Energy Storage

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Our early work in designing and implementing modern energy markets and subsequently guiding the sector in the push to decarbonisation means CMS is not only a transactional or project adviser to the sector, but uniquely placed to help shape its present and future. 

CMS has a market-leading energy storage practice with extensive experience advising in relation to a variety of storage projects, including standalone, co-location and behind-the-meter projects, across a range of technologies.

Our recent experience related to energy storage includes advising:

  • Zenobe Energy on its financing for a 100MW battery project in northwest England with Santander and subsequent financings, including advising on optimisation and BESS and BOP contracts. The planned project in Capenhurst, Chester, would be “Europe’s biggest” grid-connected battery when it begins operations in April 2022.
  • Penso Power on its joint venture with BW Group to fully fund the build-out of Penso Power’s pipeline of more than 3GWh of large-scale battery storage projects in the UK.
  • Statera on the disposal of a 300MW pre construction battery storage portfolio. Our role included drafting and advising on linked EPCM and O&M arrangements.
  • Field on the acquisition and equity and debt financing (including drafting and negotiating EPC contracts) of various pre construction battery storage projects.
  • Tesla on the sale and setting up of a battery energy storage system in Slovenia, including the performing of a turnkey EPC/installation services.
  • EDF Renewables UK in partnership with Octo Energy on identifying and delivering 200MW of hybrid solar and battery storage projects in England and Wales.
  • Gridserve on the rollout of its ultra-fast EV charging concept, known as Electric Forecourts, powered by solar power and battery storage.
  • Eelpower on various aspects of its energy storage portfolio, including project acquisitions, battery storage supply arrangements, financing structuring and revenue stream arrangements, including participation in the Balancing Mechanism.
  • Low Carbon on the development of two battery storage projects with a combined capacity of 50MW, including advising on the EFR contract, negotiating the bespoke EPC and O&M arrangements and advising on the resulting joint venture with VPI Immingham.
  • Anesco on the purchase of four c.10MW battery storage projects from Green Hedge that were pre-qualified for the 2016 T-4 Capacity Market, including considering Capacity Market and grid connection issues.
  • Equinor on the co-location of a 1MWh lithium-ion battery with the hywind floating offshore wind farm, including considering issues in relation to the RO and the related offtake arrangements.
  • Pivot Power on the development of its multi-GW portfolio of battery storage projects, which will be the first transmission-connected battery projects in the UK, including advice on regulatory, structuring, funding issues and the procurement of development and operational contractors.

To find out more about other related services you can visit the Energy & Climate Change expertise section

"They are so knowledgeable in this space."

Chambers, 2021

"They understand the pressures we face and go above and beyond the call of duty all the time."

Chambers, 2021

"Leaders in energy transition and provide excellent technical and commercial support to new energy projects. Overall they offer the full package for 21st century energy and natural resources clients."

Legal 500, 2022

"I was impressed with the way they put together a team with a variety of expertise and experience in the room and it came across seamlessly. There are not many firms that can deal with environmental issues in such a complete way and I was highly satisfied and appreciative of the result achieved."

Legal 500, 2022
07/12/2023
COP28: how the law can unite, act and deliver the UN SDGs
The law, and the work of lawyers, should enable countries, communities and companies to deliver the changes needed to achieve the UN SDGs and the Paris Agreement. As COP28 urges us to unite, act and deliver, Advocates for International Development (A
07/03/2024
CMS Expert Guide to renewable energy
The Renewables Sector is now many decades old and considered a mature investment sector by many. Yet the issues it faces continue to evolve and grow at pace with the evolution and growth of the sector itself. Some of the issues emanate from broad geo
28/06/2022
CMS advises on significant UK battery storage financing
International law firm CMS has advised Harmony Energy Income Trust plc (the “Company”), an externally managed company that invests in energy storage assets in Great Britain, in relation to a £60,000,000...

