Pension Power Backing For New Battery Energy Storage Plant
The title of this post, is the same as that of this article on Nation.Cymru.
These paragraphs outline the project,
A new battery energy storage plant at the site of a decommissioned power station will be funded by Welsh pensioners.
The plan for the facility at the former Uskmouth B Power Station at the Gwent Wetlands on the edge of Newport, was approved by the city council’s planning committee this January.
The batteries will store excess power during times of “excess supply” and then put that electricity back into the grid when demand is higher.
The Greater Gwent Pension Fund, which manages the retirement savings of more than 65,000 members from Blaenau Gwent, Caerphilly, Monmouthshire Newport and Torfaen councils as well as 52 other active employers in the Gwent region, has revealed it is investing in the project.
According to their Wikipedia entry, the Uskmouth power stations have had rather a chequered history and both appear to be currently non-productive.
- The original coal-fired Uskmouth A has been demolished and the site is now occupied by an 832 MW gas-fired CCGT power station. Currently, it is in a ‘dormant’ state, after its owner entered administration.
- The original coal-fired Uskmouth B has been converted and now can generate 363 MW on a mixture of biomass and waste plastic. Uskmouth B is currently being demolished.
This press release from Quinbrook Infrastructure Partners is entitled Quinbrook To Build Large-Scale Battery Storage Project At Uskmouth, South Wales.
This is the sub-heading.
Uskmouth will be one of the largest storage projects in the UK and will directly support the UK’s energy transition.
These first two paragraphs outline the project.
Quinbrook Infrastructure Partners (“Quinbrook”), a specialist investment manager focused on renewables, storage and grid support infrastructure has acquired the exclusive development rights for one of the UK’s largest battery storage projects to date.
The planned 230MW / 460MWh Battery Energy Storage System (“BESS”), will be located at the site of the former Uskmouth coal fired power station in south Wales (“Project Uskmouth”) and will seek to utilise existing power transmission infrastructure and provide a new lease of life to the area. Uskmouth was acquired from Simec Atlantis Energy Limited (“SAE”). Quinbrook has partnered with Energy Optimisation Solutions Limited (“EOS”) in the origination and development of Project Uskmouth, which represents a major anchoring project in the planned re-development and regeneration of the Uskmouth site into a Sustainable Energy Park that will support innovative future industry. Quinbrook considers these types of regeneration projects as key to making meaningful contributions to delivery of the Government’s Levelling Up ambitions.
Note.
- The battery can supply 230 MW for two hours.
- It looks like the battery will replace the older of the two power stations and work with the relatively-modern 832 MW gas-fired CCGT power station.
- Will they act as backup to renewables?
As there are very few renewables in the area, will this work with the wind farms being developed in the Celtic Sea or are Quinbrook anticipating wind farms South of Newport in the Bristol Channel?
I have a few thoughts.
Will Uskmouth Work With Hinckley Point C?
This Google Map shows the relative locations of Uskmouth and Hinckley Point C.
Note.
- Uskmouth is just South of Newport, in the North-East corner of the map.
- I estimate that Uskmouth and Hinckley Point C are 24.7 miles apart.
A cable across the Bristol Channel would surely increase the energy security of South Wales.
Will There Be Wind Farms In The Bristol Channel?
I feel that this is inevitable.
This document on the Welsh Government web site is entitled Future Potential For Offshore Wind In Wales, was written by The Carbon Trust.
This paragraph is the document’s assessment of wind farms in the Bristol Channel.
Despite high energy demand and good infrastructure, environmental conditions in the Bristol Channel
makes this area challenging for offshore wind development. In addition to lower average wind speeds,
the Bristol Channel has complex seabed, including areas of hard rock, and is exposed to strong tidal
currents from the Severn Estuary. Seabed conditions and tidal currents were the main drivers behind
cancellation of the Atlantic Array project and it is considered unlikely that a developer would look to
revive this site in the near-term, particularly given competition with other more favourable UK sites.
That doesn’t seem very promising.
But this is the document’s assessment of wind farms in the Pembrokeshire Atlantic area.
