach is formally endorsed in the EU’s Electricity Market Design Directive (1711/2024) and Regulation (1747/2024).

Beyond capacity, flexibility is another critical piece of the puzzle. To meet this need, Italy has introduced a new market mechanism known as MACSE, aimed at supporting energy storage solutions such as battery systems (BESS) and pumped hydro. Through pay-as-bid auctions organised by the national grid operator (TSO), investors can secure annual premiums (€/MWh/year) in exchange for participating in grid-balancing services.

The first MACSE auction, held on September 30, 2025, focused exclusively on battery storage and offered 10 GWh of capacity. The competitive bidding resulted in remarkably low prices—just €13,000/MWh/year, well below the regulatory cap of €37,000/MWh/year—highlighting the efficiency of Italy’s auction design.

Under MACSE, storage operators receive 20% of the revenues generated during grid operations, while the remaining 80% goes to the TSO to help offset network costs. This model not only incentivises investment in storage but also ensures that flexibility resources are actively integrated into the system.

Italy’s proactive approach—combining long-term planning with innovative market design—is setting a benchmark for how to build resilient, low-carbon power systems. As the energy transition gathers pace, these mechanisms will be crucial in keeping the lights on while reducing emissions. 

This article was provided by CESI. 

At last week’s GITEX Global, one of the region’s most influential tech events, Al Masaood Group, has officially signed a Memorandum of Understanding (MoU) with Instagrid – a Global pioneer in portable battery systems – bringing to the UAE the first professional-grade, portable, emission-free energy source.

Who Is Instagrid?

Founded in 2018 by PhD Engineers Sebastian Berning and Andreas Sedlmayr, Instagrid emerged from a simple yet transformative idea: to create a high-performance portable power solution for professionals. While the market was saturated with leisure-focused power supplies, there was a clear gap for robust, mobile energy systems capable of meeting the demands of industries like construction, events, and emergency services. Today, Instagrid powers over 125,000 professionals worldwide, offering clean, reliable energy wherever it’s needed.

What makes Instagrid unique?

Instagrid’s innovation lies in its micro-inverter technology, which replaces traditional generator components such as large fan-cooled inverters with smart, modular battery architecture. Each Instagrid unit contains 144 individual battery cells, intelligently managed to deliver peak power outputs of up to 18,000W - all from a compact, 20kg device.

The flagship product, Instagrid ONE, delivers 3,600W of rated output power, equivalent to the power performance you’d expect from a 5-7 kVA generator, but with zero emissions, no noise, and no fossil-fuel consumption. Instagrid’s innovative technology replicates grid-like power in the form of a pure sinewave, dynamically drawing power from the necessary cells to meet the fluctuating demands of professional equipment - from drills and pumps to welders and lighting systems.

Unlike traditional generators, which must be oversized to handle peak loads (resulting in wasted fuel and idle time), Instagrid delivers power only when needed, instantly and efficiently.

Product range and scalability

∙Instagrid ONE: A compact, robust unit with 2.1 kWh capacity, fully rechargeable in under 3 hours. Built to withstand dust, moisture, and harsh environments.

∙Instagrid LINK: Connects up to three Instagrid ONE units to triple capacity to 6.3 kWh, ideal for high-demand applications like diamond core drilling.

∙Instagrid LINK MAX: Combines three Instagrid ONE units into a portable three-phase power supply, revolutionising the portability of 400 V power sources.

Sustainable by design

Instagrid’s technology is not only clean - it’s circular. The company’s latest Impact Report highlights its commitment to sustainability with impressive headline figures:

∙Over 701,005 tonnes of CO₂e emissions avoided to date - equivalent to removing over 300,000 cars from the road.

∙215,378 tonnes of carbon monoxide (CO) and 279 tonnes of nitrogen oxides (NOx) emissions avoided to date, improving air quality.

∙96% product repair rate, with a Material Circularity Index of 48%.

∙91% material recyclability at end of life for Instagrid ONE and similarly high scores across the product line.

Instagrid’s supply chain and manufacturing processes align with the EU’s latest sustainability standards, ensuring long-term product durability and responsible resource use.

Cost efficiency compared to generators

Beyond environmental benefits, Instagrid offers compelling economic advantages. Based on 5 years average usage an Instagrid unit will reduce total lifetime costs by an average 70%* when compared with a similar sized combustion generator (*based on local market costs) - thanks to savings on fuel, maintenance, accessories, and downtime.

Global trust and adoption

Today, Instagrid stands as Europe’s leading provider of high-performance portable power systems, rapidly expanding its footprint across North America, Australia, Singapore, and, most recently, the UAE. Instagrid has become the portable power solution of choice for leading global contractors like Strabag and Balfour Beatty, and rental giants such as Sunbelt Rentals, who have invested heavily to meet growing demand for sustainable energy.

