Last month, infrastructure investment group Foresight Group purchased its first battery storage project, acquiring 35 MW from RES.
Following the deal, Dan Wells, partner at Foresight’s Infrastructure team, revealed that more battery storage projects are firmly in the crosshairs looking into the near future.
“We have a very active pipeline of further lithium ion storage projects and we’re very keen to speak to developers who have pipelines in terms of grid-scale, looking at behind the meter C&I applications [and] co-location with renewables,” Wells said.
According to Wells, Foresight does not have a minimum target on proportion of contracted revenues it would seek from further battery purchases. They will take a conservative approach adapted to take into account the short-term basis of uncontracted revenues.
“Our view on life is just to be somewhat conservative over the size of the frequency regulation market, and cognizant of the fact it may become saturated in the not too distant future, and therefore our downside scenarios are around looking at where the revenue streams come from in those cases,” he said.
With experience developing Canada’s largest energy storage facility, Saturn Power understands and is optimistic about the potential opportunities energy storage provides.