NESO Clean Power 2030 advice to Government5 Nov 2024 12:56
Interesting reading: https://www.neso.energy/news/our-clean-power-2030-advice-government
From the report:
Batteries
Our pathways see battery capacity increase from around 5 GW in 2023 to between 23 and 27 GW
in 2030. This represents a major scale-up in build rates, but there are many more projects in the
pipeline. Batteries currently have a one-to-two-year deployment lead time and annual levels of
deployment have increased every year since 2020.
The principal role of batteries today is to provide within-day flexibility by cycling regularly to help
match supply and demand. Additionally, they provide vital system services, such as frequency
response, for which their role is likely to grow to 2030 as use of gas generation falls. NESO’s ability
to access these assets effectively has until recently been hindered by challenges with legacy
systems in incorporating batteries fully into the economic dispatch process (manifesting in “skip
rates”). The activities we have initiated and recently accelerated have been designed to ensure
that batteries will be included on a level economic playing-field with all other technologies.
The connections queue is currently oversubscribed. Delivery relies on reforms to the connections
queue, planning issues being resolved and market structures providing the right revenue
opportunities. These challenges were also raised by many stakeholders.
Long duration energy storage
Long duration energy storage (LDES), such as pumped hydro storage and liquid air, are particularly
important for longer term flexibility and additional operability needs (such as during extended
periods of wind drought or to spread demand between weekend and weekdays).
The pipeline for options ready to deploy by 2030 is limited and our analysis sees capacity
potentially increase from 3 GW in 2023 to 5-8 GW, with storage capacity growing from 28 GWh to
81-99 GWh by 2030. This would require completion of Great Britain’s first pumped hydro stations
in more than 40 years. Pumped hydro is a mature technology and, while work has started on
some sites, the rest would need to commence urgently if they are to be operational by 2030,
particularly given complex workforce requirements and the need to manage the impacts to local
infrastructure and communities.
New and innovative LDES, liquid air, compressed air and longer-duration batteries (10+ hours)
projects have successfully operated at a small scale. Work has started on new projects and
feedback from stakeholders was that the lower range is within what they can build for 2030.
Stakeholders welcome deployment of LDES and believe there could also be potential in
redeveloping former hydro power stations across the country. It was noted that decision
making on funding mechanisms would need to speed up to accelerate delivery.
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