National Grid has awarded enhanced frequency response (EFR) contracts worth £66m to seven companies. Most of the contracts are for battery storage.
EFR is a new frequency response service which requires providers to help balance the national power grid in under a second.
EDF, Vattenfall, Low Carbon, Eon, Element Power, RES and Belectric have taken the contracts available in the first 201MW tender. They will receive four year contracts with a total value of £65.9m.
National Grid said that service will reduce costs to consumers by around £200m.
Renewable energy investment firm Low Carbon was awarded two contracts totaling 50MW, EDF a contract for 49MW, Vattenfall 22MW, Eon 10MW, Element Power 25MW, RES 35MW and Belectric 10MW.
National Grid said that of the 64 sites that make up the 201MW total capacity, 61 are for battery assets, two are from demand reduction and one from thermal generation.
Cordi O’Hara, director of UK system operator, National Grid said: “We are constantly looking to the future to understand how we can make the most of the energy available to us. This project is at the very core of our Power Responsive work, to balance the Grid by the most efficient means possible, saving money and energy.
“These awards show that we can work with industry to bring forward new technology and I believe storage has much to contribute to the flexible energy system of tomorrow. This is the beginning of an exciting new chapter for the industry.”
Battery storage is one of the topics covered at Energyst Media’s demand-side response conference in London next month. There are a handful of tickets left for end users looking to provide balancing services. Click here to find out more.