Energy aggregator Limejump has signed a power purchase agreement to manage generation from the Langwell hydropower plant near Ullapool, Scotland, as part of the former’s virtual power plant.
The PPA is with DHG Hydro, which has one of the largest UK portfolios of hydroelectric plants in operation or under development outside of the major utilities.
Under the terms of the deal, Limejump will provide the 1.2MW Langwell with wholesale energy market trading access, valued at £300,000 a year.
The addition of the Langwell hydro asset strengthens Limejump’s renewables-dominated virtual power plant (VPP), according to the aggregator.
With the PPA in place, Limejump can enter Langwell into the National Grid’s Balancing Market (BM) as part of its VPP aggregated balancing unit.
Langwell is the first hydro power plant that Limejump has used in its aggregated balancing unit.
Built in 2016, the plant comprises an intake, a dam, a 3km long pipeline, a powerhouse and an outfall allowing it to react to instructions in a similar fashion to pumped storage power plants.
According to Limejump the generation profile that can be achieved by such an asset can be optimised across wholesale and ancillary energy markets, to achieve peak return trading performance.
Limejump vice president of sales Joe McDonald said: “Including Langwell hydro power in our VPP, to combine with our other varied renewable technologies and battery storage assets, allows us to continue to advance our ability to replicate the traditional singular brick and mortar power plants and push for full decarbonisation and a sustainable energy future.”