Exclusive:UK government has 'no detailed assessment' of Chinese battery storage ownership

Energy minister Michael Shanks admitted the UK government has no information on how much of the UK’s battery cell capacity is owned or financed by China

Ming Yang planned to build a factory in the Highlandsplaceholder image
Ming Yang planned to build a factory in the Highlands

The Labour government has made “no detailed assessment” about how much of a “key part of the UK’s energy system” is Chinese-owned - despite blocking a major wind turbine project from the East Asian country for national security reasons.

Energy minister Michael Shanks admitted that the UK government has not properly examined how much of the nation’s battery cell capacity is owned or financed by China.

It comes after ministers blocked the £1.5 billion Ming Yang turbine factory in the Highlands earlier this year because of national security concerns about the firm.

The SNP said the recent “revelation” showed the Ming Yang decision was “entirely political”.

Rutherglen MP Mr Shanks said in a parliamentary answer: “The Department works very closely with industry and across government to manage foreign involvement in energy infrastructure.

“The largest grid-scale battery owners in GB are all UK-based companies - and battery operators include UK, European, Singaporean and US companies - though there has not been a detailed assessment of the ownership and finances of this sector.

“We continue to take a long-term, strategic and proportionate approach to managing relations with China and will co-operate where we can, and challenge where we must.”

Ming Yang had proposed building the a wind turbine factory in Ardersier, near Inverness, with the potential for creating up to 1,500 jobs. But it was blocked by the UK government in March.

Battery storage is technology used in the UK’s energy system to store excess electrical energy when wind or solar create too much.

Earlier this month British energy start-up Invinity - which wanted to bring 1,000 jobs to Scotland’s central belt - threatened to pull out of the UK after it lost out to Chinese battery makers in a government support scheme.

SNP Energy spokesperson Graham Leadbitter questioned why Chinese firms were allowed to invest in battery storage, but not allowed to open a factory in the Highlands.

He said: “This revelation confirms what we all suspected – the decision to block 1500 Highland jobs appears to be entirely political.

“The Labour UK Government felt it necessary to block a turbine factory in the Highlands, but seemingly has no issue and not even the faintest idea about Chinese ownership of a key part of our energy system.

"If this UK Labour government is so concerned about national security, then why is it allowing Chinese firms to invest in battery storage, nuclear plants, airports, and super-embassies south of the border – is it because it’s in the Highlands and not Hertfordshire?

"Whether it's Grangemouth, Mossmorran, the North Sea or Ardersier, with Westminster, the message to the people of Scotland is absolutely clear – investment becomes more critical depending on which side of the Tweed it falls.

“Through a fresh start with independence, we will drive investment in our energy sector and ensure our resources are used to build a wealthier Scotland back home in the EU.”

A UK Government spokesperson said: "We will always protect our national security. We continue to take a consistent, long term and strategic approach to our relationship with China – cooperating where we can, whilst never compromising on security and resilience."

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