Octopus Energy Forays Into German Offshore Wind Market With Butendiek Acquisition
The title of this post, is the same as that of this article on offshoreWIND.biz.
This is the sub-heading.
Octopus Energy’s generation arm has made its first offshore wind investment in Germany with the acquisition of a 5 per cent stake in the 288 MW Butendiek offshore wind farm from Ewz, the Zurich Municipal Electric Utility.
This paragraph introduces the wind farm.
Located 32 kilometres west of Sylt Island in the North Sea, the Butendiek offshore wind farm features 80 3.6 MW Siemens Gamesa wind turbines. The project has been operational since 2015, generating enough clean power for 370,000 homes.
It appears to be a mature smaller wind farm. As it has been operating for eight years, the electricity generates and any costs associated with the farm, will be well defined.
If someone made an investment, the return could probably be fairly accurately predicted.
These paragraphs outline Octopus’s strategy for investing in wind farms.
According to Octopus Energy, the deal marks the next step in the company’s global offshore wind strategy and follows its decision to channel more than EUR 1 billion of investment into green energy infrastructure in Germany by 2030.
Since entering the market last year, the company invested in four onshore wind farms with a combined capacity of 100 MW.
Octopus Energy plans to unleash USD 20 billion in offshore wind investment globally.
Besides Germany, the company invested in offshore wind farms in the UK and the Netherlands, as well as in developers of new offshore wind projects including Norway, Sweden, and South Korea.
In World’s Largest Wind Farm Attracts Huge Backing From Insurance Giant, I explain how Aviva invest in wind farms to get a return to back up their pension and insurance businesses.
As Octopus probably understand wind farms as well as, if not better than Aviva, what better place is there for the company to invest their spare cash and customers’ balances?
Octopus and Aviva are almost showing how wind farms can be used as deposit accounts, that generate a predicable return.
I suspect that other assets like energy storage, interconnectors and solar farms, where there is a history of electricity flows and maintenance costs, can also be run as deposit accounts for investors.
I can also see individuals being able to put their money into a bank account backed by renewable assets.
Note.
‘Phantom’ Power Projects Are Holding Back The UK’s Energy Security – Centrica Report
The title of this post, is the same as that of this press release from Centrica.
These are the three bullet points.
- New report shows queue for new energy projects is blocked by developers that may not even have land rights and haven’t applied for planning consents
- Estimated size of these power projects in the queue is 62GW, roughly one fifth of all power in the queue
- Centrica CEO argues such ‘phantom’ projects should have Construction Agreements terminated if developers miss key milestones – and urges Ofgem to give National Grid ESO the power to remove projects from the existing grid queue
This is the first two paragraphs.
A new independent report, commissioned by Centrica, has revealed the extent of the power projects holding back the UK’s energy security and creating risk around hitting net zero.
The report examined the UK’s existing queue for Transmission Entry Capacity (TEC) – the queue for connecting new projects to the transmission grid – and discovered that it is up to four times oversubscribed. Not only that, but this oversubscription has become significantly worse in the last few years.
The report found these three totals.
- There are currently 371GW of projects in the queue, enough to significantly improve the UK’s energy security.
- Around 114GW worth of projects have listed their connection date as before 2029.
- But around 62GW of these projects are only in the scoping phase and developers may not even have secured land rights or applied for planning consent.
This is both good and bad news!
Here Is The Good News!
Currently, the UK is using 37 GW of electricity, of which 32 GW are generated in the UK, 5 GW is being imported through interconnectors and around 6 GW are coming from renewables.
So this means that when we build all the 371 GW in the queue, we’ll have around eleven times the electricity we are using today.
Of the 114 GW of projects listed for connection before 2029, it looks like 62 GW won’t be delivered, as they haven’t secured land rights or applied for planning consent.
But that still means that as much as 52 GW could be delivered by 2029.
Even this reduced level of new projects still increases the amount of electricity that can be generated by nearly 150 %.
