The new UK government has set out an ambitious target to accelerate the deployment and integration of renewables by 2030. To achieve this and move from fossil fuel-powered plants to renewables, which cannot be turned on or off as required, requires modernisation of the grid and new infrastructure to ensure a stable energy supply.
Government has acknowledged this and is committed to tackling the barriers that have prevented progress. However, with grid infrastructure often taking five to fifteen years to plan and permit, in comparison to one to five years for renewables projects, the current speed of grid build-out is nowhere near fast enough to manage an effective energy transition.
While we need new poles and wires, energy storage is essential. Since 2019 2,000 GWh of lithium-ion battery capacity has been added worldwide, showing that it’s already playing an increasingly vital role.[1][1]
For the UK, investing in battery storage is not an option but a necessity if we are to support increasing electricity demand, which is set to double by 2050.[1][2] Over the past year, we have seen the pipeline of battery projects boom by two-thirds in capacity nationwide, setting us on the right path to achieve net zero.
The renewable revolution and the role of storage
The UK's renewable energy sector has seen remarkable growth, holding the second spot for global offshore wind capacity, with 14.7GW currently operational.[1][3] Solar installations are also on the rise, driven by both large-scale projects, such as our Longfield solar farm, and distributed generation from residential and commercial rooftops.
To ensure we are not overly reliant on just one technology, we must continue to invest and develop a range of projects, from onshore and offshore wind to solar and green hydrogen.
Battery storage systems go hand in hand with renewables. They store excess energy generated during peak generation periods and release it at times of peak demand. Ensuring proper deployment significantly enhances the system’s reliability and reduces the need for fossil fuel-based backup generation.
The economic and environmental benefits
Beyond stabilising the grid, battery storage systems offer substantial economic and environmental benefits. In addition to the reduced need for costly fossil fuel-fired power plants, which are heavily relied upon during periods of high demand, they can prevent the curtailment of renewables in times of excess generation. In the last few years, curtailment of wind energy has been a major concern, with £1.5 billion being spent to curtail more than 6.5 TWh of wind power from January 2021 until April 2023.[1][4]
By flattening demand peaks and filling supply troughs, battery storage can defer or even eliminate the need for additional fossil fuel power plants, and significantly cut curtailment, translating to considerable cost savings for consumers and utilities alike.
Environmentally, the benefits are profound. The reduction in fossil fuel-powered plants means lower greenhouse gas emissions – which have fallen by more than 75% since 1990 through clean electricity supply.[1][5] Furthermore, battery storage facilitates greater integration of renewables, displacing carbon-intensive energy sources.
A call to action for the UK
The recent IEA report on secure energy transitions, combined with the Climate Change Committee’s 2024 progress report,[1][6] are a clarion call to scale up both renewables and battery storage capabilities. For the UK, this means fostering innovation, supporting market mechanisms that incentivise storage deployment, and integrating storage solutions into our national energy strategy.
To fully reward the contributions of storage, it is important to promote storage opportunities in the Capacity Market. Specifically, there should be a re-evaluation of storage de-rating factors in the current market and a review of assumptions regarding performance degradation over time.
Policy support is critical to this. While some legislative steps have already been taken as part of the Energy Act, such as the introduction of a separate category for storage for transmission charging, implementation has not progressed since.
Further action is needed on reforming the transmission connections process, with the aim of reducing the existing queue and reforming the process for new applicants. There is a great deal of uncertainty around the infrastructure needed to deliver connections, the current reformed connections process, and what this means for developers.
The new government must ensure that battery storage is a central component of their plans. Regulatory frameworks need to evolve to recognise the full value of storage, including its ability to provide ancillary services that enhance grid stability and resilience.
Our battery-powered future
The transition to a renewable-powered future is an exciting journey filled with challenges and opportunities. Battery storage can help unlock the full potential of renewable energy, ensuring that the UK’s energy system is green, secure and resilient.
We must commit to accelerating the deployment of battery storage systems across the UK, in line with the ambitions for solar and wind. By doing so, we will not only advance our climate goals but also pave the way for a more economically robust future.
[1][1] https://www.iea.org/reports/batteries-and-secure-energy-transitions/status-of-battery-demand-and-supply
[1][2] https://www.nationalgrid.com/stories/energy-explained/how-will-our-electricity-supply-change-future#:~:text=It's%20estimated%20that%20electricity%20consumption,more%20than%20double%20by%202050.
[1][3] https://www.renewableuk.com/news/675105/Global-offshore-wind-capacity-increases-by-more-than-a-fifth-over-last-year-reaching-75GW-milestone.htm
[1][4] https://carbontracker.org/britain-wastes-enough-wind-generation-to-power-1-million-homes/#:~:text=Overall%2C%20from%20January%202021%20to,of%201%20million%20British%20households.
[1][5] https://assets.publishing.service.gov.uk/media/660445fce8c442001a2203d0/uk-greenhouse-gas-emissions-provisional-figures-statistical-summary-2023.pdf
[1][6] Progress in reducing emissions 2024 Report to Parliament - Climate Change Committee (theccc.org.uk)
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