ILI Pump Storage Hydro

Developing new large scale energy storage in Scotland

As the UK generates more electricity from renewable sources there is an increasing need for energy storage systems that can quickly balance supply and demand. Pumped storage hydro does just that, without any carbon emissions. It is an established technology that has been in use in the UK and across the world for more than half a century. When more electricity is being produced on the grid than is needed — and prices are low — it is used to pump water from a downhill to an uphill storage reservoir. When more electricity is needed than is being produced, the water is released and, as it runs downhill, turns turbines which generate electricity.

ILI Pump Storage Hydro raised money on Abundance to take 3 potential pumped storage hydro sites in Scotland through the development and planning process. The business’ primary objective is to develop the projects to a point at which they can be sold to a company that has the financial and engineering expertise to build and operate them. Intelligent Land Investments Group Plc, the company behind ILI Pump Storage Hydro, has experience of preparing almost 100 smaller wind and solar projects in Scotland in a similar way, as well as developing battery projects.

Return structure

The return structure of this Debenture is different from those typically offered Abundance. Investors received a fixed lower interest rate for the life of the investment, with an additional higher return if the company was able to sell one of its pumped storage sites before the maturity date — called the ‘Event’. While the company was successful in securing planning permission for one of its pumped storage sites, it was not able to complete a sale during the period of this investment so the Event was not triggered.

This investment was fully repaid on 29 December 2022.