Copenhagen Infrastructure Partners has announced the signing of an agreement to sell 50% of its stake in the Coalburn 2 project to AIP Management. The transfer concerns a 500-megawatt lithium-ion battery currently under construction in South Lanarkshire, Scotland. The project is one of the largest energy storage systems in development in Europe. The transaction was concluded on behalf of the Copenhagen Infrastructure IV fund, managed by CIP.
A high-capacity asset with secured revenues
The Coalburn 2 project is designed to provide two hours of storage capacity, or 1 gigawatt-hour, and already has a 10-year optimisation agreement in place with energy provider SSE, as well as a 15-year capacity contract. These agreements ensure a stable revenue base while maintaining exposure to market fluctuations. The transfer to AIP will be completed upon site commissioning, currently scheduled for 2027.
Part of a 1.5 GW portfolio in Scotland
Coalburn 2 is part of a set of three BESS (Battery Energy Storage System) projects connected to the national grid, co-developed by CIP and Alcemi. Together, they represent a total capacity of 1.5 gigawatts and a combined storage capacity of 3 gigawatt-hours, enough to power more than 4.5 million households for two hours. CIP is also planning to develop a further 4.5 gigawatts of storage projects across Scotland and England.
AIP accelerates its energy storage footprint
For AIP Management, this operation is part of a targeted investment strategy focusing on ready-to-build or operational assets, thereby reducing early development risk. The Danish firm recently invested in a 2.4 gigawatt-hour portfolio of under-construction or operational BESS projects in the United Kingdom. To date, AIP’s investments amount to approximately 7 gigawatts of combined capacity.
A growing global portfolio for CIP
CIP continues to strengthen its position in the global storage market, with a diversified portfolio covering the United States, Europe and Australia. In the United Kingdom, the company holds more than 25 gigawatts of energy projects under development, representing over £40 billion ($48.82bn) in future investment potential. Coalburn 2 joins its Coalburn 1 and Devilla projects, forming a strategic cluster in the UK energy landscape.
