Global battery energy storage systems (BESS) provider Fluence, global leader in energy storage products, software, and services, is expecting its Philippine project footprint to potentially double within the next three to five years, as policy support, grid constraints, and renewable integration needs drive stronger demand for storage solutions.

Fluence SVP and chief customer success officer John Zahurancik and APAC Vice President of Engineering and Commissioning Rob Hills said the company is seeing renewed momentum in the Philippines after a slower period, with more active engagement from developers, utilities, and grid-related entities.

Zahurancik said the company’s current footprint stands at 22 projects, with further expansion already in sight.

“I wouldn’t be surprised to see that footprint double over the next three to five years,” he told Power Philippines. 

He added that Fluence is broadening its market engagement beyond its existing partnerships.

“We’ve already done things with other companies. We’re open to doing business with all of them. We’ve expanded our relationships beyond San Miguel. We are interested in continuing to grow with the market,” Zahurancik.

Hills said activity in the Philippine market is beginning to pick up again, supported by structural grid needs and increasing conversations around storage deployment.

“We’re seeing more conversations in the Philippines. That’s great from our point of view because… we have teams here that would love to work in the Philippines… and we’re seeing more of that activity… increasing I think from a day-to-day basis,” he said.

A key driver for growth, they agreed, is the Department of Energy’s recent directive requiring variable renewable energy (VRE) projects to integrate battery storage, alongside broader system needs linked to volatility in power supply and pricing.

Hills noted that while policy signals take time to translate into executed projects, they are already influencing pipeline development discussions.

Zahurancik said storage is increasingly being viewed as a structural tool to manage price volatility in power markets.

“I think today… there’s an effort to try to control prices with price caps. But finding technologies like storage that fundamentally… limit the cost over time, I think it is a better medium to long term approach. We’ve seen that success in other markets where they start to see the peak power prices come down,” he said.

On grid applications, particularly in island systems like the Philippines, Zahurancik underscored the role of storage in improving reliability while reducing reliance on standby fossil capacity.

“Storage is a great boon to island grids really because island grids have a lot of challenges. You don’t have as much infrastructure. We just see that it adds a lot of reliability and then the cost of keeping the lights on goes down,” he said.

He added that battery systems provide instantaneous response compared with conventional peaking plants, making them well suited for constrained grids.

Hills said advances in grid-forming capabilities are further expanding the technical role of storage in stabilising weaker systems, including during outages or extreme events.

In discussing emerging capabilities shaping battery storage deployment, the executives highlighted ongoing improvements in system design, particularly in how storage assets are becoming more compact, intelligent, and grid-responsive.

John Zahurancik pointed to advances in battery performance and system engineering that are enabling higher output in smaller physical footprints.

“Batteries themselves are getting more sophisticated, more dense, so we can put more power capability in a smaller area,” he said, noting that this is particularly important as projects move closer to population centres.

He added that improvements in power electronics are expanding how storage interacts with the grid, especially through grid-forming applications that strengthen system stability in weak or isolated networks.

Hills also pointed to the increasing role of data-driven optimisation, saying storage systems are generating large volumes of operational data that can now be better leveraged for performance gains.

Is the Philippines ready for rapid BESS scaling—or will structural constraints slow down the projected pipeline expansion?

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