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29/02/2024
CMS Co-location of storage and renewable generation breakfast seminar
Given the increasing industry appetite for the co-location of battery storage with renewable generation, and in light of CMS’ recent experience in this space, we will be hosting a breakfast seminar...
08/12/2023
Key takeaways from Energy Day at COP28
As a young professional in the legal field, attending COP28's Energy Day was an eye-opening experience that provided valuable insights into the future of environmental policies and their potential impact. Day 6 of COP28 showcased a collective determination to address the pressing challenges of our time. The discussions emphasised the urgency of transitioning to sustainable energy sources, with a focus on innovation, collaboration and policy frameworks. Supply chain planning, streamlining approvals through a clear permitting process and advocating for mandatory carbon pricing were some of the other key points discussed in the various panel sessions we attended. Another noteworthy aspect was the emphasis on international co-operation and the role of legal frameworks in facilitating cross-border partnerships. Governments were urged to think strategically beyond the present, emphasising long-term planning for renewable energy expansion.  COP28 Key Takeaway  The key takeaway for me was not just the global agreements discussed but also amplifying the voices of those on the front lines – farmers, coal workers, the youth, indigenous people and others. What set this COP apart was its focus on showcasing these voices, by, for instance, dedicating a full day to discuss the impact of climate change on health. These voices are essential in translating agreements into on-the-ground success and bridging this gap between policy decisions and the real life experiences of those directly affected by climate change is our collective responsibility, ensuring the protection of our planet for present and future generations. The Impact on Legal Practice The outcome of COP28 may lead to more stringent regulations and compliance requirements, presenting both challenges and opportunities. Legal practitioners will play a pivotal role in navigating these complexities, offering counsel to businesses and other organisations seeking to align their operations with emerging environmental standards, one way of doing this would be through using contracts as a mechanism to de-risk. As we move forward post-COP28, the legal community's commitment to guiding clients through these evolving landscapes will be instrumental in ensuring progress in the renewable energy transition. In conclusion, COP28 has been a catalyst for reflection and action. It is an exciting time to be in the legal field, with the potential to be at the forefront of shaping legal frameworks that promote a more sustainable future.
30/11/2023
Views from the Energy Leaders’ Summit
Wednesday 6 December saw CMS host the Energy Leaders’ Summit on behalf of the Global Success Partnership at CMS Dubai. The event welcomed Edward Hobart, British Ambassador to the UAE, and Andrew Bowie MP, UK Minister for Nuclear and Net Zero, who shared their perspectives of the UK’s role as a global leader in climate action and energy transition, and the opportunities for collaboration with the UAE and other countries in the region. The panel discussion covered a wide range of topics on the various aspects of the energy transition - the role of innovation, finance, policy, and partnerships in achieving net zero emissions, and the challenges and opportunities for industrial decarbonisation and reskilling.  Thank you to the panellists:Munir Hassan, Head of Energy & Climate Change, CMSAnnika Ramsköld, Chief Sustainability Officer, VattenfallAngela Churie Kallhauge, Executive Vice President and Head of the COP28 Delegation, Environmental Defence FundJan Spin, President of Americas, Blue Green Water TechnologiesAnna Hancock, Executive Director, Pollination Group, AustraliaLeon Kamhi, Executive Director, Head of Responsibility, Federated Hermes Limited A huge step forward in the reduction of methane The Global Methane Pledge made at COP28 has been joined by over 100 countries and aims to accelerate the implementation of existing and new measures to reduce methane emissions, such as capturing and using methane from landfills and oil and gas operations, improving waste management, and promoting low-emission agriculture. The World Bank is set to roll out a minimum of 15 country-led programs within the next 18 months to slash up to 10 million tons of methane (over investment lifespans). So, lots of positive messages about reducing methane. The sense on the panel was that it was a huge step forward that methane was discussed to such an extent and the commitment that some of the largest oil companies have made to reduce methane could be a game changer. The International Energy Agency (IEA) and the Environmental Defense Fund (EDF) have an important role in monitoring and verifying the methane reductions using satellite data and we heard about the need for more funding and innovation to support methane abatement in low- and middle-income countries, especially in the oil and gas sector.  Reskilling is a huge opportunity  The panel discussed the social and economic impacts of the energy transition, and the need for a just and inclusive approach that considers the needs and aspirations of the citizens and the workers. We heard about the importance of reskilling and upskilling the workforce, sharing best practices and lessons learned from different countries and regions. Where the infrastructure can be easily transformed to support clean energy, this reskilling presents an opportunity to both businesses and local communities. However, panellists reflected that this was not always possible, so some communities may struggle to thrive if their current livelihoods cannot be transitioned to clean energy. The role of investors and financial institutions There was considerable discussion about the role of investors and financial institutions in supporting the transition, and the need for consistent and credible disclosure and reporting stand­ards. There are challenges and opportunities for creating new revenue streams and business models, and the role of carbon markets and social bonds in financing the transition. For the investment infrastructure to be created so that investors can support governments in delivering their programmes, it needs to be easier for private investment to entertain the risk. Blue Green Water Technologies remove harmful alga blooms from lakes and oceans. These projects are often financed by companies using carbon credits and this source of funding has enabled local communities to benefit from cleaned bodies of water. Biodiversity has dramatically increased, as has the value of land. Creative funding solutions can benefit many different stakeholders by enabling projects such as these. Climate risk is an accelerating risk, and this should be considered by financial institutions. As they calculate the value of climate risk and its impact on their capital allocation, remuneration and expenses, the valuations must adjust. The view on disclosures and standards was that their have a role, but any investment should lead to a change in behaviour, not just to be disclosed as part of disclosure requirements. Making disclosures is a huge investment for a business and so the sense was that businesses should avoid measuring in a certain way purely for disclosures instead of really delivering change and solutions. The role of governments Finally, we heard about the role of governments in facilitating and enabling the transition, and the need for collaboration and cooperation at all levels. We learned about the importance of setting clear and ambitious targets and policies and aligning them with the global goals and commitments. We also heard about the importance of engaging and empowering the stakeholders, especially the non-state actors, and creating trust and confidence in the transition. COP28 has a role as a platform for showcasing solutions and forging partnerships. The Leadership Group for Industry Transition is one example of how governments can be brought together with companies and civil society to support and accelerate the transition to net zero emissions in industry and create new markets and jobs. Communities will make the difference The discussion closed with some reflections on the importance of different communities in making the energy transition happen. Communities of all types, such as those who attended the Energy Leaders’ Summit, will come together to use the technology available to translate the deals and agreements into action. We need government support to remove the brakes, and we need actors of all types to come together. We need people to question, to demand more and to change behaviour.  
07/11/2023
Funding + reskilling + data + consumer engagement = energy transition...
 
