It's fantastic to see the winners of National Grid's enhance frequency response tender start to commission their projects. Both of the projects in this 50MW portfolio have also been awarded capacity market contracts demonstrating the different revenue streams that can be accessed with utility scale batteries. These storage projects will provide a range of benefits over their lifetime by creating a more flexible, efficient and resilient electricity grid which is capable of integrating increasing amounts of renewable generation.
It is nice to see our client LG Chem providing the batteries for this project, a true leader in this space. For the last few years Hyperion have specialised in working with leading companies in the energy storage sector to find them the talent they need to take them to the next level.
Leon Walker, quantitative analysis manager at National Grid, said: "Using battery storage is a significant development for managing the national grid. It's an ultra-fast way of keeping electricity supply and demand balanced. "Over four years we estimate that this service will save the system operator around £200 million (US$270.87 million). This is good news for consumers who benefit from our cost efficiencies, and paves the way for battery technology to establish itself as an important component of our energy system." “Batteries hold the key to the future of the power landscape, both in the UK and internationally. Ensuring grid resilience is a necessary step in the growth of renewable generation,” added Russell Hardy, chairman of VPI Immingham and chief executive of EMEA at parent company Vitol.