The Scottish National Investment Bank has committed £50m to acquire a minority interest and support construction of the Devilla Battery Energy Storage System (BESS) being developed by Copenhagen Infrastructure Partners (CIP). The Nuclear Liabilities Fund (NLF) has also taken a stake in the Fife-based scheme.

As Scotland produces increasing volumes of clean power, the transmission system can face bottlenecks moving electricity to the rest of the UK. That can lead to curtailment, with wind and solar generators asked to reduce output to protect the grid. Battery storage helps by absorbing surplus electricity and discharging it when required, addressing both curtailment and intermittency.

Sited near Kincardine, Devilla is a 500MW, two-hour lithium-ion facility and one of three Scottish battery projects being co-developed by CIP and London-based Alcemi. It is scheduled to begin operations in early 2028 and is expected to be among the largest systems of its kind in Europe.

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The project benefits from a 10-year optimisation agreement with SSE plc and a 15-year capacity market contract, providing revenue visibility and a stable base for returns while retaining exposure to market upside.

Nischal Agarwal, Partner at CIP, said: "As CIP's development and construction portfolio of UK BESS projects continues to progress and grow, we look forward to welcoming the Scottish National Investment Bank and Nuclear Liabilities Fund as new equity partners on our Devilla site. Once commissioned in 2028, Devilla will be one of Europe's biggest operational BESS projects. The delivery of Devilla, alongside CIP's Coalburn 1 and 2 projects, will improve the UK's energy security and reduce costs for British consumers through enhanced system flexibility and access to more low-cost renewables."

Robin Tayal, Investment Director at the Scottish National Investment Bank, said: "Battery energy storage systems are a critical part of improving energy security and stability. The Devilla site is strategically located and will support renewable integration, grid stability, and system flexibility. We are pleased to partner with CIP and the wider investor group to support the delivery of this important asset."

Melissa Hope, Chief Executive of Nuclear Liabilities Fund, added: "NLF is pleased to partner with CIP and the Bank on this battery storage project. This investment aligns with our strategic investment objectives while supporting UK energy security and economic growth."

The Bank's commitment is its second collaboration with CIP, following a joint investment of up to £50m in the Pentland Floating Offshore Windfarm alongside the National Wealth Fund and GB Energy. The project secured a contract for difference in the AR7 offshore wind auction round.