Centrica Energy and Zelestra have signed a tolling agreement for 99 megawatts and 297 megawatt-hours of battery storage capacity in northern Germany.
Under the agreement, Zelestra will develop, construct and own the 3-hour standalone Hilgermissen BESS battery storage project to be built in Lower Saxony, Centrica Energy said in a statement on Thursday.
Engineering and procurement work is due to be completed this year, with construction set to begin in 2027 and operations in 2028, it added.
Centrica Energy will manage the battery's output across Germany's day-ahead, intraday and ancillary services markets, allowing it to respond to shifts in electricity supply and demand, according to the statement.
Lower Saxony has a strong industrial base spanning the automotive, agricultural and food production sectors and is a major producer of wind and biomass energy.
"With a growing need for flexible capacity to support the stability and resilience of the power system, the BESS project will help accelerate renewable integration, strengthen grid flexibility and support Germany’s wider decarbonisation objectives," the company said.
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr
