Spalding Battery Energy Storage System in Lincolnshire

Sector and market opportunity

When completed, the project will operate in the UK’s electricity wholesale and balancing markets. It will also provide reserve and ancillary services to the National Grid, offering flexible and dynamic services to help ensure electrical grid stability.

The project is at an advanced stage of development and the operational lifespan is expected to be around 20 years with repowering potential to extend.

Location

The project is located next to InterGen’s existing Spalding projects in the east of England, where a number of the UK’s offshore wind farms connect to the UK’s electricity network.

Connectivity

The Spalding Project is located approximately 100 miles from both London and Birmingham, and is easily accessible via a number of international airports, and the UK’s railway and road network.

Local talent and skills

The location is close to InterGen’s existing Combined Cycle Gas Turbine (CCGT) and Open Cycle Gas Turbine (OCGT) Spalding stations, providing operational/maintenance benefits. It will also benefit from InterGen’s existing, well-established trading capability.

Environmental, social and governance (ESG) highlights

BESS projects make an important contribution to the UK’s target of reaching net zero emissions by 2050. They are zero carbon and provide or store power almost instantaneously. As such they provide flexibility and a range of ancillary and system support services to help balance and manage the electricity system. The need for these services will services will grow as renewable capacity increases.

Promoters and partnerships

Active in the UK since the 1990s, InterGen is an independent power generator with a track record of developing, constructing, and operating large-scale power generation projects. InterGen has invested over £2 billion to develop and construct a portfolio of 3 combined cycle gas turbine (CCGT) and 1 open cycle gas turbine flexible power stations, totalling 2.8 GW.

The Spalding Project represents a key stage of InterGen’s strategy to diversify and become a leading energy storage system operator in the UK. Its ambition is to have 3 GW of projects in commercial operation by 2030 – with the potential to grow subject to further market needs.

InterGen has already identified further locations for grid-scale projects, including at Gateway on the Thames Estuary. While the Spalding Project is expected to be taken forward on a standalone basis, both the Spalding and Gateway Projects (and other opportunities) could be progressed with the right partner as InterGen recognises that some investors prefer scale.