The Anonymous Widower

Highview Power Releases More Details Of The Hunterston LDES

In a long and detailed press release, these are the first two paragraphs.

London, 15 October 2024: The First Minister for Scotland, John Swinney MSP, welcomed Highview Power Executives to Scotland House in London today as the company announced its intention to develop its Hunterston project in Scotland as part of its multi-billion-pound LDES programme. Hunterston will deliver five times Scotland’s current operational battery storage capacity and is strategically placed in the grid transmission network to maximise the use of Scottish-produced renewable electricity. This follows Highview Power’s funding round in June where it secured a £300 million investment for its 300MWh proprietary Liquid Air Energy Storage (LAES) technology at Carrington, near Manchester.

Supported by the Scottish Government, Hunterston is the first project in Highview Power’s second phase, which comprises four projects across Scotland and Northern England. The 2.5GWh LAES plant at Hunterston will deliver an 8-fold increase in storage capacity on Carrington – to deliver enough power 650,000 homes for 12.5 hours.

Note these important points.

  1. The Hunterston battery will be the first of four 200 MW/2.5 GWh batteries.
  2. Together, these four batteries will have a distributed 1600 MW/10 GWh capability.
  3. For comparison, Dinorwig pumped storage hydroelectric power station, in Snowdonia, which opened in 1984, has a 1600 MW/9.1 GWh capability.
  4. The second battery will be in Aberdeenshire.
  5. The Hunterston project will support 1,000 jobs onsite during construction and 650 jobs in the supply chain.

John Swinney, who is First Minister for Scotland, summed the project up like this.

The creation of the largest liquid air energy facility in the world, in Ayrshire, demonstrates just how valuable Scotland is in delivering a low carbon future as well as supporting the global transition to net zero.

October 16, 2024 Posted by | Energy, Energy Storage | , , , , | Leave a comment

Highview Power Plans To Develop 2.5GWh LDES Project In Scotland

The title of this post is the same as that of this article on Power Technology.

This is the sub-heading.

The liquid air energy storage plant at Hunterston is set to deliver a substantial increase in storage capacity

These first three paragraphs add a few more details.

Highview Power has announced plans to develop a long-duration energy storage (LDES) project in Ayrshire, Scotland, with a capacity of 2.5 gigawatt hours (GWh).

The project will be built at Peel Ports’ property at Hunterston, North Ayrshire and will provide five times the existing battery storage capacity of Scotland.

It is supported by the Scottish government and its strategic location optimises the use of renewable electricity produced in the country.

Note.

  1. Highview Power talks of 200MW/2.5GWh capacity batteries in Scotland on its web site, so I suspect this battery is one of those.
  2. This battery is as large as some pumped storage hydro systems.
  3. In UK Infrastructure Bank, Centrica & Partners Invest £300M in Highview Power Clean Energy Storage Programme To Boost UK’s Energy Security, I described the funding now behind Highview Power. The funding appears to be solid, as it includes the UK Infrastructure Bank, Centrica, Goldman Sachs and Rio Tinto.

This is a good start for Highview Power.

October 16, 2024 Posted by | Energy, Energy Storage | , , , , , , , , | 2 Comments

UK To Fund Hydro Energy Storage Projects

The title of this post, is the same as that of this article on The Times.

This is the sub-heading.

New infrastructure aims to help balance the electricity system after the rapid growth in renewables

These three paragraphs infrastructure the article.

Projects that use water to store and release energy are to be given government support, in an attempt to help manage the volatility in supply and demand as more green power enters the grid.

From next year, pumped hydro storage projects will be able to apply for government subsidies, which will be provided via a “cap and floor” mechanism. These would guarantee revenues if prices drop below a certain floor but prevent providers from charging above a ceiling when power prices are high.

Like other government support schemes, any cost will be levied on energy bills, while consumers will be paid back any money generated above the cap. It is yet to be decided precisely how the cap and floor will be set.

I feel it is reasonable to expect the system to be a success, as a similar system is used for interconnectors and this article on Offshore Energy is entitled Over $86 million To Be Split Between UK and Belgium Consumers As 1 GW Subsea Interconnector’s ‘Remarkable’ Revenues Exceed Ofgem’s Cap.

It looks like Ofgem played this right for interconnectors and the Nemo Link is making a substantial payment.

