Renewable energy company Ørsted has invested in a battery energy storage system which will help provide stability to the UK energy supply and reduce price volatility.
The Tesla battery energy storage system will be installed on the same site as the onshore converter station for Ørsted’s Hornsea 3 Offshore Wind Farm in Swardeston, near Norwich, Norfolk. The battery’s location on the same land as the onshore converter station minimises disruption to those living and working nearby.
The storage system, on which Ørsted has now taken final investment decision, has a capacity of 600 MWh (and a 300 MW power rating), equivalent to the daily power consumption of 80,000 UK homes. When it is windy and sunny, so that electricity generation exceeds demand, the battery will store the excess so that it can be discharged later to help balance the grid. This will reduce price volatility for consumers as it will make more power available, including during peak periods, when energy is traditionally more expensive. It will also result in UK energy systems being easier to manage by helping smooth out the variations between supply and demand.
When complete, the battery energy storage system will be one of the largest in Europe. It will be operational by the end of 2026.
Duncan Clark, Head of Ørsted UK & Ireland, said: “Our 12 existing UK offshore wind farms are providing a huge amount of clean energy to the grid. The battery will help ensure that renewable energy is used in the best possible way by storing it when demand is lower and then releasing it back into the system when it’s really needed. This maximises the potential of renewable energy whilst providing increased energy security and value to consumers. “
Mike Snyder, Senior Director of Megapack at Tesla, said: “Tesla is excited to be part of this industry-leading project with an exceptional partner. This project demonstrates the value and flexibility of Tesla’s best-in-class power electronics, providing enhanced grid stability and enabling more renewables on the grid.”
With the battery energy storage system, Ørsted is investing in a grid-balancing technology which is a natural add-on to its offshore wind power generation business and will provide complementary services while supporting the continued build-out of the UK’s renewable energy infrastructure. The UK is one of the world’s largest markets for offshore wind and the market where Ørsted has the most offshore wind farms (12) in operation.
Ørsted currently has a total of 660 MW (1,850 MWh) storage projects in operation or under construction in the UK and US including the project announced today. In addition, Ørsted is developing a storage opportunity pipeline of +2 GW across the UK, Ireland, and the US.
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For more information please contact:
Sarah Brown
External Communications Lead, Hornsea 3 at Ørsted
SARBR@orsted.com
+44 7443 154180
Notes to Editors
Source for equivalent figure: Average gas and electricity usage | Ofgem: OFGEM state that they estimate the typical household in England, Scotland and Wales uses 2,700 kWh. We referenced the typical annual electricity use of a medium household
About Ørsted
The Ørsted vision is a world that runs entirely on green energy. Ørsted develops, constructs and operates offshore and onshore wind farms, solar farms, energy storage facilities, and bioenergy plants, and provides energy products to its customers. Globally, Ørsted is the market leader in offshore wind and it is constructing the world’s biggest offshore wind farms off the UK’s East Coast. Ørsted is recognised on the CDP Climate Change A-List as a global leader on climate action and was the first energy company in the world to have its science-based net-zero emissions target validated by the Science Based Targets initiative (SBTi). Headquartered in Denmark, Ørsted employs approx. 8,000 people, including over 1,100 in the UK. Visit orsted.co.uk or follow us on Facebook, LinkedIn, Instagram, and Twitter.