Legal description of land for energy storage power station

Why should you lease a site for a battery energy storage system?

Land is the most important resource for the development of battery energy storage systems. Several factors must be considered when considering the leasing of a site for a BESS project, some of the most important being: The size of the land required for a BESS project depends on the capacity of the battery system.

What is a standalone battery storage development?

Standalone battery storage developments typically involve a lease of the installation site with ancillary rights over the landowner’s retained land (the ‘Lease’). The Lease would usually be granted pursuant to an option agreement or conditional agreement for lease. Either of these routes would give the developer:

What is a battery energy storage system?

Battery Energy Storage Systems (BESS) are rapidly emerging as a critical component of the renewable energy landscape. As the demand for clean and reliable energy grows, BESS plays a crucial role in ensuring grid stability and optimizing energy utilization. Land requirements are a significant factor in the development of BESS projects.

Why are solar & battery storage lease rates increasing?

The increasing demand for land suitable for solar and battery storage projects has driven up lease rates in recent years, especially because of the incentives offered by the IRA Renewable Energy. As the industry expands, competition for land is intensifying, particularly in regions with favorable solar and wind resources.

When should a battery storage facility be co-located?

This Practice Note focuses on a ‘single landowner’ development where a new lease is granted for a stand-alone facility or where there is an existing lease in place and the battery storage facility is to be co-located on a site where the developer already has a lease.