Exposure to the prevailing south-westerly Atlantic wind and swells means that the waters off
Pembrokeshire have excellent wind speeds, often exceeding 10 m/s, but also a harsher wave
environment than elsewhere in Wales. Significantly, water depths quickly increase to over 50m,
suggesting that floating foundations are likely to be required, particularly if projects are located
further from shore, which is likely given constraints from environmental impact and seascape near to
the Pembrokeshire Coast National Park.Grid infrastructure is constrained for thermal generation but should not be a barrier to new
renewables. The Greenlink interconnector could also support the addition of new capacity. The region
has good port infrastructure at Milford Haven and Pembroke Dock, which is already actively pursuing
upgrades to future proof the port for potential offshore wind deployment.
That is a lot more promising.
- Some demonstration wind farms are under development.
- Hopefully, the steel would be available at Port Talbot.
- I can see this area, having almost 50 GW of floating wind.
I do feel though, that once the sea off Pembrokeshire is full of wind farms, that developers will turn their attention to the more difficult waters of the Bristol Channel.
Is The Uskmouth BESS A Good Investment?
The Nation.Cymru article discusses this and what they say is well worth reading.
My feelings are that the BESS will be very busy balancing electricity on the South Wales Coast and to and from Ireland using the 500 MW Greenlink Interconnector, which opens this year.
These electrical systems are relatively easy to model and I suspect Quinbrook wouldn’t be investing, if the BESS was not going to generate a substantial income.
H2 Green Steel Raises More Than €4 billion In Debt Financing For The World’s First Large-Scale Green Steel Plant
The title of this post, is the same as that of this press release from H2 Green Steel.
This is the sub-heading.
H2 Green Steel signs definitive debt financing agreements for €4.2 billion in project financing and increases the previously announced equity raised by €300 million. Total equity funding to date amounts to €2.1 billion. The company has also been awarded a €250 million grant from the EU Innovation Fund. H2 Green Steel has now secured funding of close to €6.5 billion for the world’s first large-scale green steel plant in Northern Sweden.
These three paragraphs describe the company and outlines the financing.
H2 Green Steel is driving one of the largest climate impact initiatives globally. The company was founded in 2020 with the purpose to decarbonize hard-to-abate industries, starting by producing steel with up to 95% lower CO2 emissions than steel made with coke-fired blast furnaces. The construction of the flagship green steel plant in Boden, with integrated green hydrogen and green iron production, is well under way. The supply contracts for the hydrogen-, iron- and steel equipment are in place. A large portion of the electricity needed has been secured in long-term power purchase agreements, and half of the initial yearly volumes of 2.5 million tonnes of near zero steel have been sold in binding five- to seven-year customer agreements.
Today H2 Green Steel announces a massive milestone on its journey to accelerate the decarbonization of the steel industry, which is still one of the world’s dirtiest. The company has signed debt financing of €4.2 billion, added equity of close to €300 million and been awarded a €250 million grant from the Innovation Fund. Funding amounts to €6.5 billion in total.
H2 Green Steel has signed definitive financing documentation for €3.5 billion in senior debt and an up-to-€600 million junior debt facility:
Note.
- I first wrote about H2 Green Steel about three years ago in Green Hydrogen To Power First Zero Carbon Steel Plant.
- The Wikipedia entry for Boden in Northern Sweden, indicates it’s a coldish place to live.
- In that original post, H2 Green Steel said they needed €2.5 billion of investment, but now they’ve raised €4 billion, which is a 60 % increase in financing costs in just three years.
Is this Sweden’s HS2?
The Future Of Green Steelmaking
The finances of H2 Green Steel look distinctly marginal.
I have a feeling that green steel, as the technology now stands is an impossible dream.
But I do believe that perhaps in five or ten years, that an affordable zero carbon method of steel production will be developed.
You have to remember, Pilkington developed float glass in the 1950s and completely changed an industry. Today, we’d call that a classic example of disruptive innovation.
The same opportunity exists in steelmaking. And the rewards would be counted in billions.
Wales Puts Another Pumped Storage Hydroelectric Power Station Into Play
This page on World Energy is entitled Fortune Hydro AG and Voith Acquire 450 MW Dorothea Lakes Pump Storage.
This paragraph introduced the article.
Fortune Hydro AG, in collaboration with Voith Small Hydro, has acquired the 450 MW Dorothea Lakes Pump Storage project as part of an £800 million (US$1 billion) strategic investment in renewable energy in the UK.
It looks to me that this was a good buy in July 2023, as after last week, when I wrote Price Framework Paves Way For Vast Electricity Storage Scheme, in response to a UK Government announcement about funding pumped storage hydroelectricity.
