Overcoming energy price volatility for Czech businesses

Electricity price volatility has become a persistent challenge for Czech businesses. Prices have risen over 140% since 2020, driven largely by dependence on fossil fuels despite the country’s strong nuclear and lignite generation base. For commercial and industrial organisations, these unpredictable swings can erode margins, disrupt planning, and undermine competitiveness.

Grid instability compounds the issue. A major blackout in July 2025 triggered by a transmission line failure brought large parts of the country to a standstill. While a €400 million European Investment Bank loan will help ČEZ upgrade distribution networks and connect more renewable projects, the benefits will take time to filter through.

Energy storage is emerging as the crucial link between renewable generation and energy security. Czechia’s existing capacity of around 1.19 GW is set to grow significantly thanks to a €279 million EU-backed scheme to deploy at least 1.5 GWh of new storage.

Businesses are starting to act now. Pairing onsite renewables, battery storage, and intelligent energy management to take control of costs. With Wattstor’s Price Protect, Czech companies can benefit from low-price periods while avoiding exposure to extreme peaks, turning market volatility from a cost risk into a commercial advantage.

READ: Energy Storage in the Booming Czech Market

How much could you save with Wattstor?

Due to a high reliance on coal, nuclear and hydropower, the Czech Republic has traditionally enjoyed relatively stable energy prices. However, pressures from the European Union to decarbonise its power system and meet ambitious CO₂ reduction targets mean that the country is trying to increase its renewable penetration and decrease coal production. This is mainly being achieved through new renewable domestic generation.

The result is that the traditional stability of Czech energy prices is starting to decline. The table below shows how price fluctuations have impacted the country in the past four years. It’s clear that volatility is not only present, but massively increasing, and that instances of negative prices are becoming more frequent.

energy price volatility CZ graph

Czech Republic maximum and minimum average prices (2020-2024) (€/MWh)

 

Year Maximum price Minimum price Annual spread
2020 125.1 -65 190.1
2021 620 -36.26 656.26
2022 871 -22.45 893.45
2023 444.02 -68.54 512.56
2024 844.63 -138.75 983.38

 

The higher penetration of renewables brings another concern for the country: grid congestion. While the national grid is currently in a good position to accommodate new connections and allow for the expansion of renewable energy projects, this will likely become harder in the future.

Legislation and public feeling have, until recently, delayed the expansion of renewables – but this is about to change. The country is committed to phasing out coal by 2033, and solar PV is becoming increasingly popular, both in residential and industrial applications.

There is a huge potential for renewable energy systems, with good climate conditions and funding coming from the EU. However, to keep price volatility at bay and really reap the benefits of these systems, companies will need to couple their renewable assets with battery storage and a powerful energy management system.

Standalone batteries are already used for ancillary services such as frequency or power regulation and energy trading. Expanding the use of BESS solutions among industrial & commercial organisations would be a great step in the right direction, allowing companies to make the most of the net zero race, while supporting the grid in this period of transition.

Wattstor has already completed a number of successful installations in the Czech Republic and other Central and Eastern European countries, and is committed to supporting the region with a strong onsite team with deep knowledge of the local markets and legislations.

READ: TON’s Journey From Energy Consumer to Energy Trader

Flexibility with a pricing safety net

In the Czech Republic, volatile wholesale prices and growing grid constraints are reshaping how businesses manage energy costs. Taking advantage of off-peak and negative-price periods by charging batteries can deliver major savings but without tariff innovation.

A single evening price spike can still derail your budget.

That’s where Wattstor’s Price Protect comes in. It’s the only fully dynamic renewable tariff in the Czech market with a built-in price cap, giving your business the freedom to capitalise on market dips without the risk of runaway costs.

  • Charge during negative-price events at minimal or zero cost.
  • Optimise grid use by storing excess onsite generation.
  • Limit exposure to extreme peaks with a fixed maximum kWh price.
  • Boost ROI with solar, storage, and AI-driven optimisation.

The result? Czech C&I businesses can turn market volatility into an advantage by lowering costs, stabilising budgets, and building energy resilience for the long term.

Fixed Tariff vs Fully Dynamic Tariff

The graph below shows the dynamics of a fixed versus a fully dynamic tariff. It’s easy to see that, most of the time, businesses would be better off on a fully dynamic tariff, paying less when wholesale electricity prices drop.

However, there are instances where a sudden price spike means their bill would also suddenly rise. If instances of price spikes increase, businesses will have a problem. A fixed tariff can protect them from spikes, but doesn’t allow them to benefit from price drops.

The solution? Wattstor has recently launched Price Protect, the only fully dynamic renewable tariff on the market, with a price cap. With Price Protect, the manufacturer will get the best of both worlds: they will always pay less than the market price for their electricity, but never more than agreed.

In this example, a fixed tariff will protect the business in the one instance in which prices are spiking. However, they won’t be able to benefit from lower wholesale prices for most of the time.

With a fully dynamic tariff, the business usually benefits, but it still faces higher energy costs when wholesale prices spike. Price Protect offers the best of both worlds for Czech businesses: protection from price spikes thanks to a price cap, and the chance to benefit from price drops thanks to the fully dynamic mechanism.

Turning price volatility into commercial opportunity 

For Czech businesses, it’s no longer a question of if electricity prices will fluctuate. The real question is how prepared they are to deal with it.

By combining onsite renewables with smart battery storage, businesses can take control. Add intelligent energy management, and volatility shifts from being a cost risk to a cost-saving opportunity.

„It is our vision to empower every business and community to actively participate in the green energy transition and financially benefit from it.“

Stephan Marty, CEO at Wattstor

Wattstor is a next-generation energy company providing complete onsite renewable energy solutions. We believe clean, affordable energy is a business essential. We are committed to removing all obstacles to the clean energy transition.

Our fully funded energy systems help make net zero a reality for energy-intensive organisations in all sectors – with no upfront costs and guaranteed lower-than-grid electricity prices.

From industry-leading consultancy, to unique tariffs, state-of-the-art solar + BESS, and a powerful AI-based EMS, Wattstor is the one-stop specialist for organisations eager to fast forward their net zero ambitions.

Sales: [email protected]
Technical: [email protected]

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