The agreements match the pricing terms, measured in £/MW, of earlier deals announced with Statkraft Markets and Markel Bermuda in early July. Once fully implemented, and following the expiration of two-year tolling agreements with Octopus Energy covering 568MW, approximately 889MW—or 83% of GRID’s 1,072MW operational portfolio—will secure minimum annual contracted floor revenues of £40 million. Additionally, GRID anticipates £11 million in contracted revenues from the Capacity Market in 2026, which is not included in the floor revenue figures.
John Leggate, GRID’s chair, commented: “The floor agreements announced today with EDF, the UK's largest battery optimiser, mark the completion of another key milestone.” He added: “Being able to demonstrate to lenders that GRID has de-risked revenues is key to unlocking more favourable, longer-term financing terms with less onerous covenants.” Leggate emphasized that these agreements pave the way for concluding refinancing efforts, supporting GRID’s three-year plan and revised dividend policy.
Ben Guest, fund manager of GRID, stated: “The floor agreements signed over the last month, including those announced today, significantly improve the risk profile of the company and fundamentally reposition GRID as a business with significant minimum contracted revenue while retaining merchant upside.” He further noted: “As well as having secured additional floor agreements on the currently operational portfolio, we have ensured that the next 637MW of exclusive pipeline projects also benefit from similar terms for their floor agreements which will enable GRID to secure improved project financing terms on these new construction projects, once acquired.”
These agreements enhance GRID’s financial stability by securing predictable income while maintaining opportunities for additional market-based earnings. The inclusion of pipeline projects in the floor-pricing terms supports GRID’s ability to obtain favorable financing for future developments. By achieving these milestones, GRID strengthens its position in the UK’s energy storage sector, contributing to the stability and growth of renewable energy infrastructure.
