| Energy
Beware developers off-loading grid connection rights , warns Roadnight Taylor
Farmers and landowners should be cautious about any offers from developers who are looking to off-load grid connection rights for battery storage schemes .
I ndependent power consultant , Roadnight Taylor , has issued the warning after a farmer contacted the firm for advice . The farmer had been approached by a developer – which was in financial difficulty – asking if he wanted to buy back the grid connection rights which the developer had secured on the farmer ’ s land – at a cost of more than £ 150,000 .
“ Landowners need to be very careful if offered grid connection rights ,” explains Hugh Taylor , chief executive at Roadnight Taylor . “ No matter what the fee , there can also be substantial financial obligations enshrined within accepted grid offers – and these represent risk above and beyond that of the capital being demanded .”
Although the site in question had grid connection rights attached , it was unsuitable for further investment . “ Had the farmer bought the rights , he would be more than £ 150,000 out of pocket , with no tangible chance of ever getting a battery storage scheme .”
This appears to be a new tactic being employed by developers seeking to claw back cash , warns Mr Taylor . “ This kind of behavior from developers is only likely to increase , as the heat in the battery storage market has attracted players who are less prudent and discriminating .”
Developers are particularly likely to try and sell connection rights for sites that are less financially viable . “ Any landowner or farmer being approached to buy grid rights in this manner should ask why the developer is trying to sell to them , rather than to the pool of known storage and power scheme investors .
“ It would be perverse if the developer had not first explored the more traditional avenue of disposal via the investor market .” Most likely , the developer will have been unable to drum-up interest in
All-Energy 2019 shaping up well
the site from the industry , and is therefore turning to the last resort – the landowner .
However , there just might be genuine opportunity arising from an offer to acquire grid connection rights . “ They should be approached on a case-by-case basis ,” says Mr Taylor . “ Landowners need to be aware that not every developer offer is going to be in their interest . This is
Exhibition space is selling well ahead of the position at the same time last year for All-Energy 2019 and the co-located Smart Urban Mobility Solutions ( SUMS 2019 ) being held at Glasgow ’ s SEC on Wednesday 15 and Thursday 16 May 2019 .
W ith nine and a half months to go before the duo of events open , we are greatly encouraged by exhibition sales which are running well ahead of where we were at this time last year ,” says the show ’ s Event Director , Jonathan Heastie of Reed Exhibitions . “ Importantly interest – and bookings – has been shown across all four of the show ’ s ‘ pillars ’: renewable and low carbon power ; energy efficiency ; low carbon heat ; and low carbon transport . They realise that coming on board early means that promotion via our much-viewed website , the All-Energy blog , and highly active social media campaign starts right now giving them many months of pre-show publicity .
“ Obviously announcements such as news that May will , for the foreseeable future , be CfD month every two years brings certainty to the industry ; and investment in more efficient , high quality buildings thanks to up to £ 12.5m of funding being made available through the industrial Strategy Challenge Fund helps prospective exhibitors see the worth of showcasing their products and services to our audience . We look forward to sharing more good news in the coming months .”
Some of the exhibitors from Germany , Italy ,
Norway , Spain , Sweden and the UK who have already confirmed their space booking include 2G Energy , Clarke Energy , Deutsche Windtechnik , Greenbyte , Ingeteam , Knights Brown Construction , Moventas Gears , PARAT Halvorsen , Powersystems UK , Senvion UK , Schneider Electric , Scottish & Southern Electricity Networks , Vensys Energy , Vestas Northern & Central Europe and Visualwind .
The All-Energy and SUMS 2019 Call for Papers will be published online in early October . Looking back
All-Energy 2018 and SUMS 2018 attracted a total audience of just over 7,000 ; 300 + exhibiting company ; nearly 500 speakers , including four Ministers ( the First Minister of Scotland ; the UK ’ s Minister for Energy and Clean Growth ; and both Scotland ’ s Energy and Transport Ministers ) in a packed and informative conference ; and compliments in plenty . A large number of the conference presentations can be downloaded free of charge from the shows ’ websites .
Further information on both events can be found on their websites at www . all-energy . co . uk and www . smarturbanmobilitysolutions . com
an unusual and worrying development and I would advise severe caution ; it ’ s vital that any case is looked at by an independent expert who understands the market . Roadnight Taylor is happy to look at any sites and assess their worth .”
20 | Farming Monthly | August 2018 www . farmingmonthly . co . uk