fbpx

News

JLEN Environmental Assets makes its third investment into battery storage systems

JLEN Environmental Assets (JLEN) announced the acquisition of a 100% equity stake in Gigabox South Road (GSR). GSR holds the development rights to construct the West Gourdie project, a 50MW lithium-ion battery energy storage plant-based in Dundee.  The acquisition will see JLEN invest up to £21.2m over the next 12-15 months. JLEN notes that the West Gourdie project is fully-consented and construction-ready. The project is expected to reach energisation and start commercial operations in March 2022. This acquisition represents JLEN’s third investment into battery storage systems, adding to the two co-located batteries that the company owns as part of its run-of-river hydro portfolio.

The announcement notes that “storage projects provide vital support to the National Grid, by reducing system imbalance and enhancing the grid’s ability to harness a greater level of intermittent renewables on the system. The West Gourdie project will be connected to Scottish Hydro Electric Power Distribution plc’s distribution network and has a 49.9MW import and export connection. The project will provide stability to the local network either through direct provision of balancing services to the National Grid, or by reducing volatility on the system via wholesale trading in the wholesale power markets and/or the Balancing Mechanism, a tool used by the National Grid to balance supply and demand in real-time.”

Richard Morse, chairman of JLEN, said: “We are pleased to announce the further expansion of our interests in the energy storage market with our first grid-scale battery project.  We believe that plants such as this one will play an important role in the decarbonisation agenda by providing balancing support to the local network and allowing for greater levels of renewable generation on the network. This investment should offer additional returns over time as it is structured to take advantage of increased market volatility as intermittent renewable generation facilities play a greater part in supplying green electricity to the nation.”

[The announcement looks well-timed given that it coincides with the update from Gore Street Energy Storage, on the National Grid’s new Dynamic Containment Service, suggesting that battery storage has just gotten a lot more lucrative.]

JLEN: JLEN Environmental Assets makes its third investment into battery storage systems

Leave a Reply

Your email address will not be published. Required fields are marked *