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Business leaders have met with UK Energy Minister the Rt Hon Greg Hands MP to discuss how the government could unlock significant investment in vital energy storage technologies needed to decarbonise the power sector and help ensure greater energy independence.

The meeting was organised by the Long-Duration Electricity Storage Alliance, a new association of companies, progressing plans across a range of technologies to be first of their kind to be developed in the UK for decades.

Representatives from Drax, SSE Renewables, Highview Power and Invinity Energy Systems met with The Rt Hon Greg Hands MP, Minister of State for Business, Energy and Clean Growth on Thursday.

He heard how decarbonising the UK’s electricity system by 2035 will require a range of flexible home-grown, long-duration energy storage (LDES) technologies to strengthen the contribution of cheap but variable renewables and deliver enhanced system stability. A recent report by Aurora showed that the UK may need an eight-fold increase in long-duration electricity storage capacity by 2035.

As such, LDES technologies will not only play a major role in significantly reducing the UK’s reliance on imported gas, and supporting the UK government’s ambitions to supercharge renewables, but they will also deliver massive efficiency gains to the UK grid – helping to lower consumer energy bills.

The Long-Duration Electricity Storage Alliance intends to work with the UK Government to unlock potential developments in new pumped storage hydro capacity and to accelerate the commercial deployment of exciting emerging technologies such as liquid air energy storage and flow batteries, to put the UK in the vanguard of LDES innovation.

Following the meeting, Greg Hands MP said:

“The Long-Duration Electricity Storage Alliance is a key part of our plan to get the full benefit from our world-class renewables sector. Government have already committed £68 million of funding toward the development of these technologies.

“This will support the UK as we shift towards domestically-produced renewable energy that will boost our energy security and create jobs and investment.”

Will Gardiner, Drax Group CEO said:

“Enough renewable electricity from wind to supply around a million UK homes is wasted each year, because there isn’t enough storage available to harness that power and ensure it is available when we need it. We cannot afford to allow that to continue, especially with current concerns around energy security.

“Drax has plans to invest £500m developing 600 MW of additional pumped storage hydro capacity at our Cruachan power station in the West of Scotland – a project which, with the right policies from government, will not only contribute to UK energy security, but also deliver around 1,000 jobs in rural areas during construction.”

Finlay McCutcheon, SSE Renewables, Director of Onshore Europe said:  

“In response to the current situation in the energy markets, the UK needs to not only supercharge cheap renewables but also home-grown long-duration storage technologies to cost-effectively decarbonise the grid and reduce our dependence on imported gas.

“The swift introduction of an adapted Cap & Floor mechanism by government this year could unlock billions of pounds of investment in these vital technologies and create thousands of skilled jobs. As the UK’s clean energy champion, with our consented and shovel-ready 1,500 MW Coire Glas pumped storage project in the Scottish Highlands, we stand ready to play our part.”

Rupert Pearce, Highview Power CEO, added:

“Highview Power’s liquid air energy storage technology is ready for commercial deployment and we believe that it can make a substantial contribution to the UK’s net zero ambitions for the UK grid. As we move into the delivery phase for our matured technology, we recognise that the UK leads the world in innovation in the UK grid and has already made extraordinary strides in admitting renewables to its system.

“We are very grateful for the UK Government’s strong interest in LDES and their willingness to engage with UK industry, to accelerate and embed key LDES capabilities in the UK economy, and to create UK leaders in a fast-emerging global LDES marketplace.”

Larry Zulch, CEO of Invinity Energy Systems, said:

“Wind and solar power will clearly play an increasing role in the UK’s long-term energy security, reducing reliance on imported gas and supporting climate goals. Renewable energy requires energy storage to fill in the missing hours and make zero-carbon electricity available when it is needed, not just when the wind is blowing, or the sun is shining. The more dependent the UK is on renewables, the more urgent it is that long-duration energy storage, such as that provided by Invinity’s vanadium flow batteries, be made available.

“We couldn’t be more pleased to see the UK take a leadership role in the deployment of long duration energy storage projects and welcome further Government policy and investment support to facilitate the rapid adoption of critical energy storage technology.”

