The investment manager Quinbrook Infrastructure Partners (Quinbrook) announced the g of a record financing for Cleve Hill Solar Park (Cleve Hill), the largest solar energy and battery storage project under construction in the UK and the first to receive approval as a Nationally Significant Infrastructure Project (NSIP). o681q

The 373 MW solar energy storage system (BESS) and 150 MW battery storage (BESS) in Kent are expected to be operational in 2025.

According to the company, the project financing, which combines a £218.5 million term loan and a £20 million VAT credit line, is provided by Lloyds and NatWest. This is the largest solar and battery storage project ever closed in the UK and has been managed in two tranches: the term loans for solar photovoltaic energy were completed in August 2024, and the financing for the BESS installation will be completed in March 2025.

Cleve Hill received development approval in May 2020 and is expected to contribute to a reduction of carbon emissions by over 142,000 tons during its first year of operation, while also aiming to generate a net biodiversity gain of over 67%. The project is also expected to create more than 2,500 direct and indirect jobs throughout its lifetime and generate over £114 million in local socioeconomic benefits.

Keith Gains, General Director and UK Regional Leader for Quinbrook, commented, "The revenue contracts obtained for the project are crucial to securing its financing. In addition to securing the largest award for a solar project in the UK in the fourth round of the government’s Contract for Difference (CfD) auction program, with a 15-year contract, and the historic power purchase agreement with Tesco PLC for 65% of the solar generation, the project will also benefit from a 15-year Capacity Market Agreement for the BESS. This agreement guarantees that the project will receive compensation for having its energy generation capacity ready and available during periods of high demand, thus improving grid reliability. The Capacity Market Agreement raises the project’s total contracted and indexed revenue to over £480 million."

Meanwhile, James Taylor, Director of Infrastructure and Project Finance at Lloyds, stated, "This flagship energy infrastructure project further strengthens the UK's appeal as an investment destination. As one of the UK’s largest retail and commercial banks, we collaborate with companies across the country to projects that will contribute to economic growth, energy security, and job creation."