Capalo AI to Optimize and Trade Agrolats Group’s First Battery Energy Storage Project in Latvia

Helsinki, 10.12.2025 – Capalo AI has partnered with Agrolats Group to optimize and trade their Battery Energy Storage System (BESS) in Viļāni, Latvia. The 1.0MW/2.15MWh system is one of the first commercial-scale storage projects in the country, marking a significant step toward modern, flexible energy management in Latvia’s power system.

 

Developed in cooperation with Energiapartner, the system is already connected to the grid and fully operational in the market. The BESS supports local energy stabilization and participates in Latvia’s ancillary and wholesale markets, contributing to the reliability of the national grid and the efficient use of renewable energy.

 

Capalo AI provides end-to-end optimization services to the Viļāni BESS, including route-to-market, balance responsible party (BRP), and balance service provider (BSP) services, as well as fully automatic AI-driven trading as part of the Capalo Zeus VPP™ (virtual power plant). The AI-based optimization ensures that the asset delivers both grid stability and maximizes financial returns throughout the asset’s entire lifetime. The battery has been trading in Latvian balancing markets and wholesale markets through Capalo Zeus VPP since the third quarter of 2025.

The project is Agrolats Group’s first battery installation, reflecting the company’s long-term strategy to increase energy independence, flexibility, and sustainability across its businesses. The BESS is also an important contribution to Latvia’s growing need for grid-stabilizing resources as renewable generation expands.

 

“Viļāni demonstrates how smart storage can reinforce local reliability while supporting the wider grid. Integrating the system into our Zeus VPP platform ensures high operational efficiency, strong long-term value, and the intelligence needed to respond to Latvia’s changing energy markets,” said Henri Taskinen, CEO of Capalo AI.

 

“This project is a key milestone in consolidating our energy strategy and strengthening energy independence across Agrolats Group companies. The Viļāni BESS will help stabilize the Latvian grid and enable greater use of renewable energy. Partnering with Capalo AI ensures the battery is optimized efficiently, generates maximum value, and supports our long-term sustainability goals,” said Mārtiņš Muižnieks, Board Member at Agrolats Holding.

 

Agrolats Group plans to deploy similar BESS installations across additional sites in Latvia, extending the benefits of storage to more regions and further contributing to the country’s energy security and climate targets.

 

About AGROLATS GROUP:

AGROLATS GROUP unites companies with a common understanding, values, and approach to business development as well as with a common goal of creating a sustainable, mutually supportive business environment in Latvia and contributing to the overall development of the economy.

AGROLATS GROUP companies operate in key economic sectors – agriculture and food production, as well as retail, cargo freight, real estate management, and other.

www.agrolats.lv/en

 

About Capalo AI:

Capalo AI is a sustainable technology company specializing in AI-driven optimization and trading of standalone and co-located battery energy storage systems (BESS). Its turn-key service, Capalo Zeus VPP™, provides route-to-market, AI-optimized trading across all markets, and BRP service, managing everything from prequalification to lifetime value maximization.  The company trades flexible assets in Lithuania, Latvia, Finland, and Sweden and is now expanding its operations across Europe. It currently operates over 200 MW of BESS capacity and has over 1 GWh of signed capacity.

www.capaloai.com