If I’m being ultra pessimistic, I would say that the average capacity factor of the extra capacity was 50 %, so we’d only be adding 26 GW, so the electricity, that can be generated would only rise by around 70 %.
I suspect all in the UK can live with these paltry increases.
Here Is The Bad News!
This is a paragraph from the report.
The report suggests that the oversubscribed queue, and longer wait for connections. has a damaging effect on the investments that could drive the UK’s energy transition and energy security.
Developers and investors will decamp to countries, where they be sure of getting a return on their time and money.
Think of having two supermarkets close to you live, where one is professional and one is chaotic. Where would you shop?
The congestion caused by phantom projects must be solved.
Ofgem’s Solution
This is the solution in the press release.
Ofgem is exploring rule changes (CMP376) to address queue issues and is expected to decide these before 10 November. These rule changes would grant the ESO the ability to remove projects from the queue if they miss key milestones. Ofgem is currently considering whether to apply this rule change to just new projects entering the queue, or whether the rule change should also be applied to projects already in the queue.
They can probably come up with a solution.
An Alternative Method From My Past
In 1969, I worked for ICI, where one of my jobs was building specialist instruments for chemical plants.
Most instruments, that were designed by the group I belonged to, included a chassis on which the components and electronics were mounted. So we had a workshop and about seven or eight staff at our disposal to build the chassis and the parts outside of our skills. As they were used by several groups in the building, where we were all based, the workshop was very busy and everything was delivered late.
Eventually, a manager decided to get a grip on the situation.
He insisted, that the workshop would not do what you wanted if your delivery date was as soon as possible, rather than a date agreed by both parties.
The results were amazing and everything was delivered on the agreed date.
With the renewable energy connection queue, I am sure, that if a procedure was developed, that only allowed fully-planned projects with an agreed completion date to enter the queue, then the problems of phantom projects would be solved.
It might also reduce the cost of developing these renewable projects.
Sun-Powered Rooftops Could Generate Two Nukes Of Electricity…If England Follows Peterborough’s Lead
The title of this post, is the same as that of this press release from the Energy and Climate Intelligence Unit.
This is the sub-heading.
Household and commercial rooftop solar could save £450 million on bills.
These are the first two paragraphs.
If all English constituencies matched Peterborough, which has the highest proportion of homes with rooftop solar photovoltaic (PV) panels, the country’s solar capacity could be increased by around 7GW (gigawatts), new analysis from the Energy and Climate Intelligence Unit (ECIU) has found.
The nuclear power station Hinkley C will have a capacity of around 3.2GW, so the capacity rooftop solar on domestic properties could be more than the capacity of two new nuclear power stations.
It is an interesting thought.
I should say, that I have rooftop solar and it generates more electricity, than I ever thought it would.
I find this an interesting paragraph.
In addition, industry analysis shows that the capacity potential of solar on the roofs of commercial properties, such as warehouses, is 15GW. Combined, Peterborough levels of domestic solar and industry estimates for commercial solar could deliver an additional 22GW capacity, which is the equivalent of the capacity of almost 7 nuclear power stations. However, industry has reported that it is currently difficult to get commercial roof top developments connected to the grid, with waits up to a decade or more, and it can be costly.
22 GW is a lot of electricity, but I do feel, that with innovation that probably uses energy storage devices, the connection problems can be solved.
In Denny Bros Completes Solar Scheme At Bury St Edmunds Factory, I wrote about what one company in Suffolk has done with their roofs.
The technology already exists, so how long will it be before a company offers an electrolyser to convert excess electricity into hydrogen, which is used for transport, heating or an industrial process?
In Government Hydrogen Boost To Help Power Kimberly-Clark Towards 100% Green Energy Target, I talked about how Kimberly-Clark are partially switching from natural gas to green hydrogen.
Brits Are Future Proofing Their Homes, Increasingly Valuing Sustainable Elements
The title of this post, is the same as that of this news item from Centrica.
These are the first two paragraphs.
