australiaen
UK hotel runs on battery power

UK hotel runs on battery power

21-01-2019 | Stunning statistics
A battery the size of a delivery truck is being used to power a UK hotel, cutting its carbon footprint while saving money.

The Gyle Premier Inn in Edinburgh has installed the 100-kilowatt battery to help power the 200-room hotel at busy times. The lithium ion battery is three meters cubed in size and weighs five tonnes, making the van-sized unit one of the largest batteries in use in the country.

What has happened?

The battery takes two hours to charge using power drawn from the national grid during off-peak periods which is then used to provide electricity for the hotel during peak times for up to three hours. It therefore enjoys a net gain of an hour’s use of electricity, while simultaneously reducing the peak-hours strain on the grid.

Using the battery will save the hotel about GBP 20,000 a year in energy costs while also reducing its carbon footprint. It forms part of parent company Whitbread’s commitment to cut its carbon emissions in half by 2025.

Stay informed on Sustainability Investing with monthly mail updates
Stay informed on Sustainability Investing with monthly mail updates
Subscribe

Why is it important?

Scotland is a major producer of renewable energy, sourcing much if its electricity from wind and solar power. However, one drawback of renewables is that unlike burning coal, wind speeds and sunshine levels can be unreliable, so using batteries can successfully plug the gap in energy availability.

Batteries can also be used for years and their core components recycled once they come to the end of their productive lives. Hotels, and the commercial real estate sector in general, have been blamed for being major contributors to global warming, partly due to the heat they generate, making energy-saving measures essential.

What does it mean for investors?

“Industrial batteries used by, for example, telecom operators, utilities and the real estate sector, have great potential to lower the overall global carbon footprint,” says Chris Berkouwer, Portfolio Manager with Robeco Global Stars Equities.

“These types of energy storage systems help power grids run electricity more efficiently while also catering for renewable energy integration into the grid. Renewable energy players such as wind turbine makers and solar companies are actually joining forces with the car battery industry to address erratic electricity output.”

“Investment opportunities abound, albeit a crowded area too with many competitors hungry to get a piece of the pie. Chemical companies providing active materials for battery use as well as industrials able to develop large scale production lines for battery producers, are likely best positioned.”

Stunning statistics
Stunning statistics

Every month we look at stunning statistics from the world of sustainability. What do they mean? What is the impact for investors?

Read all articles
Subjects related to this article are:

Disclaimer

BY CLICKING ON “I AGREE”, I DECLARE I AM A WHOLESALE CLIENT AS DEFINED IN THE CORPORATIONS ACT 2001.

What is a Wholesale Client?
A person or entity is a “wholesale client” if they satisfy the requirements of section 761G of the Corporations Act.
This commonly includes a person or entity:

  • who holds an Australian Financial Services License
  • who has or controls at least $10 million (and may include funds held by an associate or under a trust that the person manages)
  • that is a body regulated by APRA other than a trustee of:
    (i) a superannuation fund;
    (ii) an approved deposit fund;
    (iii) a pooled superannuation trust; or
    (iv) a public sector superannuation scheme.
    within the meaning of the Superannuation Industry (Supervision) Act 1993
  • that is a body registered under the Financial Corporations Act 1974.
  • that is a trustee of:
    (i) a superannuation fund; or
    (ii) an approved deposit fund; or
    (iii) a pooled superannuation trust; or
    (iv) a public sector superannuation scheme
    within the meaning of the Superannuation Industry (Supervision) Act 1993 and the fund, trust or scheme has net assets of at least $10 million.
  • that is a listed entity or a related body corporate of a listed entity
  • that is an exempt public authority
  • that is a body corporate, or an unincorporated body, that:
    (i) carries on a business of investment in financial products, interests in land or other investments; and
    (ii) for those purposes, invests funds received (directly or indirectly) following an offer or invitation to the public, within the meaning of section 82 of the Corporations Act 2001, the terms of which provided for the funds subscribed to be invested for those purposes.
  • that is a foreign entity which, if established or incorporated in Australia, would be covered by one of the preceding paragraphs.
I Disagree