August 20, 2019 / News

Gresham House fund announces acquisition

By Joe McGrath, ESG Clarity

The deal increases the total capacity of operational utility-scale battery storage projects in the fund’s portfolio to 75MW.

Gresham House fund announces acquisition

Gresham House Energy Storage Fund has announced the acquisition of a 5MW battery-only project for £3.5m.

The acquisition increases the total capacity of operational utility-scale battery storage projects in the fund’s portfolio to 75MW.

The symmetrical 5MW project, based in Wolverhampton, generates its revenues from asset optimization, importing and exporting power to earn income from the wholesale market and the National Grid-administered Balancing Mechanism.

Utility-scale battery storage systems, which store and release excess energy generated by renewable energy sources, are seen as an essential component to reducing carbon emissions.

The fund’s manager, Gresham House Asset Management, said the project will enable the fund to implement its asset optimisation business model, and expects to acquire its next utility-scale battery storage asset, of 49MW capacity, by the end of the year.

Two further utility-scale battery storage assets, each 50MW, are due to commence construction by the end of October 2019, bringing the fund’s expected operational capacity to 229MW by the end of quarter one 2020.

“Utility-scale battery storage is crucial to a renewable energy future in the UK and has significant potential from an investment standpoint,” Ben Guest, head of Gresham House New Energy, said. “Our team’s unique experience of developing and operating utility-scale battery storage assets, coupled with the Fund’s pipeline of projects, will be able to deliver excellent shareholder value in what is a rapidly emerging next generation infrastructure sector.”

“We are determined to be part of this revolution that will contribute significantly towards a low carbon economy and are focused on successfully developing our remaining pipeline of utility-scale battery storage projects over the coming months,” Guest added.