It powers 32 projects across England and Wales.
Sembcorp Industries acquired the UK Power Reserve (UKPR), the largest flexible distributed energy generator in the UK, for $385m (£216m). This move makes the company’s integrated energy business present in the region.
According to an announcement, the company believes that the acquisition will give them a new growth through a firm foothold in flexible distributed energy.
“It will transform our UK business from a centralised utilities provider on Teesside, into an integrated energy business with operations across the country,” Sembcorp group president and CEO Neil Mcgregor said.
“The acquisition gives us greater opportunities for further expansion, and sets us firmly on track to grow in the UK,” Sembcorp UK utilities business head Nomi Ahmad added.
UKPR owns and operates energy generation for 32 locations in England and Wales. About 533 megawatts of their portfolio goes into operation, whilst 480 megawatts are in construction and under development, according to an announcement.
In total, UKPR’s over 1,000 megawatts comprises “small-scale, fast-ramping power generation assets and rapid response batteries.”
According to Sembcorp, UKPR’s assets require less investment in large power and infrastructure, and are more economical to develop and operate because it is connected at the distribution level close to customer load.
“They (UKPR) help counter the intermittency of renewable power sources, supporting the shift towards green energy in the country,” Sembcorp said.
They add resilience to the UK national grid by providing high-value rapid response ancillary services to balance the system, the company added.
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