Gresham House Energy Storage Fund (Grid) has drawn long -term agreements on the floor price with EDF Energy Cover with 737 MW of Battery Energy Storage System (BESS) projects.
The floor agreements cover 100 MW from currently operational projects and another 637 MW of pipeline projects. They follow floor agreements with Statkraft and Markel Bermuda, a total of 789 MW, covered by Solar -Energy Portal Earlier this month.
When the previous floor agreements were announced, Grid stated his intention to sign further contracts with another counterparty.
The similarities with EDF are all at the same floor level in £/MW conditions such as those with Merkel and Statkraft, and will take more than 10 years.
After signing a third counterparty with EDF, as soon as all floor agreements are present for the 100 MW, operational projects and the two -year toll agreements with Octopus Energy for 568 MW capacity have expired (in 2026, were signed in June 2024), 889 MW or 83%of the 1,073 MW operational portfolio of Grid will benefit from minimal annual contracted floor income of £ 40 million.
The floor income means that it will still be able to achieve extra income above the £ 40 million level.
The figure does not include income from the capacity market for the operational portfolio, which is expected to represent around £ 11 million in 2026 extra contracted income.
John Leggate, Grid chair, said that the completion of the floor agreements, the marking of an “important milestone” that shows that the net has risen its income, “is the key to unlocking more favorable, financing conditions in the longer term with less heavy connected”.
After the agreements with Statkraft and Markel, Grid said that the floors are crucial to unlock beneficial conditions for the previously announced new debt facility, which will soon be due to the refinancing of existing debt facilities, with the aim of the future debt service will be fully covered from the cash flow.
Refinancing expects as a result of the floor and toll agreements for the operational portfolio is part of the growth laid down in the three-year plan of Grid, which also includes the planned augmentations and acquisition and construction of the exclusive pipeline.
Ben Guest, Grid Fund Manager and Managing Director of Gresham House Energy Transition, who also invests in Solar PV and onshore Wind, explained that the 637 MW pipeline projects that are also dealt with in the agreement with EDF will enable the grid to “be protected, destroyed”.
The disconnection comes afterwards “Underpained UnderPerformance” by colleague Bess Investor Gore Street Energy Storage Fund (GSF), of which the board of directors was recently answered by GSF shareholder RM funds.
