The UK Infrastructure Bank has allocated a £60 million loan to support the development of a large electricity storage park in Kent, with additional financing from NatWest.
This project is predicted to contribute to grid stability and enhance the UK’s energy security.
National Grid predicts a potential requirement of up to 29GW of storage by 2030 and up to 51GW by 2050, a substantial increase from the current 5GW capacity.
This investment marks the UK Infrastructure Bank’s second debt commitment in the battery storage sector, following its £62.5 million investment in Pulse Clean Energy in May.
In addition, the bank has allocated £200 million to the Equitix UK Electricity Storage Fund and Gresham House Secure Income Renewable Energy & Storage LP, with the potential to unlock an additional £1.2 billion in private capital for the storage sector.
John Flint, UK Infrastructure Bank Chief Executive Officer, said: “The rapid scale-up of renewables onto the grid means the UK needs more storage capacity, and we need it fast. That means scaling this technology which in turn presents challenges for the market.”
