UK Ofgem Shortlists 16 Long-Duration Energy Storage Projects Totaling 7.6GW
2026-06-27 14:01
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en.Wedoany.com Reported - The UK energy regulator Ofgem (Office of Gas and Electricity Markets) has shortlisted 16 projects for the first long-duration energy storage (LDES) cap-and-floor scheme, totaling 7.6GW with durations ranging from 8 to 22 hours. In a consultation launched on June 26, Ofgem detailed these 16 projects proposed to receive long-term revenue visibility support, including projects from owner-operators Field, Frontier Power, Eku Energy, and Statera.

Ofgem stated that these projects, with a total capacity of 7,645MW, offer an "appropriate mix of duration, technology, and geographic distribution." Lithium-ion battery energy storage systems (BESS) and pumped storage hydro (PSH) account for the majority of capacity, alongside two smaller projects using compressed air energy storage (CAES), and some employing vanadium redox flow battery (VRFB) and zinc hybrid cathode technologies. These projects were selected from 77 candidates (totaling 27GW) announced in September 2025, with the selected capacity at the upper end of Ofgem's guided range of 2.7-7.7GW for this window.

The scheme aims to drive the deployment of LDES capacity to enhance supply security, reduce emissions, and lower system costs. The UK government forecasts that demand for LDES will increase as more renewable energy comes online, but due to long construction lead times and revenue uncertainty, the private sector alone cannot deliver.

Field has five BESS projects totaling 1.6GW/26.8GWh, with an average duration of 16.75 hours. Amit Gudka, CEO and co-founder of BESS owner-operator Field, commented: "The UK's LDES cap-and-floor is a globally landmark scheme, and we are proud to be part of it. Our 16 to 18-hour batteries will be among the longest-duration batteries in the world, representing a significant step forward in solving the daily power shifting challenge."

Field's Head of Development, Bex Sherwood, discussed the scheme and UK LDES buildout in a panel at the Energy Storage Summit 2026 held in London in February.

There are also three PSH projects: Cloire Glas (SSE), Earba (Gilkes Energy), and Loch Kemp (Statera). Statera also owns the East Claydon BESS. Additionally, there is the TeesCAES project from technology company Storelectric. Kate Gilmartin, CEO of the British Hydropower Association, said this represents "the biggest boost for pumped storage hydro in a decade."

Most of the capacity is located in northern Scotland, reflecting the largest imbalance in the UK energy system: significant wind generation there, but insufficient grid capacity to transmit it south to demand centers. Energy storage will help alleviate this imbalance. Lithium-ion was initially not even eligible but was included after industry calls not to discriminate against the technology. However, this has led to opposition from other parts of the BESS sector, who argue the LDES scheme will distort the market and threaten short-duration BESS buildout.

Ofgem stated it set the proposed capacity at the upper end of the target range to account for project attrition (projects scaling down or failing between now and delivery) while meeting system needs. Ofgem said: "This approach balances the risks of under-procurement and over-procurement, recognizing the inherent uncertainty in delivery. We intend to manage delivery risk through conditions and deliverability requirements. Therefore, even if some projects do not proceed, the resulting portfolio is expected to provide sufficient capacity while maintaining value for consumers."

Ofgem added that further LDES cap-and-floor application windows are expected, subject to consultation in 2026, with a decision on a second window expected by 2027.

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