De-Risking Energy Storage: Navigating Integrator Bankruptcies and EMS Transitions

The Integrator Shake-Up: Risk You Can’t Ignore

First off: integrator stability is under serious strain. Market pressures, aggressive warranty structures, and thinning margins have exposed cracks. Just look at Powin’s Chapter 11 filing or AESI’s wind-down efforts—these aren’t outliers; they’re symptoms of a larger issue.

Integrators have traditionally filled a critical gap in the BESS value chain, but increasingly, OEMs are moving in and taking over. The takeaway? Relying on a single integrator, especially without redundancy, is a strategic vulnerability. If your LTSA provider goes under, you could be left with unenforceable contracts and systems you can't optimize or maintain properly.

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Underperformance & Blind Spots: The Hidden Risks of Dependence

Many asset owners assume that having an LTSA in place means peace of mind. Not quite. The reality is many systems are underperforming—not failing outright, but not living up to their potential either. The core problem? A lack of visibility and misaligned incentives.

Without independent monitoring and data analytics, BESS underperformance like degraded modules, State of Charge drift, or poor roundtrip efficiency often go unnoticed until the financial damage is done. And when issues are discovered, liquidated damages often don’t cover the real cost of lost performance or PPA penalties.

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From Reactive to Proactive: Taking Control of Your Fleet

It’s time for asset owners to take control of their BESS. That means:

• Securing independent data access from day one

• Implementing analytics tools that turn BESS data into operational insights

• Being able to quantify performance losses and link them to warranty violations

• Preparing for real-time response through on-site O&M teams or remote oversight

Tools like TWAICE BESS Analytics make this actionable - centralizing data across EMS, PCS, and batteries, while flagging inefficiencies and risks in real time.

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Controls Architecture: The New Frontier of Risk

Control systems have become one of the biggest sources of risk in battery energy storage. Unsupported control systems leave sites vulnerable to cybersecurity threats, data loss, and degraded performance. To address these risks, three approaches to EMS transitions were highlighted:

• Parallel: Layering a new EMS on top of the existing one. Low cost, but high risk.

• Retrofit: Safely replacing the original EMS with a modern, compliant system. Higher performance, moderate complexity.

• Overhaul: Fully replacing the BMS and EMS stack. Most disruptive but offers full control and future-proofing.

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Final Thought: Action Now, Not Later

The consensus? Passive asset management is no longer viable. Whether you're facing integrator fallout, trying to future-proof your EMS stack, or navigating an increasingly complex policy landscape, the time to act is now.

This is about safeguarding your revenue, your systems, and your long-term viability in a rapidly shifting market.

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What’s Next? 

You can watch the recording of the webinar here. This webinar is part of a webinar series. The next sessions will cover BESS construction & commissioning, and operations & optimization. Sign up here!