Battery Storage worth it? £75,000 rent, 4 acres

famerjack345

Member
Mixed Farmer
have they asked you to sign the LoA to apply to the DNO, or do they have a connection already?
No LOA signed yet. The developers said that the DNO needs to calculate the connection cost first which costs several thousands of pounds (the developer is paying this thankfully)
 

famerjack345

Member
Mixed Farmer
Very location dependant and some marginal economics in these developments but circa £1200 plus is pretty common with some rents up towards that 2k.

if there’s a synchronous condenser going in seperately then there are some quite significant rents per acre being thrown about for them so make sure you are pushing that in the deal.

Happy to recommend some agents that I have worked with if you want to pm.
What is the benefit of a synchronous condenser and what sort of money do they yield per acre? The developer has not offered one of these ill see if they want to add it
 

nonemouse

Member
Mixed Farmer
Location
North yorks
No LOA signed yet. The developers said that the DNO needs to calculate the connection cost first which costs several thousands of pounds (the developer is paying this thankfully)
Don’t count your chickens before they hatch, we had a developer, last year with a scheme for solar plus battery. Which the developer said there was plenty of local grid capacity for, when it went to DNO all local spare capacity was gone. Think a few schemes in the pipeline locally and they have had deposits done on connection for some time
 

benny6910

Member
Arable Farmer
It is 100% £75k per year. The developer offered me £55,000 to start with and I negotiated more. What were you offered?
I’m looking into panels and possible battery storage and the proposed rent of battery storage is £400 a acre more. We’ve still to sit down and sign anything yet so we’re only just at the start of the process to be fair. I suppose my situation is a little different to yours if your only looking at a storage site.
 

steveR

Member
Mixed Farmer
There is a huge difference between initial negotiations and getting a deal. The cost of the connection from the DNO can often be many million for anything large.
Locally the connection went something like 20 miles of upgrades and new cables.
The DNO will not quote until they see the figures then it will depend on how they feel that day ;)
You know WPD too, then .... ;)
 

steveR

Member
Mixed Farmer
There is a huge difference between initial negotiations and getting a deal. The cost of the connection from the DNO can often be many million for anything large.
Locally the connection went something like 20 miles of upgrades and new cables.
The DNO will not quote until they see the figures then it will depend on how they feel that day ;)
I was on board with a venbture back in 2017/18 which subsequently fizzled, for a 80MW site, and they wanted to come onto the land and make a connection to the 132 cables. All agreed etc, and in the course of conversations, teh cost for a fairly simple connection then was circa £1.5m. This did not include the infrastructure below the pylons either!

Now....figures of £3-4M being talked about for 50-60MW... Big bucks and as you say if upgrades in sub stations are required, or a long run to the grid connection, even more.
 

Bob

Member
Location
Co Durham
No LOA signed yet. The developers said that the DNO needs to calculate the connection cost first which costs several thousands of pounds (the developer is paying this thankfully)
Its not a LOA (letter of Authority) you need to sign. They will want and you want an Option Agreement to enter into a formal lease should planning permission be granted. You have nothing until that is signed. Take legal advice the developer should pay for it
 

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