News | Headlines
JERA Nex bp in talks about 4 GW offshore wind projects
Germany Wind power
JERA Nex bp, a joint venture of bp and JERA, is reported to be in discussions with the German federal government over the future development framework for its Oceanbeat East and Oceanbeat West offshore wind projects, which together are expected to deliver around 4 GW in the North Sea. The projects were awarded in Germany’s 2023 offshore wind auction round and form part of
JERA Nex bp’s broader development pipeline. The company’s German portfolio also includes Arcadis Ost 1, which is already operating, while its wider offshore wind business spans projects across Europe and Asia. JERA Nex bp said that its combined pipeline and secured leases amount to about 13 GW of potential capacity, with development concentrated in North West Europe, Australia and Japan. JERA Nex bp’s
German assets form a key part of its strategy to build a portfolio combining operating projects with a substantial development pipeline.
The reported talks come as German offshore wind policy and project economics continue to be closely watched by developers, lenders and turbine suppliers as an indicator of how the wider European market may evolve in the coming years.
Rolls-Royce to build four BESS facilities in Latvia
Latvia Energy storage Rolls-Royce Power Systems and Sunly, a renewable energy company operating in the Baltic region, have formalised contracts for the construction of four large-scale battery storage facilities in Latvia, totalling 490 MWh of capacity. The signing was announced at the opening of Sunly’s new solar park in Valmiera, one of Latvia’s first hybrid energy parks. The first of the battery systems, located in Valmiera, is due to be operational in the first quarter of 2027 (Q1 2027), with the remaining three projects due to follow later the same year. Under the agreement, Rolls-Royce will deliver a full solution using its mtu EnergyPack system alongside its mtu
The first of the battery systems is due to be operational in Q1 2027.
EnergetIQ software platform. These technologies manage energy storage and release to support grid stability and help balance supply and demand. Rolls-Royce will act as general contractor, providing a single
point of responsibility throughout the design, supply and construction process. The partnership will continue beyond Latvia, with both parties having signed a memorandum of understanding for an additional 300 MWh battery storage project in Risti, Estonia. Rolls-Royce Power Systems says it is currently supplying mtu battery storage solutions for more than 200 projects globally. In the Baltic region, it expects its battery storage installations to exceed 1.5 GWh once contracted projects are completed. A battery storage system supplied by Rolls-Royce has been in operation in Latvia since 2025 for transmission system operator Augstsprieguma tikls.
JV ‘will unlock 100 MW of distributed capacity’
USA Demand management Google and virtual power plant operator Voltus have announced a three-year ‘Bring Your Own Capacity’ agreement to aggregate up to 100 MW of distributed energy resources each year across the PJM Interconnection grid in the US. The programme will draw on the capacity of batteries, smart thermostats and other flexible assets from homes and businesses, with Voltus paying participants for reducing demand when the grid needs it.
The deal is designed to create a Google- funded virtual power plant that behaves like a decentralised power station, cutting grid stress at peak times without waiting for new large-scale generation to be built. Google says the approach can help meet rising data centre demand more affordably and reliably while also creating direct economic benefits for local customers. The companies frame the partnership as a model for how large electricity users can support grid expansion through
smarter use of existing infrastructure. Google has also been widening its own demand response efforts, including work aimed at unlocking 1 GW of flexibility from its data centres through utility agreements. Voltus chief executive Dana Guernsey said the agreement could become a blueprint for other high-load customers, while Google’s Michael Terrell said the company wants its energy growth to translate into a more reliable and affordable power system for communities.
Drax brings Hirwaun 299 MW OCGT plant online UK Gas power
Drax has completed commissioning of its Hirwaun power station in South Wales and taken over commercial control from developer Metlen Energy & Metals. It is the first of three 299 MW open-cycle gas turbine (OCGT) plants Drax is developing in England and Wales.
The UK power system needs flexible plants that can respond quickly when wind and solar output falls. Drax says the three
OCGTs together will provide about 900 MW of capacity once all are complete, with revenues supported by peak generation, system services and long-term Capacity Market contracts running to 2039. The plants have also been designed to operate as synchronous generators. They incorporate a clutch mechanism that makes it possible to supply system inertia and voltage control without running the gas turbine. Inertial running is increasingly
10 | May/June 2026 |
www.modernpowersystems.com
necessary as more intermittent renewables connect to the grid.
Drax chief executive Will Gardiner described the commissioning as a milestone and said the company is also looking at battery storage and other flexible energy supply investments. The move reflects a broader shift in the UK power market, where the value of flexibility is rising alongside the buildout of renewables and the need to maintain energy security.
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