It will be interesting to see what happens when “cap and floor” contracts are assigned.

This move by Ofgem will probably have effects in two areas.

  • SSE, Statera and Statkraft, who are typically developing systems at the high end with a size of about 1.5 GW/25 GWh could find money is easier to come by.
  • At the lower end, companies like Highview Power, who have systems of 50 MW/300 MWh and 200 MW/2.5 GWh under development, will also benefit.

My Control Engineering thoughts are leaning towards the 200 MW/2.5 GWh systems being the popular ones. Especially as they would appear to be close to the right size to support a 1 GW wind farm for two hours.

A Highview Power Two-Hour Liquid Air Battery could fit nearly with a fleet of Two-Hour BESS.

It should be noted that CAF use a little-and-large approach to theit battery-electric trams in the West Midlands.

A large lithium-ion battery is the main storage device.

A supercapacitor handles the high-frequency response and keeps the power steady.

Pairing a Highview Power Two-Hour Liquid Air Battery and a Two-Hour BESS could achieve the same performance and possibly result in some cost savings.

 

October 11, 2024 Posted by | Energy, Finance & Investment | , , , , , , , , , , | Leave a comment

Out Of Thin Air: Solving The Dilemma Of Long-Duration Storage

The title of this post, is the same as that of this excellent article on the Australian Financial Review.

This is the sub-heading.

Two first-of-a-kind technologies in Australia are firming up as options to crack the tough nut of energy storage that lasts much longer than batteries.

This is the first paragraph.

Two competing technologies that use different forms of air to store energy are emerging as potential solutions for the thorny problem of long-duration storage needed to smooth out Australia’s bumpy transition to low-carbon energy.

The article then compares the two competing technologies.

Australia certainly has plenty of solar power to fill the energy storage.

 

September 2, 2024 Posted by | Energy, Energy Storage | , , , , , | 2 Comments

Gresham House Energy Storage Reaches 1 Gigawatt Of Capacity

The title of this post, announcing a major milestone for Gresham House Energy Storage Fund appears on several web pages.

Many grid batteries are designed to give full power for two hours, so applying that rule to the Gresham House Energy Storage fleet, will mean that the total fleet would be a 1 GW/2 GWh battery.

Consider.

  • In Centrica Business Solutions And Highview Power, I showed how Highview Power’s batteries could be used, instead of lithium-ion batteries.
  • Highview Power’s largest battery is 200 MW/2.5 GWh, which compares well with the largest lithium-ion batteries, in the UK fleet.
  • The Ffestiniog Power Station is a 360 MW/1.44 GWh pumped-storage hydroelectric power station in Wales. It is slightly smaller than Highview Power’s largest battery.
  • Moss Landing Power Plant in California is proposing to have a 1,500 MW / 6,000 MWh lithium-ion battery.
  • Other GWh-scale systems are under trial.

It would appear that battery systems are widening the sizes of where they can be employed.

This hopefully, will mean more competition and keener prices for battery systems.

July 7, 2024 Posted by | Energy, Energy Storage | , , , , , , | Leave a comment

Centrica Business Solutions And Highview Power

Centrica Business Solutions is one of Centrica’s business units.

It has its own web page, with this sub heading.

Helping Organisations Balance Planet And Profit

This is followed by this mission statement.

Centrica Business Solutions helps organisations to balance the demands of planet and profit, by delivering integrated energy solutions that help you save money and become a sustainable business.

Several pictures show some of the solutions, that Centrica Business Solutions can provide.

Centrica Business Solutions In Numbers

These numbers are given about the customers of Centrica Business Solutions.

  • Customer Sites Globally – 7000
  • Solar PV Installations Delivered Worldwide – 16,380+
  • Solar PV Installations Delivered Power – 240 MW
  • CHP Units Operated And Maintained Globally – 700 MW+
  • Energy Data Points Collected Each Month Globally  – 29 billion

Theses are large numbers.

How Would Centrica Business Solutions Use Highview Power’s Batteries?

The obvious use of Highview Power’s batteries is to connect them between a solar or wind farm and the grid, for when the sun isn’t shining or when the wind isn’t blowing.

Currently, there are three sizes of Highview Power batteries, either working on under development.

5MW/15 MWh

This is the demonstration system, which is described on this page of the Highview web site.

