In this video case study, Flexitricity’s Head of Business Development, Andy Lowe, and Anesco’s Asset Management Director, Mike Ryan, discuss successful asset optimisation strategies, challenges in the industry and give advice to anyone interested in investing in battery storage.
Flexitricity optimises Anesco’s 19.5MW battery at Larport Farm from its 24/7 control room in Edinburgh. The battery will deliver frequency response services to National Grid, and also be traded in the day ahead and intraday energy markets, plus directly with National Grid in the Balancing Mechanism. With the competition in reserve and response services increasing rapidly, trading is the key opportunity to future-proof your revenue and ensure you’re making the most of your assets.
Flexitricity will manage the asset dynamically, remaining agile in its approach to ensure that the battery moves between different services and revenue streams, allowing Anesco to maximise revenue and return for investors.
Gone are the days of long-term secure revenues for flexibility providers. We are moving more and more towards a merchant model and a revenue stack which includes income from a number of different services or activities. Seeing these opportunities and ensuring that you are agile enough to move between the different markets as the values shift is already becoming critical. This is going to become even more important in the future.
Energy storage has a growing role to play on the system. We’re now seeing encouraging movement in the development of post-subsidy renewable energy projects. This will increase over the next few years and will be happening in parallel with the electrification of heat and transport, and with a number of the large thermal baseload power stations being de-commissioned. The result of this will be an energy system that is increasingly reliant on intermittent generators. A cleaner and greener system is great, but we need flexibility on the system to fill in the gaps when the intermittent generators don’t show up. Batteries are a great source of this flexibility – they can balance both energy and system frequency – and we are going to need more of them as the system becomes further decarbonised.
Want to find out more? Watch the video below.