It may still be true that for many, their home is their ‘castle’ but if so, it better be a well-insulated castle, as new research shows that Brits increasingly value energy efficient and environmentally friendly houses.
A survey from Hive revealed that the top selling points on a dream home for modern Brits are related to sustainability, with solar panels (68 percent) and good roof insulation (67 percent) valued more than design features such as natural lighting (53 percent), wooden flooring (22 per cent) and reclaimed woodwork (21 percent). Smart home technology such as a smart heating system (62 percent), a smart energy meter (48 percent) and an EV charger on the driveway (39 percent) were also top considerations.
As I fitted solar panels and good roof insulation to my house, their research could fit me.
I haven’t fitted an EB charger as I don’t drive.
DOE Announces 7 Awards To Cut Heliostat Costs
The title of this post, is the same as that of this article on Solar Paces.
I haven’t talked about heliostats much before and can only find these two posts; one about Australia and one about Spainspain
- ‘Unique’ Solar-Storage Solution Providers Plot 300MW / 3.6GWh Australia Project
- Spanish Govt Approves Energy Storage Strategy, Sees 20 GW In 2030
I feel it is good that the Americans are backing this technology.
These are a summary of the projects.
- SunRing: Advanced Manufacturing and Field Deployment: This project by Solar Dynamics LLC and partners will develop processes to maximize cost-competitiveness, performance, and reliability of Solar Dynamics’ existing SunRing heliostat design.
- HELIOCOMM: A Resilient Wireless Heliostats Communication System: This components-and-controls project by the University of New Mexico will model a resilient wireless communication system based on the principles of integrated access and backhaul (IAB) technology, entropy-based routing, dynamic spectrum management, and interference mitigation.
- An Educational Program on Concentrating Solar Power and Heliostats for Power Generation and Industrial Process: This project by Northeastern University will develop an educational program focused on concentrating solar power (CSP) and heliostats for power generation and industrial processes.
- Demonstration of a Heliostat Solar Field Wireless Control System: Solar Dynamics LLC, with partners Remcom and Vanteon Corporation, will carry out a project aimed at demonstrating the reliable operation of a wireless heliostat solar field control system using commercially available products and developing analytical tools to de-risk the large-scale deployment of the wireless technology to solar fields with tens of thousands of heliostats.
- Twisting Heliostats With Closed-Loop Tracking: This project will design, manufacture, and test a new type of heliostat and study its application for high-concentration CSP.
- Digital Twin and Industry 4.0 in Support of Heliostat Technology Advancement: The Tietronix project aims to leverage technologies from the Fourth Industrial Revolution (Industry 4.0) to enhance the CSP industry and achieve the cost reduction experienced by other industries that have already adopted such advancements.
- Robotic-Assisted Facet Installation (RA-FI): Sarcos Technology and Robotics Corp., in collaboration with Heliogen, will investigate the feasibility of a novel mobile robotic system capable of supporting the installation of mirror facets onto a heliostat.
Governments and institutions and individuals with money should support this sort of research and development.
Gresham House Energy Storage Sets GBP80 Million Fundraise
Gresham House Energy Storage Fund must be doing something right, as similar headlines are used in half-a-dozen places on the Internet and they regularly seem to be raising more money.
But then, as a Graduate Control Engineer and a previous owner of half a finance company, I’ve always thought raising money to build batteries was a good idea.
My only niggle with Gresham House, is that I would have thought by now, they would have put some money into building one of the excellent new technology batteries that are coming through.
The storage fund or some of its employees, may of course have contributed to some of the crowdfunding for these new technologies, all of which I feel have a good chance of being a success.
Note.
- Energy Dome is Italian and all the others are at least fifty percent British.
- Most of the British batteries have had backing from the UK government.
- All these batteries are environmentally-friendly.
- None of these batteries use large quantities of rare and expensive materials.
- Energy Dome even uses carbon dioxide as the energy storage medium.