These two paragraphs give more details of the project.
Located in Snowdonia, Northern Wales, this green storage facility presents a unique opportunity to integrate wind, solar and hydroelectric power, Fortune Hydro said. The Dorothea Lakes site was one of the largest slate quarries in Europe and the largest in North Wales.
Electricity produced by solar and wind during low demand can be stored until demand is there. This storage allows balancing of the production cycle in the large solar and wind farms in the north against the demand cycle of consumers and businesses in central and southern UK. It will generate up to 600 jobs and bring economic development and new business opportunities to the local community, the company said.
This map shows the location of Dorothea Lakes.
Note.
- Dorothea Lakes is indicated by the red arrow.
- The Menai Strait between Bangor and Caernarfon is at the top of the map.
- It is certainly in a convenient place, with all the wind farms off the North Wales Coast.
At 450 MW, it’s about a third the size of Electric Mountain, so I suspect it could hold about 3 GWh of electricity.
Bedford Depot’s Massive Solar Roof Helps Thameslink On Way To Net Zero
The title of this post, is the same as that of this article on RailUK.
These four paragraphs give full details of the project.
Work has begun installing one of Bedford’s biggest solar arrays – on the roof of Govia Thameslink Railway’s (GTR’s) train depot, in Cauldwell Walk.
Almost 1,000 photovoltaic panels (932) will generate 322 MWh of electricity a year – enough to power 120 homes every year, saving more than 66 tonnes of CO2e. They form part of GTR’s commitment to become carbon ‘net zero’ for all its energy needs by 2050.
The solar roof – one of four at different depots across GTR’s vast 11 county network – is being installed by not-for-profit community climate action group Energy Garden.
When it comes online in the New Year, Energy Garden will sell half the solar electricity to GTR to power the depots and plough profits from selling what’s left over into community development projects – Energy Garden already works with more than 50 community groups.
This Google Map shows the location of Bedford Cauldwell Park TMD with respect to Bedford station.
Note.
Bedford station is at the top of the map.
Bedford Cauldwell Park TMD is marked by the red arrow.
This second map shows the depot to an enlarged scale.
Note.
- The map appears to show several roofs, that could be candidates for solar panels.
- At least one shed sells cars. Do they sell electric ones?
As the rail depot appears to be the largest building of its type in the centre of Bedford, in the future will it be serving as a advert for Energy Garden?
This project sounds like a good idea.
And I like the way it’s financed.
Pipeline Of UK Energy Storage Projects Grows By Two-Thirds Over Last 12 Months
The title of this post, is the same as that of this press release from RenewableUK.
These four paragraphs summarise the data.
A new report released today by RenewableUK shows that the pipeline of energy storage projects which are operational, under construction, consented or being planned has increased by more than two-thirds over the last year in terms of capacity.
Batteries play a key role in our modern flexible energy system, helping grid operators to finely balance the supply of electricity to meet demand at all times.
Our EnergyPulse Energy Storage report shows that the total pipeline of battery projects has increased from 50.3 gigawatts (GW) a year ago to 84.8GW, an increase of 68.6% (34.5GW).
Operational battery storage capacity has grown to 3.5GW, and the capacity of projects under construction has reached 3.8GW. A further 24.5GW has been consented, 27.4GW has been submitted in the planning system and 25.7GW is at an early stage of development but yet to be submitted. This chart shows the total UK battery portfolio in megawatts (MW).
Note.
- I find the bare statistics very heartening, as how often do you find any industry, that will be positive for the future of the planet, that increases in size in a year by 68.6 %.
- Having been involved a couple of times in my life, with funding high growth markets, I suspect that in part this growth is happening, because banks, insurance and other financial companies are prepared to fund schemes that are proposed.
It is worth reading the press release in full, as it flags up are several interesting points.
Thousands Pay More Tax In ‘Chaotic’ Yousaf Budget
The title of this post, is the same as that of this article in The Times.
It has this sub-heading.
Efforts to plug £1.5bn funding hole put Scotland at a disadvantage, say business leaders
I have a feeling that the rise in income tax will have unintended consequences.
The UK’s Current Hydrogen Plans
Last week, the UK Government announced grants for eleven big hydrogen projects, around the UK, with two in Scotland. The new Scottish electrolysers will be playing a large part in decarbonising the Scotch whisky industry and HGVs.
I wrote Major Boost For Hydrogen As UK Unlocks New Investment And Jobs to describe the investments scope and benefits.
