Yevhen Miachyn: How Banks Assess Investments in BESS Projects
Interview
On November 20 in Kyiv, at the Energy Club forum “Energy of Freedom: Resilience and New Opportunities for the Energy Storage Systems Market in Ukraine,” key Ukrainian experts – equipment manufacturers, investors, integrators, lawyers, financiers, and major consumers – will discuss the prospects and practical steps for the development of the BESS market in Ukraine. They will provide exclusive information about the real payback of projects, technological challenges, and their vision of business models that will be profitable in modern Ukrainian realities.
Financing is one of the main issues in implementing capital-intensive projects, which energy storage systems are. What position do leading state banks take in financing projects for business energy resilience?
Yevhen Miachyn – Director of the Corporate Business Development & Support Department of JSC “Oschadbank” – will speak at the forum about business models and investments. This includes how to make a storage project “bankable” (attractive to a bank), the financial instruments and support programs Oschadbank offers corporate businesses to enhance energy efficiency and install BESS, and risk assessment and project payback from the bank’s perspective. Practical advice from a representative of one of the country’s largest banks, who works directly with the corporate sector, will become a real tool for representatives of industrial enterprises, the agricultural sector, retail and logistics, city councils, and municipalities, who are already actively shaping the future of Ukrainian energy. After all, the energy storage market in Ukraine is forming before our eyes: business seeks autonomy, communities seek energy security, and banks seek reliable investments.
In an interview with the Energy Club media department, Yevhen Miachyn shared his vision for the development of BESS projects, risk assessment, and practical advice on how to make an energy project attractive for financing.
– Mr. Miachyn, Oschadbank has historically been a key bank for Ukrainian business. How much has the demand for loans for energy efficiency and energy independence changed in the last year? Do you already see an established trend of installing storage systems among your corporate clients?
– Yes, the development of decentralized generation by the business segment, as well as energy efficiency projects for municipalities, is one of the noticeable trends among the loan agreements concluded by Oschadbank in 2025. If you look at the projects within the Memorandum on promoting energy projects, signed in 2024 by leading banks at the initiative of the NBU, the volume of installed capacity financed by Oschadbank has increased 3.5-fold this year – to 365 MW. And half of that is BESS. This is considering that last year, the share of BESS was 0%.
– The theme of our forum is “Resilience”. How does the bank itself assess the resilience of energy storage projects?
– The program for developing decentralized generation, as a response to military threats, as well as the “green” course that Ukraine is following in its energy strategy, provides for the development, first and foremost, of alternative energy sources. Modern energy storage systems allow neutralizing the dependence of solar and wind energy on the weather. The financial models of our clients’ investment projects, which we analyze before providing financing, clearly confirm this. We, as the bank with the largest energy expertise in the market, even proactively advise our clients who apply for financing for solar power plants, when it is justified by the company’s business processes, to additionally install BESS.
– Which risk is greater for you as a lender – technological (payback of the model) or military (physical destruction of the asset)?
– Both of these risks are significant, but the general list of risks we consider when analyzing investment projects is even larger. The risk of asset destruction is accepted by both the bank and the borrower. Unfortunately, we live and work in conditions of a full-scale war, and this risk cannot be avoided. But we thoroughly work through the technological risks, reviewing the financial model of the investment project together with the client. Oschadbank, as the leader in lending to legal entities, has the largest portfolio of implemented cases in all sectors of the economy, so we can always refer to the experience of previous projects.
– Describe the ideal borrower for a BESS project from the bank’s point of view. Who is it: a large industrial enterprise providing for its own needs, or perhaps a medium-sized business that needs autonomy during outages?
– I represent the business line of Oschadbank that works specifically with large corporate business segment companies. From our experience, the greatest interest is shown by companies implementing projects in the ancillary services market for the transmission system operator or for arbitrage in the markets. We also finance the installation of ESS in combination with solar stations. Territorial communities show particular interest in financing such projects.
– Which business model looks more understandable and “bankable” to you – simple provision for one’s own needs (savings and continuity) or more complex projects focused on earning from market fluctuations (arbitrage, balancing market)?
– As a rule, when considering investment projects, banks analyze the business’s financial model and refer to the profitability experience of similar companies. But we also have an example of innovation: this year, we were the first in the market to issue an investment loan for the construction of a complex of energy storage units that will operate in the ancillary services market. Ukraine does not yet have an established practice for this type of business, but in partnership with the client, we were able to build a financial model resistant to all types of stress testing. It will now be easier for other market players to implement similar projects.
– You will be speaking at our forum on November 20. As a representative of a leading state bank, what is the main message you want to convey to the market? Is Oschadbank ready to invest in “Energy of Freedom,” and what steps must business take to meet the bank?
– My main message will be consistent with Oschadbank’s strategy throughout the full-scale war: the bank is not just a source of funds and a tool for financial transactions. We are partners with business in ensuring its resilience and development. We don’t just respond to business requests; we try to anticipate them. This is what trust and effective cooperation are built on.
Interview
Oschadbank Press Center