Centrica has entered into an agreement to acquire up to nine ready to build' battery energy storage projects (BESS) in Sweden with a total capacity of over 100MW from Fu-Gen AG, the Swiss based renewables developer and independent power producer.
The investment forms part of Centrica's plans to materially increase investment over the coming years as part of its green-focused growth and investment strategy, to energise a greener, fairer future.
Battery Energy Storage Systems (BESS) are playing an increasingly important role in integrating more renewable energy into the grid, by offering the flexibility needed to balance fluctuations in production and consumption. Whilst the batteries will be deployed in the SE3 region, which includes Stockholm and surrounding areas, they will provide grid flexibility and ancillary services across the wider Nordic electricity market.
"Battery storage is a key enabler for the transition to a low-carbon energy system, and we look forward to working with Fu-Gen to deliver these projects and to support the integration of more renewable energy in Sweden"
Ulrika Wising, managing director of Centrica Power
With strong optimisation capability within Centrica, battery output can be adapted in real-time delivering cost-effective energy storage that maximises the utilisation of green electricity available to the grid, whilst securing stable return-on-investment.
Ulrika Wising, managing director of Centrica Power, said: "The acquisition strengthens our position as a leading provider of flexibility energy solutions across Europe. Battery storage is a key enabler for the transition to a low-carbon energy system, and we look forward to working with Fu-Gen to deliver these projects and to support the integration of more renewable energy in Sweden."
Lorenzo Lanteri, director and founder of Fu-Gen, said: "This transaction marks a significant milestone for Fu-Gen, as we successfully execute our strategy of developing high-quality renewable energy assets in attractive markets. We are proud to partner with Centrica, a global leader in energy and services, and to contribute to the decarbonisation of the Swedish electricity sector."
The first battery assets are planned to become operational in 2026.
