Irish energy trading firm ElectroRoute has secured a deal to provide trading services to a €150 million electricity storage project in Co Offaly set to become one of the largest developments of its kind in Europe.
Irish-based Lumcloon Energy began work last year with Korea’s Hanwha Energy to build two plants in Co Offaly that will store enough electricity to power about 100,000 homes. The plants will house batteries similar to those found in electric cars to store power that can be used at times of peak demand.
Battery storage is generally used to “balance” supply from electricity, often generated from green sources such as wind farms, with demand for power from homes and businesses. The technology is common in Europe, particularly in countries that depend heavily on renewable electricity.
ElectroRoute, registered in Donegal but Dublin-headquartered, has the capacity to liaise and ensure timely payments are made to the owners of the batteries; power generators feeding into the plants, and energy distribution companies supplying end-use customers.
ElectroRoute’s in-house virtual power plant will be able to operate the batteries from its trading and dispatch desk in Dublin.
While this is one of the first battery projects of significant scale in Ireland, a recent Irish Wind Energy Association report estimated that of 1,700 megawatts of battery capacity would be needed on the island of Ireland by 2030 to reach renewable energy targets.
Brian Kennedy, head of trading solutions at ElectroRoute, said: "There is a growing consensus worldwide that countries need to pursue environmentally-friendly energy solutions as part of the quest for energy security. Our trading solutions will enable our clients to help create leadership positions in renewable and flexibility markets."
Japan's Mitsubishi Corporation bought a 60 per cent stake in ElectroRoute in 2016.