In addition, in Scotland, there is traditional pumped storage hydro-electricity.
Project Iliad
This article on renews.biz has a slightly different headline of Gresham House To Raise £80m For US Battery Buildout.
This is the first two paragraphs.
Gresham House Energy Storage Fund is seeking to raise £80m through a share placing.
The new equity raised will primarily be used to finance 160MW of solar with co-located four-hour battery projects in California, US, known as Project Iliad.
The article then gives a lot of financial details of Project Iliad and Gresham House.
Will Gresham House be backing co-located solar/battery projects in the UK?
- In Cleve Hill Solar Park, I write about a co-located solar/battery project in Kent.
- This press release from National Grid is entitled UK’s First Transmission-Connected Solar Farm Goes Live, which also describes a co-located solar/battery project, being built near Bristol.
These two projects are certainly serious and could be pathfinders for a whole host of co-located solar/battery projects.
WillGresham House back some of this new generation?
Boralex Commissions BESS At Wind Farm In France In EU-Supported Demonstration Project
The title of this post, is the same as that of this article on Energy Storage News.
These two paragraphs outline the project.
Canada-based renewable energy firm Boralex has turned on a 3.3MWh battery storage unit attached to a wind farm in France.
The battery storage project has been installed at the site of the Plouguin wind farm, an 8MW generating facility in the Finistere department of Brittany, northwest France.
Note.
- The project was co-financed by the European Union through its European Regional Development Fund (ERDF).
- The project was launched to demonstrate the technical feasibility of a hybrid wind-plus-storage project.
- Boralex added in its announcement that the project will contribute to the stability of the French electricity grid.
There will be a lot of projects like this in the future.
This paragraph makes an interesting point about using batteries with solar and wind power.
Wind farms are less frequently hybridised with energy storage than solar PV because of the larger minimum project size and less predictable variability, with sharper peaks meaning heavier battery cycling and potentially faster degradation.
My control engineering knowledge and experience says that larger power sources and those that are highly variable will need batteries with more capacity for the same stability and quality of power output.
This sounds to me like a very good reason for developing larger and more affordable batteries, like those of Cheesecake Energy, Energy Dome, Gravitricity and Highview Power.
It also probably means that to stabilise several gigawatts of wind power, you need a very large amount of storage, that can only be provided by pumped storage hydroelectricity.
Conclusion
A very large amount energy storage is going to be needed.
Projects like these are essential to make sure we use them to their full possibilities.
UK Government Grants £30 Million For Long Duration Energy Storage Projects
The title of this post, is the same as that of this article on Solar Power Portal.
These two paragraphs outline the grants and their recipients.
The UK Department for Energy Security and Net Zero (DESNZ) is providing £30 million in grants for three long-duration energy storage (LDES) projects using novel energy storage technologies.
The three projects awarded funding are from Synchrostor, Invinity Energy Systems and Cheesecake Energy. Synchrostor and Cheesecake Energy are to receive £9.4 million each to fund thermal energy storage systems and Invinity Energy Systems receiving £11 million to develop a vanadium flow battery.
The UK Government seems to give out a lot of these grants for research and development purposes and from feedback I have received from recipients and also by applying my own experience, I am of the opinion, that they are spending tax-payers money more in a wise, rather than a foolish direction.
Cheesecake Energy
I wrote about Cheesecake Energy’s grant in Cheesecake Energy Collects £9.4m Government Funding.
The Government’s press release says this about Cheesecake’s grant.
Cheesecake Energy Ltd, Nottingham, which will receive £9.4 million to test their FlexiTanker technology which stores electricity using a combination of thermal and compressed air energy storage and uses a reversible air compression / expansion train to charge and discharge. They will then install pilot units at 2 sites within a microgrid development in Colchester.
If this project proves successful, it surely is one that can be duplicated in many places.
I have had my eye on Cheesecake Energy for some time and this could be their breakthrough.