ENDS

Media Contacts

Drax: Aidan Kerr [email protected] T: 07849090368

SSE Renewables: Richard Holligan [email protected] T: 07341 725026

Highview Power:  Wendy Prabhu [email protected] t: +44.203.617.1930

Invinity: Joe Worthington [email protected]  T: 0204 5510361

Editor’s Notes

The four companies are progressing development plans on their separate projects:

• Drax is currently progressing plans to build a new underground pumped hydro storage power station at its existing Cruachan site in Argyll, Scotland.
• SSE Renewables is currently progressing plans to build the 1,500 MW Coire Glas pumped storage hydro project on the shores of Loch Lochy in the Scottish Highlands. It would more than double Great Britain’s existing electricity storage capacity.
• Highview Power is developing a liquid air energy storage plant at Trafford Energy Park, just outside Manchester.
• Invinity Energy Systems energised a 5MWh Vanadium Flow Battery at the Energy Superhub Oxford in December 2021 and was recently awarded BEIS funding for the first phase of a project aiming to deliver the UK’s largest co-located solar + energy storage project.
• Long-duration electricity storage can be defined as technologies that are able to respond to supply and demand variations caused by daily peaks, weather events and seasonal patterns, providing power for more than four hours at their full capacity.
• The UK government’s 2021 Smart Systems and Flexibility Plan recognised long-duration electricity storage as “…essential for achieving net zero”.
• The government held a call for evidence to hear the industry’s views on de-risking investment which closed in September 2021 and aims to evaluate options and respond early this year.
• A recent report from Aurora Energy Research showed that up to 24 GW of long-duration electricity storage – equivalent to eight times the current installed capacity – could be needed to integrate wind power into a secure net zero electricity system.
• The last long duration electricity storage project to be built in the UK was Dinorwig pumped hydro storage power station in 1984, the last of four PSH power stations built before privatisation of the electricity markets.
• Since then, despite their vital role in enabling more renewable power to come online, no others have been built due to the barriers that exist to securing private investment in projects.
• A number of options exist for reforming the market to incentivise long-duration electricity storage, with a report published in January by KPMG recommending a cap and floor mechanism to be introduced.

About Drax

Drax Group’s purpose is to enable a zero carbon, lower cost energy future and in 2019 announced a world-leading ambition to be carbon negative by 2030, using Bioenergy with Carbon Capture and Storage (BECCS) technology.

Drax’s around 3,000 employees operate across three principal areas of activity – electricity generation, electricity sales to business customers and compressed wood pellet production and supply to third parties. For more information visit www.drax.com

Drax is partnering with local schools during National Apprenticeship Week (7^th-11^th February) as part of its commitment to helping young people kickstart their careers.

The energy company is offering interactive sessions for students and teachers in years 11-13 to raise awareness of the apprenticeships that Drax and other businesses have to offer.

The sessions will include an overview of everything related to apprenticeships and the opportunities that are available, tips for the application process and a Q&A session with some of Drax’s own apprentices. Students will also receive a writing guide to help them develop or polish up their CVs.

Karen McKeever, Drax’s Chief HR Officer, said: “National Apprenticeship Week is a great opportunity to demonstrate the value of apprenticeships and highlight them as a potential career pathway.

This year’s theme for National Apprenticeship Week of ‘Build the Future’ is especially important to Drax as we strive to equip our region’s workforce with the education and skills needed to work on climate-saving technologies like bioenergy with carbon capture (BECCS).”

Sarah Mulholland, Head of Policy at the Northern Powerhouse Partnership, said: “Net zero has the potential to unlock massive economic benefits across the north, particularly in the Humber – but we can only unlock that opportunity through investment in skills.

Businesses like Drax are leading the charge in this area and this initiative will help create a pipeline of workers for green jobs such as in BECCS and other new technologies.

Ultimately, levelling up boils down to creating well-paid jobs across all northern towns and cities, while giving local people the education, skills and transport they need to reach those jobs.”

Last year, Drax announced its Mobilising a Million initiative, which aims to increase social mobility by creating opportunities to support education and improve employability, ensuring the country has the skilled workforce needed to support a post-covid, green economic recovery.

These workshops build on this campaign by encouraging young people to consider the career options available to them, answer any questions they may have and give them the opportunity to hear first-hand from current apprentices.

The ‘Apprenticeships at Drax: What You Need to Know’ sessions will take place on Wednesday 9^th February. Teachers and students can register to take part online.

Drax’s long-running apprenticeship scheme is part of its commitment to developing new talent as well as upskilling the workforce across the region. Drax has 52 apprentices as well as 50 existing employees working towards apprenticeship qualifications within the business.

