The minute UK battery and energy storage market was taken by surprise last week with UK business secretary Greg Clark’s (pictured) statement to invigorate the UK energy storage scene.
The launch of the first phase of a £246 million ($322M) government investment into battery technology is said to ensure the UK ‘builds on its strengths and leads the world in the design, development and manufacture of electric batteries’.
Known as the Faraday Challenge, the four-year investment round is a key part of the UK government’s Industrial Strategy. It will deliver a co-ordinated programme of competitions that will aim to boost both the research and development of expertise in battery technology.
But the real meat to the story, highlighted by the UK Energy Storage Network, a lobbying group, is a series of major reforms to legislation affecting the UK electricity industry, which need to take place in the next year.
With UK government holding on to a wafer-thin majority and parliamentary debating time mired by the sheer scale of ‘Brexit’ legislation, there’s a strong chance this may not come about.
The key document, presented by Clark at a press conference in Birmingham, was from Ofgem, the UK electricity regulator and is entitled “upgrading our energy systems.”
The regulator has identified barriers to planning, developing and connecting electricity storage facilities and this will require significant changes to the Electricity Act (1989). In the report, there is an important caveat – when Parliamentary time allows.
UK national press focused on the “easy story” of battery development.
Initial funding of the programme is £246M ($322M) from the Industrial Strategy Challenge Fund to kick-start the development of disruptive technologies, including designing and manufacturing better batteries for electric vehicles. But this is only the ‘icing on the cake’ of a major change to UK energy policy.
The report says: “We recognise that smart energy is central to many other changes in our energy system and the wider economy. It is an important part of the Industrial Strategy, given its potential to reduce energy costs, increase productivity, and put UK businesses in a leading position to export smart energy technology and services to the rest of the world. It is a central part of how we decarbonise our power sector, as will be set out in the Government’s forthcoming ‘Clean Growth Plan’.
Clark’s statement was however quickly welcomed by a number of battery suppliers and interested parties.
Endeco Technologies’ CEO & co-founder, Michael Phelan said: “Energy prices are expected to rise by up to 40% by 2020, largely to support the changing electricity mix and upgrading of our infrastructure, meaning sharing the benefits of greater participation is a necessity, not a luxury.”
“Batteries sit at the core of our future network, creating flexibility in when electricity is generated and where it is used – when previously this has not been possible,” he added.
Dr Boris Monahov, program manager of the Advanced Lead Acid Battery Consortium said: “I hope the Faraday Challenge Advisory Board will be quick to realise that many of the hopes and aspirations of this new and exciting programme can already be met by lead-based battery technology.”
Alistair Davidson of the International Lead Association said: “Over the past six months, the European Commission has publicly recognised that lead batteries are the only feasible mass-market technology in vehicle applications, both for performance and cost reasons. Lead batteries are the most recycled battery technology, with an end-of-life recycling rate of over 99%, making them a role model for the European Circular Economy initiative. No other consumer product has such an impressive collection and recycling rate.”