Surely, if a system of this size is very useful for Viridor, there may be other applications and customers out there.

This system will provide 5 MW for three hours.

50MW/300MWh

This is the Carrington system, which is described on this page of the Highview web site.

The Highview web site says this about output potential and connectivity.

The facility will store enough clean, renewable energy to serve the needs of 480,000 homes, as well as providing essential grid stabilisation services. The site will use existing substation and transmission infrastructure.

This system will provide 50 MW for six hours.

200MW/2.5GWh

This is the larger system for Scotland and the North East, which is under development and described on this page of the Highview web site.

The Highview web site says this about output their use.

These will be located on the national transmission network where the wind is being generated and therefore will enable these regions to unleash their untapped renewable energy potential and store excess wind power at scale.

This system will provide 200 MW for 12.5 hours.

In Rio Tinto Punts On British Start-Up To Plug Renewables Gap, I said this.

In Britain, Highview hopes to be putting four 2.5-gigawatt assets into planning this year – one in Scotland, three with Orsted in England.

This sentence was originally published in this article on the Australian Financial Review.

I believe that Centrica could find applications for all three sizes of Highview’s batteries.

Suppose, though Centrica find that an application needs say a 100 MW/1 GWh battery.

From the mathematics, I did at ICI in the 1970s, when looking at the scaling of chemical plants, I believe that Highview’s battery design could be scalable, by just using appropriately-sized turbomachinery, matched to the right number of tanks.

So the customer would get the battery size they needed!

How Much Electricity Could One Of Highview’s Batteries Store?

This image shows large LNG tanks at Milford Haven.

In Could A Highview Power CRYOBattery Use A LNG Tank For Liquid Air Storage?, I did a rough calculation and found that the largest LNG tanks could hold enough liquid air, that would be the equivalent of around one GWh.

So the image above could be a 5 GWh battery.

This image clipped from Highview’s web site, shows large tanks for liquified gas storage.

With tanks like these, Highview could be building batteries with storage to rival the smaller pumped storage hydroelectric power stations.

In Grid Powers Up With One Of Europe’s Biggest Battery Storage Sites, I talked about how Ørsted were planning the Swardeston BESS, where the 2852 MW Hornsea Three wind farm connects to the grid.

The chosen battery will be from Tessla with an output of 300 MW and a capacity of 600 MWh.

I suspect Ørsted couldn’t wait for Highview, but circumstances might have changed now, with the financing deal for the Carrington battery!

Are Combined Heat And Power Units And Highview’s Batteries Interchangeable And Complementary Technologies?

According to the Centrica Business Systems web site, they have deployed over 700 MW of CHP systems globally.

I wonder how many of these systems could have used a standard Highview battery?

Perhaps, Centrica Business Systems have done a survey and found that it could be quite a few.

So, perhaps if Centrica Business Systems had access to Highview’s technology, it would increase their sales.

In addition how many of Centrica Business Systems existing CHP systems, would be improved with the addition of a Highview battery?

It appears to me, that if Centrica Business Systems were to develop a series of standard solutions based on Highview’s technology, they could substantially increase their sales.

What Could Centrica Business Systems Do For Highview Power?

Centrica Business Systems could probably develop several standard applications with Hoghview’s technology, which would be to the benefit of both companies.

But, I believe that as Centrica Business Systems are supporting large number of systems globally, that they are in a good place to help develop and possibly run Highview Power’s support network.

Conclusion

I can see Centrica Business Systems and Highview Power having a long and profitable relationship.

 

 

 

 

June 26, 2024 Posted by | Energy, Energy Storage, Finance & Investment | , , , , , , , , , | 2 Comments

Centrica Invests In Renewable Energy Storage Capabilities To Boost UK’s Energy Security And Accelerate Transition To Net Zero

The title of this post, is the same as that of this press release from Centrica.

These two paragraphs are effectively headings.

Centrica plc announces a strategic partnership and £70 million investment in Highview Power and its first clean energy storage project in Carrington, Manchester.

Centrica’s investment will be a key part of a £300 million funding package to develop the first commercial-scale Liquid Air Energy Storage plant in the UK, which will boost the UK’s energy security and accelerate the transition to net zero.

These four paragraphs give more details on the deal.

