Copenhagen Infrastructure Partners (CIP) is betting big that renewables could be the next great leap forward. They are building the Coalburn 1 battery energy storage system (BESS) in South Lanarkshire, southern Scotland right now. This very ambitious project is a 500 megawatt (MW) power project. It’s intended to provide energy for two hours. Coalburn 1 FID was completed in December 2023, with commissioning planned for early 2026.
Coalburn 1 is a fundamental piece of CIP’s overall strategy. This strategy notably features three transmission-connected BESS projects in Scotland, collectively boasting a capacity of 1.5 gigawatts (GW). Once construction is complete, these assets will hold the equivalent of 3 GWh of electricity. They will do it in an efficient way, dispatching this power into the grid. What makes the project unique is that it has locked in contracted revenues. These revenues are the result of a ten-year optimization agreement with SSE and a 15-year capacity market agreement.
CIP isn’t stopping there. They’re focused on extending the innovations in energy storage from the Coalburn 1 project to other new developments. They have ambitious plans to deploy 4.5 GW of BESS projects across Scotland and England. At CIP, we are deeply dedicated to improving energy resilience across the board. These initiatives are instrumental in the essential transition toward renewable energy sources.
CIP’s international battery pipeline reaches further than just the UK, with projects secured across the United States, Europe, and Australia. Just in March of this year, CIP partnered with GC Storage Services via its CI V fund. Collectively, they’re working on a huge pipeline of utility-scale BESS projects – 2.3 GW in Italy alone.
CIP’s UK BESS projects development and construction portfolio is one of the fastest-growing and one of the most expansive in the UK. We look forward to this partnership with AXA IM Alts on our Coalburn 1 site, which will become Europe’s largest operational BESS project when commissioned in 2026. The upcoming delivery of Coalburn 1 will further contribute to an enhanced and more resilient energy security across the UK. It will complement CIP’s Coalburn 2 and Devilla construction projects to accelerate low-cost renewables and reduce costs to British consumers by increasing system flexibility. – Nischal Agarwal
While the size of the Coalburn 1 project is impressive, that’s not what makes it significant. Mark Gilligan, Vice President at Fluence, said that he was excited about their entry into the UK energy storage market.
We’re excited to be making this investment in Coalburn 1, an important new wrinkle for us. This venture takes us deeper into the UK energy storage market, as well as aligning us further with a zero-carbon economy. Addressing gaps Battery storage infrastructure batteries are the key to achieving our national energy security goals and making the most from renewable energy. We are eager to work with experienced leaders across the space to deliver equitable, enduring returns for communities, our investors and the planet. – Mark Gilligan