Arenko has delivered an additional £1m of revenue per annum for every 50MW battery versus competitors and is pleased to release a performance update of battery assets using our Nimbus software and launch the Nimbus Portfolio Performance Tool.
Highlights
- Arenko is the top performing battery optimiser in UK year to date
- Assets using Arenko’s technology-led optimisation service capture over £1m excess revenue per annum for every 50MW battery versus market average
- Batteries optimised by Nimbus captured 8% higher revenue than closest competitor optimiser
- Our analysis is based on year to date (January to October 2022) performance of every operational battery in the UK, including estimated cost to serve
- Performance is adjusted to account for part year operations and is based on data from Elexon, National Grid, and EPEX
- Launch of Nimbus Portfolio Performance Tool which provides the most extensive and granular data set available, mapping the financial performance of every UK battery system, for every settlement period
- Provides a dataset of the financial performance of every operational UK battery
- First of its kind tool analysing the profitability of battery assets and including the estimated cost to serve across the entire battery revenue stack with model assumptions validated against the real performance of assets
- Tool can be used to review the performance of every battery, battery portfolio, optimiser, trading strategy, battery provider and battery size
Battery Performance Update
Arenko is delighted to announce that, in the year to date, batteries operated though our Route to Market service, using our Nimbus software, have generated a 14% higher battery return than the industry average, and an 8% higher battery return than the next closest competitor optimiser.
Assets optimised by Nimbus have delivered an industry leading average annualised battery return of £168k per operational MW per year, equivalent to more than £1m per 50MW battery per year above the market average.
This analysis highlights that Arenko’s technology-led optimisation service has consistently delivered market leading results in the period, across a broad range of assets, from multiple technology providers, and across a range of different trading environments.
Our analysis can be found below for the period January to October 2022:
| Number assets (category) | Operational MW | Average battery return per MW per annum | Arenko outperformance | Annual outperformance on 50MW asset equivalent | |
| Arenko | 6 to 10 | >100MW | £168K | ||
| Optimiser 1 | 1 to 5 | >100MW | £156K | 8% | -£598K |
| Optimiser 2 | 1 to 5 | >100MW | £152K | 11% | -£797K |
| Optimiser 3 | 1 to 5 | >100MW | £146K | 15% | -£1,065K |
| Optimiser 4 | 6 to 10 | >100MW | £145K | 15% | -£1,117K |
| Optimiser 5 | 6 to 10 | >100MW | £144K | 16% | -£1,161K |
| Optimiser 6 | 1 to 5 | >100MW | £143K | 17% | -£1,229K |
| Optimiser 7 | 11 to 15 | >100MW | £137K | 23% | -£1,554K |
| Others (<50MW each) | 25 | 275MW | £138K | 22% | -£1,497K |
| Total market | 88 | 1,665MW | £147K | 14% | -£1,032K |
Launch of Arenko’s Portfolio Performance Tool
Arenko is also delighted to launch the beta version of its Nimbus Portfolio Performance Tool. This marks the first tool of its kind to be made publicly available that extensively maps the financial performance across the full revenue stack (all wholesale trading and ancillary services[1]), including the estimated cost to serve of all UK batteries for every settlement period with model assumptions validated against the real performance of assets.
The result of over a year’s data science effort at Arenko, the Nimbus Portfolio Performance Tool was developed to increase confidence and transparency amongst customers and stakeholders and to enable greater understanding of underlying performance in the industry. This tool represents the most granular and extensive dataset available to assess financial performance, trading strategies and asset performance to enable robust decision making for asset owners, optimisers, traders, and investors in the rapidly growing and maturing UK energy storage market.
The Nimbus Portfolio Performance Tool consistently operates to a high level of accuracy enabling our customers to:
- Understand trading strategies of every battery asset in the UK across all markets in the revenue stack;
- Benchmark all optimisers, battery providers and asset sizes;
- Record the financial performance of every asset; and
- Understand the financial impact of downtime
Arenko’s Nimbus Portfolio Performance Tool is now available as a premium service. To sign up for the tool, please contact Darren Toner (Arenko’s Commercial Manager) at dt@arenko.group.
[1] Excluding capacity market revenue.
Rupert Newland, CEO, Arenko, commented:
“We are thrilled that Arenko’s Nimbus platform is substantially outperforming the industry average and is the number one ranked portfolio in the UK. This performance validates our focus on our technology and our team, and we look forward to continuing to deliver market leading performance for our customers and their investors.
“We also believe the release of our Nimbus Portfolio Performance Tool will be hugely beneficial for asset owners. It is an exceptionally powerful decision-making tool for the industry and we look forward to delivering this to our customers.”