The Government estimated that these grants will create 700 jobs, across the UK.
How many quality high-paid jobs will this funding create in Scotland? As two of the eleven projects are based in Scotland, it could be around 127 quality jobs.
More UK Hydrogen Plans Are On The Way
The Government also indicated that this was only the first stage of bringing hydrogen production to the UK, so I will expect more high-paid quality jobs will be created.
Projected UK Offshore Wind Power
This Wikipedia entry is a list of all installed, under-construction and proposed offshore wind farms in the UK.
Aggregating the new unbuilt wind farms says the following capacity will very likely be installed in the UK in the next few years.
- Scotland – 32, 750 MW.
- England – 25,558 MW
- Wales – 700 MW
As more proposals have been called for, particularly in the Celtic Sea, I don’t think it would be unreasonable to add perhaps another 10,000 MW.
Wind farms are also proposed for around the island of Ireland and in the waters of the Channel Islands.
Upgrading Of The National Grid
These three posts could well be forerunners of other posts, I will write in the next few months.
- National Grid Fast-Tracks Overhead Line Upgrade Project To Help Accelerate Connection Dates Of 175 Clean Energy Projects
- National Grid To Accelerate Up To 20GW Of Grid Connections Across Its Transmission And Distribution Networks
- National Grid’s London Power Tunnels Breakthrough Completes £1 Billion Project’s Tunnelling Activity
National Grid is increasing its capacity at a fast pace and will need a large number of quality engineers.
Crossrail And Electrical Engineers/Electricians
I suspect we’ll find, that when a report on the late delivery of Crossrail is published, an electrician shortage will get some of the blame.
I have friends, who are electricians. Because of the shortage of trained electricians, they were offered fortunes to work on Crossrail.
Do We Have Enough Engineers?
For all the reasons I have outlined, our path to net-zero will need a lot of trained electrical engineers and electricians and just as Crossrail showed, when there is a shortage of labour in a particular area, remuneration rises.
Electrical engineers and electricians in the British Isles will be able to pick and choose the jobs they take, just as they did with Crossrail and the other major projects being built at the same time.
Effects On Scotland
If you were an engineer, who had skills and could work on these projects, would you prefer to work on a project, where the tax rate was lower?
Scotland’s tax rise will harm their decarbonisation ambitions.
Surely, the Greens should have vetoed a tax increase, which will inevitably slow their progress to net-zero?
Or are Greens a tad short of the grey matter?
Conclusion
I believe the Scottish government has shot itself in the foot.
SSE Thermal Acquires 50% Stake In H2NorthEast Hydrogen Project
The title of this post is the same as that of this press release from SSE Thermal.
These are the first three introductory paragraphs.
SSE Thermal has become joint owner of a blue hydrogen project in Teesside which is set to play a major role in supporting a reliable decarbonised power system by 2035 and accelerating industrial decarbonisation.
The partnership with Kellas Midstream will see the companies jointly develop H2NorthEast, a hydrogen production facility with carbon capture and storage that could help to kickstart a hydrogen economy in the Tees Valley. The agreement is for an initial consideration of <£10m to Kellas Midstream with further contingent consideration due should the project reach a financial investment decision.
In its first phase, H2NorthEast could deliver up to 355MW of blue hydrogen production capacity from 2028 with plans to scale up to more than 1GW. Offtakers would include heavy industry and power generation, either through blending into existing assets or in new hydrogen-fired plants.
Note.
- Production of 355 MW of hydrogen could start in 2028.
- Several existing processes have been converted from gas-firing to hydrogen-firing or a blend of natural gas and hydrogen firing. See Lime Kiln Fuelled By Hydrogen Shown To Be Viable.
- Teesside has quite a few industries, like steel and chemicals that theoretically could be converted to hydrogen or a hydrogen blend.
I have some thoughts.
Carbon Capture And Storage
This paragraph in the press release talks about the carbon capture and storage.
With an anticipated minimum carbon capture rate of 97%, H2NorthEast meets both UK and EU low-carbon standards. Specifically, the hydrogen produced via H2NorthEast would be fully compliant with both the UK’s Low Carbon Hydrogen Standard and is expected to be aligned with the EU Taxonomy for sustainable activities.
If the plant can achieve a carbon capture rate of 97 %, that is very good and it appears to meet the required standards.
