4.4 Co-location emerges from the shadows Despite strongly supportive fundamentals, co-located BEss has continued to lag standalone projects both in terms of capacity additions and contracted volumes. That said, 2025 marked a turning point, According to Pexapark's BESS Deal Tracker, disclosed co-located BESS capacity contracted under FPAs, hybrid PPAs, or merchant optimization structures increased by 850% compared with 2024, reaching 3.8 GWh in 2025. While this remains a fraction of the nearly 20 GWh of contracted standalone BESS capacity, it highlights the scope for co-location to gain further momentum in 2026.