07/11/2023
COP28 - Climate finance and the launch of Climate Investment Funds (CIF)...
Climate finance took centre stage on the fourth day of the COP28 climate summit in Dubai. Building on the obligations of The Paris Agreement, banks, regulators and top officials at the COP28 climate summate committed to progressing the mobilization of climate finance from a variety of sources, including public, private and alternative sources of financing.  
06/11/2023
“Debt-for-nature” swaps: a huge potential boost for the debt capital markets?
 
06/11/2023
Adaptation finance: more clarity for the financing and development of low...
 
01/11/2023
COP28
CMS contributed to the conversations at, and around, COP28 by hosting a series of events to collaborate, debate and look forward. Here, our experts publish soundbites and commentary to share their perspectives on the impacts of the announcements and agreements. 
01/11/2023
COP28: how the law can unite and act to deliver the UN SDGs
Thursday 7 December saw a panel event to discuss COP28: how the law can unite and act to deliver the UN SDGs, hosted by Advocates for International Development and supported by Clifford Chance, CMS, Kirkland & Ellis and Linklaters.
31/10/2023
Co-location of storage and renewable generation
Given the increasing industry appetite for the co-location of battery storage with renewable generation, and in light of CMS’ recent experience in this space, we will be hosting a breakfast seminar...
20/06/2023
CMS closes first of a kind BESS Solar Co-location Project Financing
International law firm CMS has advised DIF Capital Partners (DIF) on the project financing of a 720MW co-located solar generation and battery energy storage system (BESS) portfolio in the UK. DIF, together...
23/02/2023
CMS advises on UK battery storage debt financing
International law firm CMS has advised Harmony Energy Income Trust plc (HEIT), an investment company that invests in battery energy storage systems in the UK, in relation to an amendment and restatement...