The Department for Energy Security and Net Zero (DESNZ) has opened a £2.6 million competition to help distributed energy resources (DER) participate in markets and provide systemwide flexibility in large volumes. Applications are sought by 23 July.
The Flex Markets Unlocked Programme programme will support innovative technology that can facilitate system-wide coordination, standardisation, and revenue stacking across multiple flexibility markets.
The competition has two phases. In phase 1 up to £200,000 will be available for each of three projects to fund feasibility studies to develop robust technical specifications for proposed technical solutions. Phase 2 will provide another £2 million to take forward one project in a simulated trial environment at a minimum.
DESNZ says barriers to market for distributed gneration include: low participation in major national markets due to operational complexity and higher perceived risk, aggravated by a lack of visibility on both the buy and sell side; difficulties in revenue stacking because markets are not coordinated, limiting the scale and variety of DER that is coming forwards, as well as limiting market liquidity; and complicated market entry process particularly for smaller entrants. The current call is part of the £65 million Flexibility Innovation Programme.
Technical solutions should deliver information transparency; market access; co-ordination across multiple market products; and trusted governance enabling transparency in decision making.
Solutions should cover three markets or more among the wholesale market/balancing mechanism, national markets and local markets
Applicants are encouraged to register their interest by 25 July.
Full details here.