The investment, which forms part of our plans to invest between £600m – £800m a year until 2028, will be structured as £25m of convertible debt at Highview Enterprises Limited, being the Highview Power holding company and £45m of debt funding at the Carrington Liquid Air Energy Storage project, phased over the project construction. The investment delivers several benefits to Centrica:

Robust standalone returns aligned with Centrica’s capital allocation framework and returns thresholds
Aligned to our green-focused investment programme targeting assets which complement our existing capabilities, provide balance to the portfolio, and align to the needs of the energy transition
Includes rights to equity participation and energy optimisation from future projects in Highview’s £9 billion project pipeline.

At a first look, it appears to give Centrica robust returns  and some security for their £70 million investment.

But it is the last paragraph that I like. Does it mean that Centrica can cherry-pick, the projects that it likes and fit its own objectives and expertise from Highview’s £9 billion project pipeline and take-up some equity?

Whatever it means, It looks like it will be good for Centrica.

Do the other partners have similar rights to equity?

Suppose Goldman Sachs have a long-term client in the Mid-West of the United States, who are an electricity generator, with perhaps half-a-dozen coal-fired power stations.

As the client needs to decarbonise and it is believed that Highview’s long duration batteries can replace small coal-fired power stations, it is likely that a Highview solution will at least be examined.

If the client goes down the Highview route, Goldman Sachs might like to continue their long-term relationship, by taking a share in the equity.

 

June 24, 2024 Posted by | Energy, Energy Storage | , , , | 2 Comments

Rio Tinto Punts On British Start-Up To Plug Renewables Gap

The title of this post is the same as that of this article on the Australian Financial Review.

The article is a must-read and these are a few points.

  • Highview is readying to take a big punt on the Australian market, with Rio Tinto and the Northern Territory government shaping up as potential customers.
  • Highview is very committed to Australia. We think Australia can be as big as the UK for us, given their ambitions,
  • Highview is working on concepts with Rio Tinto. And separate from Rio, we are well advanced in the Northern Territory with the government there to provide a solution to decarbonise the power grid.
  • The process uses existing hardware from the gas industry, and  the plant’s life should be at least 40 years – five times longer than a battery.
  • Highview could replace fossil-fuel gas plants in situ, and could also be an alternative to the more complex and capital-intensive option of pumped hydro.
  • Highview already had staff operating in Brisbane.
  • Highview was negotiating the long-term contract with the government in Darwin, and had engaged Australian banks to start testing the market for a local fundraising.
  • In Britain, Highview hopes to be putting four 2.5-gigawatt assets into planning this year – one in Scotland, three with Orsted in England.

As I said, the article is a must-read and it proves to me that Highview is on its way.

June 24, 2024 Posted by | Energy, Energy Storage | , , , , | 1 Comment

Are Goldman Sachs Stitching Together A Large Deal On Energy Storage?

In UK Infrastructure Bank, Centrica & Partners Invest £300M in Highview Power Clean Energy Storage Programme To Boost UK’s Energy Security, I talked about a deal to invest £300 million into energy storage company; Highview Power.

These three paragraphs  are from the Highview Power news item, on which I based my post.

Highview Power has secured the backing of the UK Infrastructure Bank and the energy industry leader Centrica with a £300 million investment for the first commercial-scale liquid air energy storage (LAES) plant in the UK.

The £300 million funding round was led by the UK Infrastructure Bank (UKIB) and the British multinational energy and services company Centrica, alongside a syndicate of investors including Rio Tinto, Goldman Sachs, KIRKBI and Mosaic Capital.

The investment will enable the construction of one of the world’s largest long duration energy storage (LDES) facilities in Carrington, Manchester, using Highview Power’s proprietary LAES technology. Once complete, it will have a storage capacity of 300 MWh and an output power of 50 MWs per hour for six hours. Construction will begin on the site immediately, with the facility operational in early 2026, supporting over 700 jobs in construction and the supply chain.

Note.

  1. The UK Infrastructure Bank is a is a British state-owned development bank.
  2. Centrica plc is an international energy and services company.
  3. Rio Tinto is a leading global mining group that focuses on finding, mining and processing the Earth’s mineral resources.
  4. The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm.
  5. KIRKBI is the Kirk Kristiansen family’s private holding and investment company founded to build a sustainable future for the family ownership of the LEGO Group.
  6. Mosaic Capital are an American investment firm.

