RWE starts construction of large-scale battery storage project at two locations in North Rhine-Westphalia

• RWE is constructing one of Germany’s largest BESS, with a storage capacity of 235 megawatt hours
• RWE to invest approximately 140 million euros in this project at the power station locations in Neurath and Hamm
• The battery storage facility is scheduled to supply balancing energy from second half of  2024, and will also be deployed in the wholesale market

RWE has begun construction of one of Germany’s largest battery storage facilities at its power plant locations in Neurath and Hamm. The facility will have a capacity of 220 megawatts (MW) and storage capacity of 235 megawatt hours (MWh). A total of 690 lithium-ion battery blocks will be installed at the facility, involving an investment of approximately 140 million euros.

Roger Miesen, CEO RWE Generation:

“As the proportion of renewables in the electricity mix increases, so does the need for flexible battery storage systems. They balance out fluctuations in the electricity grid in seconds, which means they are the key to a reliable electricity supply. In terms of size and technology, the new large-scale battery storage facility in Neurath and Hamm is setting standards throughout Europe.”

Lars Kulik, member of the Board of RWE Power:

“With this battery storage facility, RWE is providing a major boost to structural transformation in North Rhine-Westphalia. By making practical use of the existing locations and grid connections, we are making the traditional power plant sites of Hamm and Neurath important partners for renewables.”

Klaus Krützen, Mayor of Grevenbroich:

“The decision in favour of Neurath is an important signal from RWE to the entire region. So even after the exit from lignite, Neurath will continue to be important in helping to stabilise the grid and ensure a reliable electricity supply.”

Marc Herter, Mayor of Hamm:

“The construction of the large battery storage facility at the Westfalen power plant once again underlines the tradition and importance of Hamm as an energy location. The large-scale battery storage facility secures the energy supply and forms an important foundation for the success of the energy transition. We are pleased that RWE is accompanying us on the way to a climate-neutral economy in Hamm.”

The BESS is scheduled to supply balancing energy to stabilise the electricity grid from second half of 2024. This will entail the plant taking excess power from the electricity grid and feeding it back into the system when required, in order to maintain the required grid frequency. The battery storage facility will also be deployed on the wholesale market. Electricity will be taken into the storage system if electricity prices are low, and conversely will be fed out when prices are high.

The planned battery storage facility can operate at its maximum capacity of 220 MW for over an hour. That is enough to charge the equivalent of about 4,000 EVs. The facility will also be virtually networked with RWE power stations in Germany, which will make it possible to control whether the storage units work alone or in conjunction with other power stations to supply balancing energy. The new battery storage facility thus optimises the use of RWE’s German power station portfolio across a range of technologies. In this regard, RWE benefits from its many years of experience with energy storage systems and is therefore taking care of the detailed planning, modelling, system integration and commissioning of the project directly and entirely on its own.

Neurath

In Neurath, batteries with a total capacity of 80 MW (84 MWh) will be installed on an area of around 7,500 m², which is the equivalent of about one football pitch. About 50 million euros of the planned total investment volume of 140 million euros will be invested in Neurath.

Hamm

Batteries with a total capacity of 140 MW (151 MWh) will be installed at Hamm-Uentrop, covering an area of 14,000 m². Hamm will benefit from investment of about 90 million euros of the planned total investment volume of 140 million euros.

Battery storage@RWE

Battery storage systems are an essential part of the energy transition because they store the leftover electricity resulting from overproduction in the grid and make it available again when it is needed. As one of the leaders of the energy transition, RWE develops, builds and operates battery storage systems in Europe, Australia and the US. RWE currently operates a total installed battery storage capacity of approximately 300 MW (380 MWh) and is implementing battery storage projects of more than 900 MW (2,300 MWh) worldwide. Globally, RWE aims to build three gigawatts of batteries by 2030.

In Germany, RWE commissioned its mega battery in Lingen and Werne, with a total capacity of 117 MW, at the beginning of 2023. It also plans to virtually connect the battery storage system with its run-of-river power plants on the Moselle River. In March, the company acquired British developer JBM Solar, with an advanced development pipeline of 2.3 gigawatts of battery storage projects. Following the commissioning of the Indeland solar farm with its 4.8-MW battery storage facility, RWE is currently constructing further battery storage projects of this nature at the Garzweiler open-cast mine. And RWE recently won an Australian tender for a long-term battery storage facility (50 MW/400 MWh).

Forward-looking statements

This press release contains forward-looking statements. These statements reflect the current views, expectations and assumptions of management, and are based on information currently available to management. Forward-looking statements do not guarantee the occurrence of future results and developments and are subject to known and unknown risks and uncertainties. Actual future results and developments may deviate materially from the expectations and assumptions expressed in this document due to various factors. These factors primarily include changes in the general economic and competitive environment. Furthermore, developments on financial markets and changes in currency exchange rates as well as changes in national and international laws, in particular in respect of fiscal regulation, and other factors influence the company’s future results and developments. Neither the company nor any of its affiliates undertakes to update the statements contained in this press release.