RWE has taken a final investment decision on the £200m Pembroke Battery Storage project in the Milford Haven Tax Site.
The 350 MW development will form part of the Pembroke Net Zero Centre and was welcomed by the first minister at the Wales Investment Summit.
Rt Hon Eluned Morgan MS said: “This significant investment by RWE demonstrates Wales’ central role in the UK’s transition to clean and renewable electricity.”
Planning consent for the project was granted in January, and the scheme secured a contract in the latest UK Capacity Market auction. Construction is scheduled to begin in the first half of 2026, with commissioning targeted for the second half of 2028, subject to an updated grid connection.
The project will occupy 5.1 hectares south of RWE’s Pembroke Power Station and comprise 212 lithium-ion battery containers. Once operational, the system will be capable of delivering 350 MW of power for two hours, equivalent to 700 MWh of storage.
“Battery storage systems are ideal for this because they are fast, efficient and competitive. Our Pembroke Battery is our UK flagship storage project and will make an important contribution to stabilising the UK energy market by efficiently storing surplus energy and feeding it into the national grid in a targeted manner when required,” said Nikolaus Valerius, CEO RWE Generation SE.
Luciana Ciubotariu, CEO of Celtic Freeport, welcomed the project milestone, saying: “We are delighted by RWE’s announcement. Today’s investment decision reinforces the company’s commitment to Wales, the Celtic Freeport, and our surrounding communities. This is the first in a series of new investments as the energy cluster along the south Wales coast continues to evolve. The Pembroke Battery Project is a clear signal that momentum is accelerating across the Celtic Freeport corridor.”