Green trees against three grey battery energy storage systems on gravel.
Broxburn battery storage project – TRIG’s first investment into the battery storage sector in 2017. Image: TRIG.

The Renewables Infrastructure Group (TRIG), a green investment firm, has acquired battery storage developer Fig Power.

Fig Power, a Bristol-based battery storage developer, has a 1.7GW development pipeline, including 400MW with grid connection offers and a further 1.3GW of exclusive sites.

TRIG said that the 100% equity acquisition of Fig Power is a means to diversify its portfolio by adding complementary technology and enhance its revenue diversification. This follows previous announcements by the company outlining its intention to increase its focus on battery storage in the UK.

In addition to securing a pipeline of projects for TRIG to build, Fig Power will sell developed projects to third parties, crystallise development value for TRIG, and in over two years is expected to be self-funding, TRIG said.

Richard Crawford, head of energy income funds at InfraRed Capital Partners, highlighted that battery storage is a “key component in flexible capacity” and thus is core to the energy transition and the rollout of renewable technologies.

Because of this, Crawford outlined that batteries represent an “important investment sector for TRIG, providing diversifying and often complementary revenues to the portfolio”.

“Adding development capabilities within TRIG’s investment portfolio creates the opportunity to capture higher returns for shareholders and generate a proprietary pipeline through a team that is closely aligned with TRIG’s objectives,” Crawford added.

“Fig Power also builds on the four development-stage battery investments that TRIG added in 2022. Preliminary construction works on the first of these projects began in January 2024 and we expect to start groundworks on the second project in H2 2024.”

Low BESS revenues continue to impact asset managers

Earlier this month, Gore Street Energy Storage Fund joined other BESS investors in expressing concerns over the current challenges regarding low revenue in the GB market.

Both Harmony Energy Income Trust and Gresham House Energy Storage Fund have expressed their concerns over the low revenues many across the GB BESS market are being subject to. This has primarily been due to assets not being able to participate in balancing the GB grid or replacing gas-fired generation to their fullest capability.

Gore Street has said that its portfolio diversification serves as the “primary driver of the company’s stable revenue and profit profile which has allowed the company’s portfolio to generate a consistent revenue profile on a consolidated basis”.

Solar Power Portal’s publisher Solar Media will host the 9th annual Energy Storage Summit EU in London, 20-21 February 2024. This year it is moving to a larger venue, bringing together Europe’s leading investors, policymakers, developers, utilities, energy buyers and service providers all in one place. Visit the official site for more info.