Drax Expands Battery Storage Capacity with New Tolling Agreement in the UK

Drax Group has greatly increased its battery energy storage capacity. They did this by signing a ten-year tolling agreement with West Burton C, a subsidiary of Fidra Energy, to run West Burton D’s gas turbines. This memorandum accounts for a 250MW (500 megawatt-hour) battery energy storage system (BESS) installed in West Burton, UK. Drax is…

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Drax Expands Battery Storage Capacity with New Tolling Agreement in the UK

Drax Group has greatly increased its battery energy storage capacity. They did this by signing a ten-year tolling agreement with West Burton C, a subsidiary of Fidra Energy, to run West Burton D’s gas turbines. This memorandum accounts for a 250MW (500 megawatt-hour) battery energy storage system (BESS) installed in West Burton, UK. Drax is continuing to grow its FlexGen portfolio with this project. The ultimate aim is to improve the stewardship of both federal owned physical assets and optimized private third-party assets.

This new partnership comes on the heels of Drax’s July acquisition of three BESS projects from Apatura. In total, these projects represent a massive 260MW. Additionally, in January 2026, Drax purchased Flexitricity’s optimization platform, which is a good sign to the continued growth of Drax’s FlexGen business development. As a whole, these acquisitions and agreements position Drax favorably within the growing battery storage market.

Drax sees the new deal as a capital-light way of accelerating its BESS capacity. According to Will Gardiner, CEO of Drax Group, “Our first BESS tolling agreement is an important step in our ambition for a gigawatt-scale pipeline of battery storage opportunities, alongside our recent acquisitions of Flexitricity and three battery storage developments.”

The West Burton BESS project has procured its grid connection. That’s with the ambitious goal of starting commercial operations by 2028. The deal is contingent upon Fidra reaching final investment decision by Q3 of 2026. After that, they need to begin revenue service by the second half of 2029.

Drax wants to keep all of the projects operating revenues aside from capacity market revenue. This strategy inspires their desire to push the envelope and generate growth and value from their FlexGen portfolio. The portfolio is expected to provide energy transition solutions for the UK’s evolving energy requirements, generating significant cash flow and providing compelling returns to shareholders.

Gardiner stressed the role of flexible generation technologies to ensure reliability and affordability of the evolving energy system. “Flexible generation technologies like battery storage will support a secure, affordable and clean energy system for British homes and businesses,” he stated.

As Drax continues to develop its gigawatt-scale pipeline of BESS opportunities, it combines business intelligence and editorial excellence to engage professionals across various platforms. The company is focused on improving energy storage technologies. As a result of its strategic moves, it finds itself a leader in the ever-changing energy landscape.