Unlocking Renewable Energy on Brownfield Land

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The Hub undertook a feasibility study on behalf of a Tees Valley authority to assess renewable energy development potential across two brownfield land parcels within the town’s southern industrial corridor.

The study explored:

Ground‑mounted solar PV and onshore wind
Planning, environmental and grid constraints
Commercial and technical design options
Ownership models that maximise long-term local benefit

The assessment concluded that solar PV represented the most technically and socially deliverable option for both land parcels.

Challenges identified early in the process were:

1. Grid Capacity Constraints

The local electricity network could accommodate up to 1.8 MW of new generation without reinforcement. Above this threshold, connection costs increased significantly, limiting feasible system size and shaping design choices.

2. Ground Conditions & Access

Both land parcels showed signs of likely contamination and uneven ground, typical of historic industrial use.

Access routes required negotiation across third‑party or non‑highway land, adding complexity for construction and cable routing.

3. Planning Sensitivity for Wind Development

Although one parcel fell within a designated area for wind, historic public opposition in the wider locality created elevated planning risk. Solar PV presented a far lower planning and engagement risk profile.

4. Ecological Considerations

Both sites are located near ecologically sensitive areas, requiring surveys and possible mitigation. One parcel bordered a wildlife corridor, increasing ecological sensitivity.

5. Uncertainty Around Future Adjacent Land Uses

With several nearby areas undergoing regeneration, long‑term energy demand and land-use patterns were uncertain – an important factor for any future private-wire arrangements.

The following outcomes were delivered and learnings made.

Solar PV is Technically Viable and Scalable

The study identified that:

A system of approx. 1.8 MW could be deployed within existing grid limits.
A larger option of up to 6.3 MW was technically feasible where local electricity use is available.
A second land parcel could host a ~1.48 MW solar array, suitable for an export‑only model.

Annual generation potential:

Medium system: ~2.05 GWh per year
Large system: ~7.21 GWh per year
Smaller parcel: ~1.68 GWh per year

Export‑Only Models Provide a Simple, Low‑Risk Route

For the smaller parcel, exporting electricity to the grid yielded:

IRR between ~7.5–9%
Payback periods of 15–18 years

This approach avoided complex contractual arrangements while maintaining project viability.

Local Supply Greatly Improves Financial Performance

Where local supply was possible, a 1.8 MW system supplying a neighbouring high‑demand user achieved:

IRR above 20%
Payback around year 7
Up to ~100% of generated electricity used locally

A larger 6.3 MW array (with grid export capped at 1.8 MW) also demonstrated strong returns, although relying on stable long-term energy demand introduces commercial risk.

Significant Carbon Reduction Potential

Across the recommended system sizes:

Medium system carbon savings: ~364 tCO₂e/year
Large system carbon savings: ~1,480 tCO₂e/year
Smaller parcel: ~298 tCO₂e/year

Over a 25‑year lifetime, combined schemes could prevent over 16,000 tCO₂e.

Public‑Sector Ownership Maximises Long‑Term Local Benefit

Modelling indicated that:

A council‑owned or SPV‑owned solution generated the highest cumulative net income across 25 years.
Community/shared ownership improved local social value even further, though with reduced direct financial return to the council.

Brownfield Renewable Development Aligns with Policy

The analysis demonstrates strong alignment with:

National planning policy favouring renewable energy on previously developed land
Local authority climate‑emissions goals
Regional net‑zero ambitions supported by the North East & Yorkshire Net Zero Hub