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UTILITY Week 6th October 2017

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24 | 6TH - 12TH OCTOBER 2017 | UTILITY WEEK Operations & Assets Analysis G uests at the opening of the UK's first subsidy-free solar farm were greeted with a somewhat murky morning as they gathered in a muddy field in Bedford- shire for a tour of the site. Donning hi-vis vests and plastic shoe covers, the throng of around 30 journal- ists, investors and representatives of project developer Anesco, National Grid, UK Power Networks and trade body the Renewable Energy Association gathered to hear energy minister Claire Perry speak. Perry breezed in undeterred by the clay clinging to her well-worn boots, and joked that the site was appropriately named. "I was very keen to come today," she said, adding that she thought the event was "historic". "I spent last week in New York at Climate Week and the UN general assembly, where we heard the prime minister talking about the importance of dealing with climate change and the Paris Agreement. "That all sounds wonderful and is very aspirational. But what is really tangible is the progress Britain is making thanks to the people here today and thousands of others who are really delivering on this aspiration for a low-carbon future," she said. Perry's excitement at the project is under- standable. For a government whose enthusi- asm for renewable energy always carries the caveat that it must be affordable, a subsidy- free renewable plant is a dream come true. A landmark development The 10MW Clayhill plant has been developed by renewable energy and storage developer Anesco. Panels on the 18 hectare site will generate 9,634MWh of renewable electricity per year, enough to power 2,500 homes. Clayhill is a landmark development, pav- ing the way for a future where solar farms do not need to rely on subsidies, according to the appropriately named Steve Shine, Anesco executive chairman. "It proves that the gov- ernment's decision to withdraw subsidies doesn't have to signal the end of solar as a commercially viable technology," he said. A meeting between Anesco and its supply chain at the outset of the project turned out to be fundamental for the scheme's develop- ment and viability, according to Lily Coles, Anesco technical director. The developer asked suppliers how the project design could be improved to mean it would not need sub- sidy, and looked at all aspects including design, technical specifications, the latest technology and the costs of components. Rather than the manufacturers bringing new products to Anesco, the developer has been working with manufacturers to develop the best solution for its sites, she said. "For example, we've been working with BYD – who manufactured the batteries – for two and a half years to come up with a bespoke solution for us." Key to the financial viability of the pro- ject are five energy storage units with a total capacity of 6MW. The batteries can access three separate revenue streams: fast fre- quency response; capacity markets; and tri- ads, according to Coles. Clayhill also benefits from being next to one of Anesco's existing projects, the 5MW Hermitage solar farm, which opened in 2016 when it could still qualify for subsidy under the Renewables Obligation (RO). The co- location also meant that Clayhill's grid con- nection was cheaper, Coles explained. The project is also using 135 1,500V solar inverters, manufactured by Chinese com- pany Huawei. This is the first European pro- ject using the technology. The technology will now be rolled out to other sites, said Coles. Anesco is already working on replicat- ing the model used at Clayhill at five solar farms. With a portfolio of 100 solar sites in the UK, the company has plenty of opportu- nity for co-locating new plants incorporating storage with sites that already receive sub- sidy, and can share infrastructure and grid connections in the same way. Prohibitively risky While few would argue with Anesco's achievement, the specific circumstances of the site and its business model mean it is not necessarily easy for other solar developers to follow suit. Renewable Energy Association chief executive Nina Skorupska says: "There will always be people who innovate, whether there's a subsidy or not. But we still need some money so we don't have a boom-bust cycle." That boom and bust is clearly evident from government data on solar farm deploy- ment. No plants over 25MW have been built since last year, and there has been no Subsidy-free solar is here Clayhill solar farm in Bedfordshire is the first in the UK to operate without subsidies, but its success will not be easy to replicate. Catherine Early looks at the project to find out why.

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