HABITAT ENERGY UK
Habitat Energy UK was launched in 2017, and is headquartered in Oxford. We have been working closely with developers, investors, EPCs, banks and others across the full breadth of the value chain since the earliest days of the industry, supporting the development process, using our trading tools to build confidence in the investment case, and now operating some of the biggest battery storage assets in the country.
Our team of around 30 staff span trading, data science, software engineering and functional support. The team is led by Andrew Luers and Phil Robinson.
THE BATTERY STORAGE INVESTMENT OPPORTUNITY IN THE UK
The UK was one of the first global markets to open up to grid scale battery storage after the System Operator created a new frequency response market tailored to battery storage in 2016. Since then the market has grown rapidly with over 1 GW of batteries now operational and a substantial pipeline of new projects being built.
Habitat Energy has played a key role in opening up the UK opportunity for merchant trading, that is, buying and selling power in the day ahead, intraday and balancing markets. Our view is that understanding the value from a pure merchant strategy should form the foundation of the investment case, with the possibility of additional ancillary service revenue from frequency response or other services providing a welcome additional revenue stream, but one that cannot be relied upon in the longer term.
With the introduction of the Dynamic Containment ancillary service in September of 2020, existing battery storage projects have been enjoying revenues well in excess of the level needed to deliver an attractive investment case. As at July 2021 Habitat Energy has the largest market share for Dynamic Containment, while also using innovative techniques to supplement this revenue with additional value from merchant markets where the rules allow. Habitat Energy has also been at the cutting edge of innovation in other areas, being among the first to be registered as a Virtual Lead Party for battery storage trading, accessing the Reserve from Storage and ODFM ancillary service markets amongst other achievements.
OUR BATTERY STORAGE OPTIMISATION PLATFORM POWERIQ
Habitat Energy UK offer a full service asset optimisation including:
- In house electricity price forecasting of day ahead, intraday, balancing (and imbalance) markets based on proprietary machine-learning algorithms
- Dispatch optimisation that takes the battery warranty and cell degradation and other operational constraints into account, and manages the uncertainty inherent in the market with a stochastically optimised approach that delivers maximum revenues year on year.
- Full trading desk operations provided by Habitat Energy as part of our standard optimisation services agreement. The asset owner does not need their own trading desk or third party services – all of this can be provided by Habitat Energy.
- 24/7 trading team oversight, helping to manage complex market conditions that may not be visible to the algorithms such as unplanned outages or exceptional events.
- Physical dispatch instructions communicated to the battery storage asset, with temperature and other performance data fed back to PowerIQ to allow degradation to be minimised and uptime maintained.
- Successful integration with a wide range of battery storage OEMs and system integrators.