Pexapark backs solar-BESS agreement ‘first’ for UK

Software and advisory firm Pexapark said on July 5 it is supporting a milestone hybrid power purchase agreement (PPA) and optimization agreement that will boost the solar-storage market in the UK.

The deal, announced by equity fund DIF Capital Partners, covers a 55MW solar farm with a 40MW/80MWh battery storage system in Leighton Buzzard and is the UK’s first bankable and unsubsidized co-located hybrid PPA, according to Pexapark.

The move will provide secured revenue across the solar-BESS system over a 10-year term.

In the UK, 45% of all planning applications for solar projects submitted in the past two years have been for hybrid systems that include battery storage, Pexapark said.

And the company said its own analysis indicates that 64% of renewable energy businesses in the wider European market are now seeking to introduce or increase the proportion of energy storage in their portfolios.

However, Pexapark said PPAs for co-located proj- ects have remained difficult to agree on because of their complex operational usage profiles and contracting structures, which has limited options available for financing solarhybrid schemes.

Brian Knowles, director of storage and flexibility at Pexapark, said the innovative nature of the UK agreement “reflects our commitment to finding new PPA solutions for unsubsidized renewable energy developers and offtakers, with contracted revenue that offers attractive returns and low risk profiles for investors”.

California close to 6GW online BESS milestone

California now has nearly 6GW of battery storage capacity online, the California Independent System Operator (CAISO) revealed on July 11.

CAISO president and CEO Elliot Mainzer said total BESS capacity on the grid increased to 5.6GW as of July 1.

“Just three years ago, we had about 500MW on the grid and this rapid growth of energy storage in Cali- fornia has significantly improved our ability to manage through challenging grid conditions,” Mainzer said.

He said it was essential for the state to continue to invest in innovative technologies such as energy story in the face of more frequent climate extremes including record heatwaves and droughts.

CAISO says 1MW of electricity provides roughly enough power to meet the demand of 750 homes, while 5,000MW can provide enough electricity to power around 3.8 million homes for up to four hours before the batteries need to be recharged.

The battery systems are increasingly being paired with new or existing solar resources at the same location because such facilities can provide greater operational efficiency and flexibility, the operator says.

SVOLT breaks ground for Thai battery plant

SVOLT said on July 10 it had broken ground for construction of a battery modules and packs factory in Thailand.

The Chinese battery maker said the Chon Buri province facility, expected to be completed by the end of this year, will strengthen its presence in the thriving Thai EV market.

The facility is designed to have an annual production capacity of around 60,000 modules.

One line will be dedicated to the production of modules for hybrid electric vehicles, while the second line is designed to produce modules and packs for plug-in hybrid electric vehicles and battery electric vehicles.

Both production lines will use independently developed pouch cells and prismatic cells, with advanced automated welding processes and monitoring equipment ensuring efficient, highquality production.

Chairman and CEO Hongxin Yang said SVOLT’s advanced lithium battery tech would form the basis of a local battery chain supply network that would contribute to China’s new energy market expansion.

SVOLT’s Thai operations are through its wholly owned subsidiary SVOLT Energy Technology (Thailand).

Canada agrees battery incentives deal for Stellantis, LGES plant

Stellantis and LG Energy Solution (LGES) are resuming construction of their NextStar Energy EV battery plant in Canada under a deal worth up to C$15 billion ($11.4 billion) in tax breaks for the project, Ontario’s provincial government confirmed on July 6.

The battery partners had been pressing provincial and federal government leaders to scale up support for NextStar in line with that available in the US under the Inflation Reduction Act.

Now Ontario is to provide C$5 billion in tax breaks for the project with a further C$10 billion coming from the federal government.

Production at the plant is planned to start in 2024 with an eventual annual production capacity in excess of 45GWh.

A statement issued by Ontario premier Doug Ford and other ministers said the incentives were a direct response to those offered by the US government — but warned they could be reduced or cancelled if the US should drop its support for battery makers.

Ford said the deal also extends to a project by Volkswagen and its subsidiary PowerCo SE to establish the auto giant’s first overseas EV battery cell manufacturing plant in Ontario. Volkswagen could receive up to C$13 billion in performance incentives.

However, incentives are linked to the amount of batteries that Stellantis produces and sells, in line with the conditions in the agreement for the Volkswagen battery cell manufacturing plant.

NextStar Energy is one of eight battery plants that LGES has secured in North America in response to its growing EV market.