Still planning your 2026 storage like grid-forming is optional? That is the energy equivalent of putting bicycle brakes on a bullet train.

ABB just bought Siemens Gamesa’s Gamesa Electric power electronics business, a move that consolidates wind, solar, and battery storage inverters under one very large, very bankable roof. For developers and EPCs contending with tight inverter supply, evolving grid-forming requirements, and lender scrutiny, this deal is not just another M&A headline. It is a pivot point.

Why this deal matters now

Grid codes are trending from grid-following to grid-forming, especially for utility-scale BESS and hybrid plants. Europe is advancing non-binding technical guidance on grid-forming capabilities, with ENTSO-E publishing a Phase II technical report on grid-forming requirements and interim technical specifications that foreshadow future mandates (Phase II report, interim requirements, earlier guidance). In North America, standards work like IEEE 2800-2022 and IEEE 1547-2018 continues to raise the bar for inverter-based resources on the bulk power system and distribution grids. The UK’s distribution connection standard ENA G99 also shapes compliance for generation assets. All of this points to one thing: grid-forming PCS and inverters will be table stakes by mid-decade.

What ABB gets from Gamesa Electric

ABB has completed the acquisition of Gamesa Electric’s power electronics unit, adding converters and inverters for wind, solar, and BESS, plus around 400 employees and two manufacturing plants in Madrid and Valencia. ABB gains a larger installed serviceable base of wind converters (about 46 GW), and a stronger global footprint to support renewable power electronics (Power Technology coverage; Solar Power World; Siemens Energy press release).

How it reshapes grid-forming inverter roadmaps through 2026

• Certification and compliance - Expect tighter, faster pathways to type testing and certification across regions. ABB’s scale plus Gamesa Electric’s utility-grade portfolio should align quickly with IEEE 2800 for bulk power interconnection, IEEE 1547 at distribution, ENTSO-E guidance on grid-forming capabilities (Phase II, capabilities paper), and UK G99. For functional expectations, see NERC’s grid-forming specification white paper (NERC GFM spec).
• Technology features - Roadmaps should emphasize virtual synchronous machine controls, grid-forming droop, fast frequency response, fault ride-through, black-start, and synthetic inertia. ENTSO-E’s latest technical guidance makes these features increasingly baseline for new assets (report). ABB’s broader R&D and service base can accelerate field validation.
• Support and lifecycle - With a bigger installed base and factory network, ABB can lean into spares availability, firmware support, and long-term service contracts across wind, solar, and BESS fleets, improving storage bankability. Siemens Energy notes continued cooperation with ABB on supply and service, which should smooth transitions for existing turbines and converters (press release).
• Pricing and supply - While list prices are not disclosed, consolidation plus two Spanish manufacturing plants suggests better allocation for utility-scale orders and shorter lead times in 2026. Developers should still expect regional differentiation and value-based pricing for grid-forming functionality (Power Technology).
• Hybrid plants - Expect tighter integration across wind, solar, and storage. Combining Gamesa Electric’s utility-scale inverter experience with ABB’s global service and controls stack should enable more bankable hybrid architectures, including grid-forming BESS paired with utility-scale PV and retrofit wind sites (Solar Power World).

Bankability: what lenders and EPCs will ask in 2026

• Proven compliance - Documented conformance to IEEE 2800, IEEE 1547, ENTSO-E guidance, and local grid codes (including G99).
• Performance guarantees - Grid-forming features validated via factory and site acceptance tests, with clear parameters for frequency support, voltage regulation, and islanding behavior as noted in this NERC white paper.
• Service continuity - Multi-year spares commitments, field engineering coverage, and firmware update roadmaps backed by ABB’s expanded network (Siemens Energy).
• Total cost of ownership - Updated pro formas factoring improved round-trip efficiency, lifecycle, and O&M. NREL’s 2025 storage cost update frames lifetime around 15 years with efficiency near mid-80s, shaping CAPEX-to-OPEX tradeoffs (NREL 2025 storage cost update).

Practical takeaways for developers and EPCs

• Lock specs early - If your 2026 assets need grid-forming, align functional specs with IEEE 2800 and ENTSO-E guidance and bake them into RFPs now.
• Demand test evidence - Request type-test reports and site performance data for grid-forming modes. Reference NERC’s functional spec for test parameters (NERC GFM spec).
• Plan for firmware - Include update cadence, rollback procedures, and cybersecurity controls in contracts. Grid-forming is as much software as it is silicon.
• Budget for value - Grid-forming features add resilience and may add cost. Model revenue and curtailment reductions under evolving grid codes to justify premium PCS.
• Hybrid-readiness - Design for DC-coupled or AC-coupled hybrids with clear reactive power and fault ride-through envelopes across solar and storage.

The bigger tech picture

As inverter functionality steps up, battery systems are trending toward longer warranted lifetimes and improving cost curves, strengthening BESS bankability. NREL’s 2025 update points to continued cost declines and mid-80s round-trip efficiency assumptions for utility-scale storage, useful for pro formas and lender cases (NREL 2025 storage cost update). Expect fast-tracked innovation cycles as ABB integrates Gamesa Electric’s engineering and factories, with grid-forming performance becoming the standard rather than the exception.

Bottom line: ABB’s acquisition is a clear signal that grid-forming PCS and inverters are moving from pilots to procurement line-items. For utility-scale BESS and hybrids, 2026 will reward those who specify, test, and bank grid-forming the smart way.