Post by QuotedData

Gresham House Energy Storage Fund (GRID) welcomes a decision by energy regulator Ofgem to make a provisional award of 25-year cap and floor support to Ocker Hill, a 240MW battery storage project it is building in Wednesbury, West Midlands with an expected connection date of October 2029. It is one of 16 battery energy storage system (BESS) projects to be included in the UK’s Long Duration Energy Storage scheme and follows a joint letter from GRID manager Gresham House and other BESS businesses in April last year urging the government to provide a level playing field. Chair John Leggate said: “The decision underlines the strategic importance of long duration battery storage to Britain’s energy security and clean power ambitions and provides a long-term revenue framework that recognises the critical role BESS will play. For shareholders, it reinforces the strategic importance and underlying value embedded in GRID’s pipeline”. Matthew Read, CFA, senior analyst at QuotedData, said: “This is a significant positive for GRID and, perhaps just as importantly, for the role of batteries within the UK’s long-duration storage market. The provisional award to Ocker Hill gives GRID a route to bring forward an eight-hour asset backed by a 25-year cap and floor revenue framework, turning what was previously development optionality into something much more tangible. If Ofgem moves forward with these awards as hoped, this should lay the foundations for many more duration extensions for BESS assets.” Register here to receive our free, daily newsletter in your inbox on investment companies and active ETFs: https://lnkd.in/g9HVsfer More on this story here.  https://lnkd.in/eprKU9An