Drax also recently transferred some of its apprenticeship levy to allow smaller local businesses to hire apprentices as part of its commitment to supporting the communities near to its operations.

Photo caption: Some of Drax’s award winning apprentices Ben Senior, Callum O’Grady and Cameron Shipstone

ENDS

Media contacts:

Megan Hopgood
Communications Officer
E: [email protected]
T: 07936 350 175

Editor’s Notes

Drax has been running an apprenticeship scheme for almost two decades at its eponymous power station in North Yorkshire. In recent years it has extended this across the whole business in the UK, as well as offering internships and graduate schemes as part of its dedication to improving skills and increasing opportunities for young people. For more details go to www.drax.com/careers.

Drax’s craft apprenticeship scheme gives new recruits the opportunity to gain skills and expertise by working alongside highly qualified engineers. It is a four-year programme, and specialises in three engineering disciplines: Mechanical, Electrical and Control & Instrumentation. In addition to engineering disciplines, Drax also offers apprenticeship qualifications in business support areas such as HR, cyber security, and administration. For current vacancies, go to https://www.drax.com/careers/apprenticeships/.

Drax runs a number of other initiatives to support STEM education and skills, including:

• Providing laptops with free internet access to support students with home learning.
• Free virtual tours of Drax’s power stations
• Virtual STEM workshops in schools.
• Virtual work experience.

Drax plans to deploy the pioneering negative emissions technology, bioenergy with carbon capture and storage (BECCS) at its power station in North Yorkshire. If successful, Drax could develop two BECCS units by 2030, capturing and storing at least 8 million tonnes of CO₂ a year.

BECCS at Drax would support over 10,000 jobs at its peak, which is why it is vital that the region’s workforce has the skills needed to implement this green energy technology, enabling the UK to meet its 2050 net zero target whilst generating the renewable electricity the country needs.

Drax has partnered with Selby College to develop the UK’s first educational programme in carbon capture to help ensure that the region has the skilled workforce needed to operate the vital climate saving technology BECCS.

Drax announced its Mobilising a Million initiative in January 2021, when it published its Opportunity Action Plan in partnership with the Social Mobility Pledge led by former Education Secretary, the Rt Hon Justine Greening.

About Drax

Drax Group’s purpose is to enable a zero carbon, lower cost energy future and in 2019 announced a world-leading ambition to be carbon negative by 2030, using Bioenergy with Carbon Capture and Storage (BECCS) technology.

Its 3,400 employees operate across three principal areas of activity – electricity generation, electricity sales to business customers and compressed wood pellet production and supply to third parties. For more information visit www.drax.com

Power generation:

Drax owns and operates a portfolio of renewable electricity generation assets in England and Scotland. The assets include the UK’s largest power station, based at Selby, North Yorkshire, which supplies five percent of the country’s electricity needs.

Having converted Drax Power Station to use sustainable biomass instead of coal it has become the UK’s biggest renewable power generator and the largest decarbonisation project in Europe. It is also where Drax is piloting the groundbreaking negative emissions technology BECCS within its CCUS (Carbon Capture Utilisation and Storage) Incubation Area.

Its pumped storage, hydro and energy from waste assets in Scotland include Cruachan Power Station – a flexible pumped storage facility within the hollowed-out mountain Ben Cruachan.

The Group also aims to build on its BECCS innovation at Drax Power Station with a target to deliver 4Mt of negative CO2 emissions each year from new-build BECCS outside of the UK by 2030 and is currently developing models for North American and European markets.

Pellet production and supply:
The Group has 13 operational pellet plants with nameplate capacity of c.4Mt, plus a further two plants currently commissioning and other developments/expansions which will increase this to c.5Mt once complete.

Drax is targeting 8Mt of production capacity by 2030, which will require the development of over 3Mt of new biomass pellet production capacity. The pellets are produced using materials sourced from sustainably managed working forests and are supplied to third party customers in Europe and Asia for the generation of renewable power.

Drax’s pellet mills supply around 30% of the biomass used at its own power station in North Yorkshire, England to generate flexible, renewable power for the UK’s homes and businesses.

Customers: 

Drax is the largest supplier of renewable electricity to UK businesses, supplying 100% renewable electricity as standard to more than 370,000 sites through Drax and Opus Energy.

It offers a range of energy-related services including energy optimisation, as well as electric vehicle strategy and management.

To find out more go to the website www.energy.drax.com