- I also feel, that if it is of a high purity, then that could be a bonus, as it could be used in food manufacturing and other processes, where high purity is needed.
- I feel SSE should endeavour to use as much of the carbon dioxide, as it can to produce valuable by-products, which could include cement substitutes, building blocks, plasterboard and animal feed.
- Carbon dioxide can also be fed to soft fruit, salad vegetables, tomatoes, flowers and other plants in giant greenhouses or vertical farms.
- Polyester yarn can also be made from carbon dioxide.
It is my belief that this list of products will grow in the next ten years and carbon dioxide of a high purity will become an important chemical feedstock.
Replacement of Blue Hydrogen With Green
If SSE Renewables were to build an electrolyser near to H2NorthEast, they could use that to replace the blue hydrogen.
- From an offtaker’s point of view green and blue hydrogen would be identical.
- It’s just that the green hydrogen doesn’t produce any carbon dioxide.
- I can see the complex being run to produce enough carbon dioxide to supply the users that need it and producing blue and/or green hydrogen accordingly.
Hopefully, the more uses that can be found for the carbon dioxide, the less of it will need to use long-term storage.
Expanding The Plant
As blue and green hydrogen plants create an identical product, the decision of whether to add an extra blue hydrogen or green hydrogen plant can be taken solely on financial grounds.
Conclusion
This looks like it could be a very sensible decision by SSE.
First German Zero-Subsidy Offshore Wind Farm Starts Taking Shape
The title of this post, is the same as that of this article on offshoreWIND.biz.
This is the sub-heading.
Offshore installation work has started at the 913 MW Borkum Riffgrund 3, the first subsidy-free offshore wind farm in Germany to reach this development phase, Ørsted, the developer of the project, said.
These two paragraphs introduce the project.
The first of the 83 monopile foundations have now been installed at the site some 53 kilometres off the island of Borkum in the German North Sea by Jan De Nul’s Lez Alizés.
The installation directly follows the foundation work in the adjacent 253 MW Gode Wind 3 project, which is being built in parallel by Ørsted in the North Sea.
Ørsted’s web site gives this history of Borkum Riffgrund 3.
Borkum Riffgrund 3 is expected to be fully commissioned in 2025. It comprises three offshore wind projects which were originally awarded to Ørsted in auctions in 2017 and 2018 under the names of Borkum Riffgrund West 1, Borkum Riffgrund West 2 and OWP West. The three projects were renamed in September 2019 and will be built as one joint project under the name of Borkum Riffgrund 3.
Borkum Riffgrund 3 was awarded without subsidies to Ørsted. A number of companies across IT, retail and the chemicals industry have signed corporate power purchase agreements for Borkum Riffgrund 3.
If Ørsted is doing this in Germany, how come, we are not seeing more subsidy-free wind farms in Europe?
These two paragraphs from the article give a partial explanation.
After commissioning in 2025, a large part of the electricity generated by the wind farm will be used for the decarbonization of the industry – through the so-called Corporate Power Purchase Agreements (CPPAs). For the project, long-term power purchase agreements were concluded with the companies Covestro, Amazon, the Energie-Handels-Gesellschaft/REWE Group, as well as BASF and Google.
Shares for Borkum Riffgrund 3 were also sold to an institutional investor well before construction. In October 2021, Nuveen signed an agreement with Glennmont Partners to sell 50 percent of the shares in Borkum Riffgrund 3.
The article also states that Borkum Riffgrund 3 will be the largest offshore wind farm in Germany to date.
This Google Map shows the location of the German Borkum island to the North of the Dutch city of Groningen.
Note.
- Groningen is the city in the South-West corner of the map.
- Borkum is the horseshoe-shaped island at the top of the map.
There are a cluster of wind farms to the North of Borkum, which includes Borkum Riffgrund 1, 2 and 3.
Energy Storage Outranks Solar In Company Investment Plans
The title of this post, is the same as that of this article on Reuters.
These two paragraphs outline the findings of a survey.
Rising renewable energy capacity and the deployment of electric vehicles will make energy storage the priority technology for energy transition investments in the coming years, according to the 2023 Reuters Events Energy Transition Insights report.
Batteries are spearheading growth in energy storage but a wider range of technology types will be deployed commercially in the coming years.
580 energy professionals were surveyed in Q1 2023.
I am not surprised at these findings, as storing surplus renewable energy must be beneficial.






