While planning was granted three years ago no work has yet started on the land – that is soon set to change
Work is finally set to start on a huge energy storage system on the back of a £157m deal. Proposals for a battery energy storage system (BESS) in Marfleet were first put to planners back in 2021, for construction on land to the North of Great Field Lane.
Those plans were approved by Hull City Council in 2022, paving the way for the system to be built on the land, bounded to the north side by the former Hull to Withernsea railway. While planning was granted three years ago no work has yet started on the land.
However, that is now set to change after North Yorkshire power station operator Drax Group struck a £157.2m deal to acquire three battery energy storage systems, along with two others in Scotland, from owners Apatura.
Once built, the Marfleet site will have an open compound with electrical equipment and two sub-stations and control buildings. The batteries themselves are set to be housed in steel cabinets in seven rows across the site.
Renewable energy and BESS developer Apatura, based in York, is set to start work on all three projects next year. Combined, the sites can store and provide 260MW of secure power for up to two continuous hours.
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The batteries are charged during periods of low electricity demand, or when intermittent renewable power is cheap. The energy they store can then be dispersed within a second when demand is high, supporting UK energy security.
When there is excess power from intermittent renewables, like solar and wind or low demand, BESS sites enable that energy to be stored and then released when it is needed most. In a stock market announcement, Drax said it will pay staged payments between 2025 and 2028, reflecting the construction milestones and including payments to Apatura linked to their delivery of the projects.
The other two sites are based in Neilston in East Renfrewshire, Scotland, and East Kilbride in Lanarkshire, Scotland.
Drax Group CEO, Will Gardiner said: “This acquisition is our first investment in short duration storage as part of our FlexGen portfolio, supporting UK energy security and a clean power system.
“We are looking forward to working with Apatura on the development of battery storage, which when commissioned will allow us to provide even more secure power to the country when it is needed. In combination with our long duration energy storage, flexible generation and renewable generation from biomass, we will be able to provide 4.4GW of dispatchable generation to meet demand.
“As the UK’s network increases its reliance on intermittent renewables, more dispatchable and reliable generation will be required to help keep the lights on when the wind isn’t blowing or the sun isn’t shining.
“Through the development of our strategy we are working to create value and growth in the short, medium and long-term, aligned to the UK’s energy needs and underpinned by strong cash generation, a disciplined approach to capital allocation and attractive returns for shareholders, significantly in excess of our weighted average cost of capital.”
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