Posted on: 22/12/2015
The Department of Energy & Climate Change (DECC) will use a consultation in the spring to consider options for opening up the energy storage market.
In a paper entitled “Towards a Smart Energy System”, DECC outlines ways of removing regulatory barriers for introducing more energy storage.
A smart grid using energy storage and demand-side response could save £12 billion by 2050, the department said.
A further £5bn could be saved by shifting demand away from peaks times, so fewer power stations need to be built.
Connections to Europe
DECC said: “Incentives for market players are not always well aligned to ensure that the most efficient, flexible solution is chosen means providers of flexibility do not realise their full value, undermining their investment business case.
“Existing business models may also mean incumbents have incentives to stick with the status quo.”
Discussions will also take place surrounding how the UK’s energy storage could fit into the wider European Union Energy Union, the department added.
> Download the paper