Strategic partnership with Al Masaood Power

Instagrid’s entry into the UAE market is powered by its partnership with Al Masaood Power, who have a deep heritage of over 50 years driving UAE’s industrial and energy sectors with innovative solutions. a leading energy solutions provider in the region. As the official distributor, Al Masaood will make Instagrid’s full product portfolio - including Instagrid ONE, LINK, and LINK MAX - immediately available across the Emirates.

Supporting the UAE’s Net Zero 2050 Vision

This partnership will support the UAE’s Net Zero 2050 strategy and Al Masaood Power’s innovation roadmap.

By leveraging Instagrid’s proven success in Europe and adapting it to the unique needs of the UAE and GCC markets, this collaboration aims to accelerate the transition to clean portable power across key sectors including construction, infrastructure, utilities, and emergency services.

For more details, visit Instagrid and Al Masaood Group. 

AuCom is leading the way in the transition from fossil fuels to zero-emission heat generation.

The specialist in electronic drive solutions has developed the MV Heater Control, a powerful medium-voltage solid-state heating controller for industrial applications of up to 11 kV and 10 MW. AuCom will present the Heater Control Kit at ADIPEC in Abu Dhabi from 3–6 November 2025. Visitors to the world’s leading energy exhibition can find AuCom at stand 13393 in hall 13, where they will also see the H1 Series of variable speed drives and the energy-efficient MVH2.0 medium-voltage drive.

“Our drive solutions – and particularly the MV Heater Control – contribute to carbon free production,” said Thomas Zirk-Gunnemann, CEO of AuCom Applied Motor Controls. “We support the sustainable use of oil, gas and energy technologies for a clean and green future.”

The MV Heater Control offers significantly higher efficiency than conventional fossil-fuel heating systems or heat exchangers. Its fully integrated control solution ensures a high level of safety, minimising the risk of workplace incidents caused by hot oil, explosions or vapours. In addition, the system extends the lifespan of individual heating elements and reduces capital expenditure, as the advanced control system removes the need for step-down transformers. The innovative cooling system also allows for a compact, space-saving design.

Energy efficiency is central to AuCom’s wider product portfolio. The universally applicable H1 Series variable frequency drives (VFD) also feature a compact design. Covering a power range from 4 to 450 kW (380 to 460 V, 9 to 820 A), the H1 Series supports motor control types including SPM, IPM, SynRM and IM. For precise torque control and integration into higher-level control systems, the H1 drives offer multiple encoder cards, industrial application macros and a wide range of communication protocols such as CANopen, PROFIBUS-DP, PROFINET, Ethernet/IP and EtherCAT.

Both the H1 Series and the MVH2.0 medium-voltage drive set new benchmarks in energy-efficient drive technology with their energy-saving control solutions. The MVH2.0 provides extensive monitoring functions and, thanks to real-time data and cloud monitoring, is well suited to diverse and demanding industrial applications. Pre-installed standard functions, easy scalability and the ability to control multiple motors in parallel save both time and costs.

At ADIPEC, visitors will have the opportunity to explore AuCom’s innovative drive and control solutions and learn how the company supports manufacturers in their transformation towards sustainable and zero-emission production. The AuCom team looks forward to welcoming visitors and engaging in forward-looking discussions about the future of clean industrial energy.

Renewables overtake global coal

Independent power producer Scatec has welcomed the findings of a recent Ember report, confirming that renewable energy sources generated more electricity than coal globally for the first half of 2025

“The global power sector has crossed a critical line,” said Terje Pilskog, CEO of Scatec. “This trend validates the long-term view Scatec has maintained: that renewable energy is not simply an environmental choice, but the most competitive and vital source for new electricity generation globally. The acceleration of green energy deployment, particularly in high-growth emerging markets such as China and India, demonstrates a global recognition of the urgency to decarbonise.”

Pilskog added, “Scatec remains committed to delivering large-scale, reliable, and affordable solar, wind, and battery storage projects, thereby actively contributing to the curb of high-emission coal generation and ensuring energy security for the markets we serve.”

IMPOWER highlights regional opportunities

IMPOWER Solar & Storage has celebrated a major development in the global energy sector.

According to the report, renewables produced 5,072 TWh in the first half of 2025, surpassing coal’s 4,896 TWh. Rapid solar and wind growth in China and India drove this increase. Analysts are calling it “a crucial turning point” in the global energy transition.

IMPOWER said the findings reinforce its strategy of developing resilient, cost-effective systems that enable businesses and communities to thrive both on and off grid. Earlier this year, the company highlighted the importance of policy clarity and grid flexibility to unlock the full potential of renewables in the region.

Matthew Cruise, business development executive at IMPOWER, described the report as, “a positive signal for investors and innovators alike. More than a global headline, it’s a roadmap for South Africa. Every kilowatt-hour we generate from the sun reduces reliance on volatile fossil fuels and strengthens energy security for businesses and households.”

As IMPOWER expands its solar-plus-storage offerings across commercial and industrial sectors, the company views this global shift as proof that the future is already here.

“The future is decentralised, digital, and decarbonised,” Cruise added, urging policymakers to remove barriers that slow adoption.