In Great Britain, battery energy storage revenues increased 26% in October - to £58k/MW/year. This means batteries earned their highest revenue since this time last year. High wholesale prices and the highest price spreads since December 2023 were critical to this increase.
October revenues were the highest in 2024
The previous highest revenue month of the year was April, where batteries earned £54k/MW/year. Revenues in October have exceeded this by £4k/MW/year. In addition to this, October revenues were a 26% increase from September, mainly due to high wholesale revenues. This means battery revenues have continued the yo-yo trend seen in recent months, where revenues have risen and fallen month on month.
Despite the increased overall revenues, batteries earned their lowest Capacity Market revenues in three years at £7.7k/MW/year. The reduction follows the start of the new Capacity Market delivery year, where the value of agreements is lower than previous auctions. However, increased Balancing Mechanism and frequency response revenue helped offset the reduced Capacity Market revenue.
