Alpiq Inaugurates €64 Million Csepel Hybrid Power Plant in Budapest Combining Gas Generation With Battery Storage for Grid Flexibility

Alpiq Inaugurates €64 Million Csepel Hybrid Power Plant in Budapest Combining Gas Generation With Battery Storage for Grid Flexibility

(IN BRIEF) Alpiq has inaugurated a €64 million hybrid power plant at its Csepel site in Budapest, combining 50 MW of flexible gas-engine generation with a 5 MW / 10 MWh battery energy storage system. The integrated facility can make its full generation capacity available to Hungary’s electricity system operator in less than five minutes, with the battery providing an immediate response while the gas engines remain switched off until additional capacity is required. This “zero must-run” concept is intended to reduce unnecessary gas consumption and generation-related CO₂ emissions while improving grid flexibility. Alpiq expects the facility to support the integration of approximately 150 MW of additional solar photovoltaic capacity into Hungary’s power system. The project complements the existing 403 MW Csepel II combined-cycle gas plant and 35 MW power-to-heat facility. Alpiq has operated in Hungary since 2002, and its Csepel site can supply around 6% of national electricity demand while providing district heating to approximately 20,000 households in South Budapest.

(PRESS RELEASE) LAUSANNE / BUDAPEST, 15-Sep-2026 — /EuropaWire/ — Alpiq has officially inaugurated its new Csepel hybrid power plant in Budapest, combining highly flexible gas engine generation with battery energy storage in an integrated system designed to provide rapid balancing capacity for Hungary’s electricity grid.

The approximately €64 million facility combines 50 MW of high-efficiency gas engine capacity with a 5 MW / 10 MWh battery energy storage system. The battery was commissioned in August 2026 and is designed to respond immediately to changes in electricity-system conditions, while the gas engines can start rapidly when additional capacity is required.

Together, the technologies can make the plant’s full generation capacity available to the Hungarian system operator in less than five minutes.

The project is intended to address one of the central challenges associated with the energy transition: maintaining electricity-system stability as a growing share of generation comes from weather-dependent renewable energy sources.

A key feature of the Csepel facility is its “zero must-run” operating concept. The battery provides the initial response to fluctuations in the electricity system, allowing the gas engines to remain shut down until their output is actually needed.

By avoiding continuous operation of the gas engines, Alpiq expects the facility to reduce unnecessary gas consumption and lower generation-related CO₂ emissions during periods when additional thermal capacity is not required.

Amédée Murisier, Head of the Business Division Assets and member of the Executive Board of Alpiq, said flexibility and innovation are essential to maintaining security of supply throughout the energy transition. He said the Csepel project demonstrates how hybrid technologies can improve system responsiveness while reducing gas-engine operating hours and CO₂ emissions per megawatt-hour generated.

The project was largely developed in-house by Alpiq, covering technical design, procurement, construction management and the integration of the plant’s operating systems.

Gábor Briglovics, Head Hungary at Alpiq, said the company combined its engineering capabilities and operational experience to develop a highly flexible facility specifically adapted to the requirements of Hungary’s electricity system.

Hungary’s rapid expansion of solar photovoltaic generation is increasing the need for balancing resources capable of responding when renewable electricity output rises or falls. Alpiq estimates that the additional flexibility provided by the new Csepel hybrid facility could facilitate the integration of approximately 150 MW of additional photovoltaic capacity into the Hungarian power system.

The new plant complements Alpiq’s existing infrastructure at the Csepel site, including the 403 MW Csepel II combined-cycle gas-fired power station and a 35 MW power-to-heat facility.

By using existing infrastructure and the experience of the site’s operations and maintenance team, Alpiq has been able to integrate the new hybrid capacity into an established energy hub.

Alpiq has operated in Hungary since 2002. The broader Csepel site can supply around 6% of Hungary’s total electricity requirement and also provides district heating to approximately 20,000 households in South Budapest.

The investment forms part of Alpiq’s wider strategy to expand flexibility across the European electricity system. The company sees flexible generation, storage and sector-coupling technologies as important tools for supporting renewable-energy integration while preserving security of supply.

Through the combination of batteries and fast-start gas generation, the Csepel hybrid power plant is designed to provide grid-balancing services with fewer unnecessary engine operating hours, allowing Hungary to accommodate greater quantities of variable renewable electricity while maintaining system reliability.

SOURCE: Alpiq