Solar fund acquires Eastern England battery development portfolio

NextEnergy Solar Fund has acquired the development rights, permits, and initial grid milestones for a 250MW portfolio of battery projects and grid connections in the East of England. The strategic portfolio, named ‘Project Lion’ was acquired for a consideration of £32.5 million and will increase the current announced standalone battery storage in NESF’s joint venture partnership with Eelpower to 300MW. The project is a two-hour (500MWh) duration system and is expected to be energised in 2025, targeting an asset life of at least 50 years.
The company said the project provides a very attractive return that complements its solar photovoltaics, being uncorrelated and providing diversification from a technology, revenue and geographic perspective. The fund has a combined installed power capacity of 865MW.
Full construction of the project remains subject to shareholder and FCA approval due to the Company’s existing investment policy being limited to 10% of Gross Asset Value into energy storage.
Kevin Lyon, Chairman of NextEnergy Solar Fund said: “This acquisition of development rights adds significantly to NESF’s participation in the UK battery storage investment space. The project will take our battery storage programme up to a capacity of 300MW, showing how NESF has been able to secure a significant development pipeline of storage projects in a short timeframe. ”

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