Invinity Energy Systems
I first wrote about Invinity Energy Systems in UK’s Pivot Power Sees First Battery On Line By 2021.
The Government’s press release says this about Invinity’s grant.
Invinity Energy (UK) Limited, Scotland, which will receive £11 million to develop and manufacture their 7MW, 30MWh 4-hour Vanadium Flow Battery (VFB), the largest in the UK. Invinity will manufacture the 30 MWh VFB at the Company’s factory in West Lothian, Scotland. The location of the plant will be confirmed in due course.
In this article on renews.biz, which is entitled Invinity Wins Funds For 30MWh UK Battery, these two paragraphs introduce the project.
Invinity Energy Systems plc has today been awarded £11m in funding by the Department for Energy Security and Net Zero to build what it says is the largest grid-scale battery ever manufactured in the UK.
The £11m in funding will come from the Longer Duration Energy Storage Demonstration (LODES) Competition, with funding matched by Invinity’s, as yet unnamed, project partner.
These are other points from the article.
- It will be a fast-response 30MWh battery.
- The battery will be assembled at Bathgate in Scotland.
- It will operate as a stand-alone energy storage asset.
- It will be connected to the National Grid.
- Invinity’s vanadium flow batteries are an alternative to lithium-ion.
The aim is to go live by 2025.
This paragraph indicates the differences between a vanadium flow battery and a traditional lithium ion one.
Invinity said this battery is safer as they cannot catch fire, more durable as they do not degrade with use and are almost completely recyclable at the end of their 25+ year life, reducing environmental impacts and disposal costs for project owners.
I believe that there will come a point, when fully-developed vanadium flow batteries, will become very attractive for financial reasons to the successful energy storage funds like Gresham House and Gore Street.
If the UK government’s funding hastens the day, when energy storage funds feel that these new-fangled vanadium flow batteries are a safe investment, then it is money well spent.
It is not as though the money is going to an early start-up, as this page on the Invinity Energy Systems web site indicates at least a dozen installations.
This project for an as yet unnamed customer, which has a capacity of 30 MWh, is probably much bigger and the Government help is probably very much welcomed.
SynchroStor
SynchroStor was new to me, today.
The Government’s press release says this about SynchroStor’s grant.
Synchrostor, Edinburgh, Scotland, which will receive £9.4 million to build a Pumped Thermal Energy Storage (PTES) grid-connected demonstration plant operating at 1MW, with the ability to charge and discharge for a period of 10 hours, longer than current battery technology.
This page named Technology on their web site, explains their technology, both with words and diagrams.
It is probably the most complex technologies of the three batteries, but I don’t think that will be a problem.
Conclusion
The Government has given grants to three different storage technologies.
If all goes well three good sizable pilot plants will be created and those companies like Centrica, Gore Street, Gresham House, National Grid, Ørsted, SSE and others, will be able to judge, which system is best for their needs.
Centrica Plan Green Energy Hub At Former Gas Power Plant
The title of this post, is the same as that of this news item from Centrica.
These three paragraphs outline the project.
A former gas fired power plant in North Yorkshire is to be turned in to a green energy hub under ambitious plans by Centrica.
The energy company has acquired the four-acre former Knapton Generating Station from Third Energy and plans to develop a 28MW battery on the site.
In addition, Centrica is exploring how Knapton could be used for off-grid hydrogen production, as well as the possibility for solar energy in the surrounding area.
Over the last few months, I’ve written about other small projects from Centrica.
- Centrica Business Solutions Begins Work On 20MW Hydrogen-Ready Peaker In Redditch
- Centrica And HiiROC To Inject Hydrogen At Brigg Gas-Fired Power Station In UK First Project
The company has also announced links with other companies.
- Centrica Announces Hydrogen Ready Combined Heat And Power Partnership With 2G
- Lhyfe And Centrica To Develop Offshore Renewable Green Hydrogen In The UK
- Centrica And Ryze Agree To Develop Hydrogen Pathway
Note, that the first concerns generators and the others concern hydrogen.
