Energy trading firm Danske Commodities has entered into a balancing services agreement with renewable energy developer Low Carbon for the Feldon Vale solar farm in the United Kingdom, the companies announced on Tuesday.
Under the deal, Danske Commodities will provide market access and balancing services for the 49.9-megawatt solar installation, which is currently under development by Low Carbon. The agreement is aimed at ensuring the efficient integration of the solar farm’s output into the electricity grid.
The Feldon Vale project is expected to generate enough electricity to supply the equivalent of more than 16,500 British households. The energy produced will be delivered directly to the local distribution network through underground cabling.
“We are delighted to finalise our first balancing agreement with Danske Commodities for Feldon Vale solar farm,” said Marco Verspuij, head of power management at Low Carbon. “Forming strategic partnerships is critical as Low Carbon continues its growth as an IPP and this arrangement reflects our ambition to accelerate the energy transition by leveraging the latest technology to optimise our renewables portfolio to its full potential.”
Sofie Duedahl, head of European origination at Danske Commodities, noted the company’s experience in managing variable energy generation. “Danske Commodities has a proven track record in balancing assets with intermittent energy generation, benefitting from our market-leading capabilities within algorithmic trading and weather analysis,” Duedahl said.
The agreement marks a step forward in supporting the integration of renewable energy sources into the UK power system amid ongoing efforts to decarbonise the energy sector.
