Japan’s Tokyo Stock Exchange-listed PowerX has signed a memorandum of understanding (MoU) with Montenegro’s national utility EPCG, targeting the deployment of approximately 500 MWh of battery energy storage system (BESS) capacity over an initial three-year period.

Under the deal, EPCG will collaborate with PowerX to identify optimal BESS deployment strategies to enhance grid reliability, peak shaving, and frequency regulation. The cooperation also includes after-sales support provision, and PowerX plans to explore establishing localized BESS assembly facilities in Montenegro, according to its CEO Masahiro Ito.

Ito stated that the strategic cooperation aims to deploy advanced battery storage solutions and build a long-term foundation for PowerX’s operations in Montenegro and the wider region, including developing local battery system assembly capabilities.

The partnership comes as Montenegro prioritizes BESS in its climate goals; its December 2025 National Energy and Climate Plan targets 50% of total energy consumption from renewables by 2030. The Southeast European country, which has a power interconnection with Italy, previously faced setbacks in its energy storage efforts—EPCG canceled its second energy storage tender in March this year due to lack of interest, following the cancellation of the first tender over failed loan approval for projects at a metal processing site.

EPCG’s CEO Zdravko Dragaš noted that the MoU is a key step in modernizing Montenegro’s power system, emphasizing that cooperation with PowerX provides access to advanced energy storage technologies critical for renewable energy integration and long-term energy security.