The Centrica news item about the Knapton generating station has this fourth paragraph.
The multi-million pound deal is part of Centrica Business Solutions strategic plan to create a 900MW portfolio of solar and battery assets by 2026.
It seems obvious to me that the Brigg, Knapton and Redditch projects fit this Centrica Business Solutions strategic plan, with sizes as follows.
- Brigg – 49 MW
- Knapton – 41.5 MW
- Redditch – 20 MW
I would expect to see Centrica behind several more of these smaller energy projects.
For that reason I have tagged all articles dealing with these projects as Centrica Small Energy Projects.
These are my thoughts about the Knapton generating station.
Third Energy
Third energy’s web site defines Third Energy as an unusual fossil energy company.
- The History page says that Knapton Generating Station was producing electricity using gas from the Vale of Pickering for over 25 years.
- The Net Zero Rise page describes their involvement in the Net Zero RISE consortium with Durham, Leicester and Oxford Universities.
- The Plug & Abandon and Geothermal pages are very much worth a read.
According to the Centrica news item, Third Energy will retain the ownership of the 12 well-sites and associated gas pipeline network.
I shall be watching this company and their developing relationship with Centrica.
The Net Zero RISE Consortium
The Net Zero RISE Consortium has a home page on the Newcastle University web site.
The page has this sub-heading.
Research Infrastructure for Subsurface Energy: an academic-industry partnership to deliver the UK’s first deep test sites.
This is said under a heading of Our Ambition.
This is the most cost-effective way of developing the UK’s first deep test site onshore.
Repurposing wells leverages previous capital investment. Using an onshore site with existing wells and geophysical data:
- eliminates the major cost of drilling and engineering
- reduces uncertainty by drawing on knowledge of the well and surrounding geological conditions
- is safer and easier access than offshore locations
We propose developing three test sites: CO2 storage; H2 storage and geothermal.
This seems to be a very sensible research collaboration and I wouldn’t be surprised to see more companies and universities join.
The Battery
The Centrica news item says this about the battery.
The first project at the site near Malton will be a 56MWh battery which will utilise some of the 41.5MW export capability of the existing grid connection. It’s anticipated the battery would be able to power around 14,000 homes for two hours.
This paragraph would indicate that the battery is supplying just 2 kWh per hour.
A common figure on the Internet is that the average house uses 8 kWh per day, which is 0.33 kWh per hour.
I have a feeling that the figures need correcting somewhere.
Solar Power
The third paragraph of the Centrica news item mentions solar energy.
In addition, Centrica is exploring how Knapton could be used for off-grid hydrogen production, as well as the possibility for solar energy in the surrounding area.
This Google Map shows the site.
It appears to be several hundred metres to the nearest house.
I have read a very simple rule, that says a hectare, which is about the size of a full-size football pitch can accommodate a MW of panels. Obviously Centrica will have accurate calculations.
Off-Grid Hydrogen Production
The third paragraph of the Centrica news item mentions off-grid hydrogen production.
In addition, Centrica is exploring how Knapton could be used for off-grid hydrogen production, as well as the possibility for solar energy in the surrounding area.
Consider these points about the Knapton site.
- It has been handling gas for at least twenty-five years.
- It is connected to the electricity and gas grids.
- It has connections to a dozen gas wells.
- There would be space for a smaller electrolyser.
- Hydrogen could be exported from the site, by blending into the natural gas grid.
If Third Energy and the Net Zero RISE Consortium develop Knapton as a site for their H2 Storage test well, Centrica and an off-grid hydrogen production facility would be ideal partners.
Centrica could even use the site to try out new ideas.
This appears to be one of those engineering projects, that has been thought through whilst drinking several pints of real ale in a welcoming hostelry nearby.
Geothermal Engineering
This site could be used for experiments with geothermal engineering, but there doesn’t seem many places nearby, that would need a good supply of hot water.
Conclusion
There’s more to this deal, than meets the eye.