With six partners, that is just £50 million per partner.

As that sum is very much small change for the likes of these guys and the question of taking an equity stake is not mentioned in Highview Power’s news item, it looks like this deal could be a try-before-you-buy deal with some of the partners or a simple investment with others.

Consider.

  • Gresham House, Gore Street and others have proven that investing in lithium-ion batteries give a good return on investment.
  • The Carrington long duration energy storage facility will be located near to the 884 MW gas-fired Carrington power station. I suspect that Centrica and Rio Tinto will be interested to see how the hybrid power-station performs.
  • Could the Lego Group owners be looking at using solar power, wind power and a LDES to reduce the carbon footprint of their stores?

I would assume, that all the investors would get full details on the performance of the batteries.

Someone To Build The LDES

In Bilfinger Drives Highview Power’s Innovative Storage Project, Accelerating The Energy Transition, I describe how German company will build the Carrington LDES.

The Advantages Of An LDES over a BESS

This is only a short list, of the advantages I see.

  • An LDES is easily recyclable.
  • The LDES has less exotic materials.
  • An LDES can be built from zero-carbon steel.
  • Highview are claiming a 40-year life for their LDES.
  • Highview is already talking about 200MW/2.5GWh LDES systems.
  • Two 200MW/2.5GWh systems working together with a wind or solar farm, can replace a 400 MW gas- or coal-fired station.
  • I suspect one of Highview’s LDES systems could be placed offshore, if needed.

I also believe that Highview’s LDES systems could be incorporated into complex chemical plants to increase the efficiency.

Are Goldman Sachs Stitching Together A Large Deal On Energy Storage?

Everything now seems to be in place to build these LDES one after the other, to accelerate the energy transition.

With a good supply of orders and enough money to build each system, I cab see no reason, why several systems a month cannot be built and installed.

I have worked with companies like Goldman Sachs in the past, and I wouldn’t be surprised to find, that they have created the consortium, so that all members get the returns and recognition, they disserve.

Adding Lego Group To The Consortium Could Be A Masterstroke

The Lego Group has lots of stores and theme parks worldwide and a reputation for good design and environmental standards.

Last year, I wrote Bedford Depot’s Massive Solar Roof Helps Thameslink On Way To Net Zero. This was putting a solar roof on a rail depot, but surely buildings like this would be suitable for a Highview LDES.

June 23, 2024 Posted by | Energy, Energy Storage | , , , , , , , , , , , , , , , | Leave a comment

Bilfinger Drives Highview Power’s Innovative Storage Project, Accelerating The Energy Transition

The title of this post, is the same as that of this press release from Bilfinger, who are a European multinational engineering and services company.

This is the first paragraph of the Wikipedia entry for Bilfinger.

Bilfinger SE (previously named Bilfinger Berger AG) is a European multinational company specialized in civil and industrial construction, engineering and services based in Mannheim, Germany.

Fifty years ago, I was playing a very small part in the designing of complex chemical plants for ICI. My part was mainly to check, the mathematics and dynamics for the designs, the engineers wanted to use.

The experience certainly left me with the belief, that to design a world-class chemical plant is not an easy process.

So if I was needing a complex chemical plant, I would call in the experts.

A Highview Power energy  storage system, may not be a chemical plant, but it shares many of the factors of chemical plants, waterworks and sewage plants. So building one, needs a company, with wide experience, which Bilfinger certainly appear to have.

This paragraph from the press release, summarises Bilfinger’s roll in Hghview Power’s Manchester project to create a 50 MW/300 MWh battery based on Highview’s proprietary long duration energy storage system.

The scope of Bilfinger’s services ranges from the procurement of steel to extensive plant construction services, including mechanical, electrical, instrumentation, insulation, painting and structural steel work, along with the overall management of all aspects of construction, including civil works and equipment installation. As principal contractor, Bilfinger is committed to ensuring the highest safety standards on site.

In UK Infrastructure Bank, Centrica & Partners Invest £300M in Highview Power Clean Energy Storage Programme To Boost UK’s Energy Security, I described how Highview Power had recruited high-class backers to fix the companies finances.

It looks like the Bilfinger deal to build the first system, is the last piece of the jigsaw and will see Highview Power on its way.

June 22, 2024 Posted by | Energy, Energy Storage | , , , , | 1 Comment