Pacific Green Acquires 51% Stake in 500 MW Energy Storage Portfolio

Pacific Green, an energy storage project developer, through its wholly-owned subsidiary, Pacific Green Battery Energy Park (Italia), acquired a 51% stake in five projects totaling 500 MW/ 2,800 MWh in Italy from Sphera Energy Srl. The remaining 49% of the shares of each project will be acquired after achieving certain development milestones.

Mahael Fedele, Sphera Energy’s Partner and CEO said: “Following our launch 12 months ago as one of Italy’s first fully dedicated battery storage development platforms, we are thrilled to enter into this partnership with Pacific Green to deliver high-quality projects in the rapidly growing Italian energy storage market.”

The first 100 MW battery energy storage system (BESS) project in Campania has been submitted to the Ministry of Environment and Energy Security for permitting and the remaining four will be finalized in the coming months.

Final permitting for all five projects is anticipated in Q4 2024, with design and construction to be managed by Pacific Green. The projects will begin their 35-year operating life in late 2025.

Scott Poulter, Pacific Green’s Chief Executive, added: “Building upon our success with the development and sale of Pacific Green’s 100MWh Richborough Energy Park and the development of the 375MWh Sheaf Energy in the UK, Italy represents the next step in Pacific Green’s European expansion into other markets where battery assets will be key in enabling National and EU Net-Zero targets. In Italy, where market conditions favor longer duration projects, we expect this portfolio to have an energy capacity of between two to three-gigawatt hours.”

In November, Pacific Green Technologies secured £120 million (~$146 million) senior debt facility for 249 MW/ 373.5 MWh Sheaf Energy Park battery energy storage project in Kent, England.

According to Mercom’s 9M and Q3 2023 Energy Storage and Smart Grid Report, Energy Storage project funding in 9M 2023 saw a record $6.8 billion raised in 26 deals compared to $5.4 billion raised in 34 deals in 9M 2022.