AXA IM Alts has acquired a 50% stake in a 500MW battery energy storage system (BESS) in South Lanarkshire, Scotland, from Copenhagen Infrastructure Partners (CIP).
The Coalburn 1 project, which was acquired by AXA IM Alts on behalf of clients, marks the firm’s debut investment in the UK energy storage sector.
Once commissioned, the asset will be the largest of its kind in Europe. CIP will continue to lead project delivery, with completion expected in early 2026 once Coalburn 1 becomes operational.
The project’s revenues are underpinned by a 10-year off-take agreement, providing it with a source of secured revenues, alongside two capacity market contracts of 15 years (300MW) and seven years (75MW).
Mark Gilligan, head of infrastructure at AXA IM Alts, said: “Our investment in Coalburn 1 marks a significant milestone as we enter the UK energy storage market, reinforcing our commitment to supporting the transition to a zero carbon economy. Battery storage infrastructure is critical to achieving national energy security and unlocking the full potential of renewable energy, and we look forward to working with experienced leaders of the sector to deliver resilient, long-term value for communities, our investors and the environment.”
