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Longer Duration Energy Storage Demonstration (LODES) competition (closed to applications)

An innovation competition aiming to accelerate commercialisation of innovative longer duration energy storage projects.

Longer duration storage (across days, weeks, and months) could help reduce the cost of meeting net zero by storing excess low carbon generation for longer periods of time, helping to manage variation in generation such as extended periods of low wind.

This could reduce the amount of fossil fuel and low carbon generation that would otherwise be needed and optimise the output from renewables (rather than paying to turn off generators when there is excess supply).

In total, over £69 million of capital funding has been made available across 2 competition streams. Technologies in scope include:

  • electric
  • thermal
  • power-to-x

Technologies out of scope:

  • solutions with widely deployed UK commercial demonstrations such as lithium ion, pumped hydro or large water tanks

We called for expressions of interest for this competition on 3 March 2021.

We also held an information event for interested organisations on 17 June 2021:

Stream 1: actual demonstration

Stream 1 is for technologies currently at TRL 6/7. It aims to demonstrate the capability of first-of-a-kind energy storage facilities through actual demonstrations in operational environments.

Around £37 million innovation funding will be awarded in the form of capital grants, with a requirement to secure matched private investment.

Delivery will be phased, with down-selection after Phase 1 (mobilisation).

Phase Indicative timeline Indicative available funding (per project)
Phase 1: Mobilisation: including FEED, securing planning permission, final investment decision November 2021 to October / November 2022 Up to £1 million
Phase 2: Build and commission December 2022 to March 2025 circa £11 million

Stream 2: prototype demonstration

Stream 2 is for technologies currently at TRL 4/5 and aims to demonstrate first-of-a-kind (FOAK) energy storage system prototypes in relevant or operational environments. This should build a pipeline of longer duration energy storage systems to be commercially deployed, leveraging the benefits achieved through Stream 1.

Around £30 million innovation support will be awarded through Stream 2 in the form of Small Business Research Initiative (SBRI) contracts, requiring risk-sharing.

Delivery will be phased, with down-selection after Phase 1 (feasibility).

Phase Revised Indicative timeline Indicative available funding (per project)
Phase 1: Feasibility Studies December 2021 to May 2022 Up to £150,000
Phase 2: Build and commission October 2022 to September 2024 Up to £9.45 million

Guidance

Published 3 March 2021
Last updated 12 April 2023 + show all updates
  1. Added link to details of Stream 1 Phase 2 successful project.

  2. Longer Duration Energy Storage Demonstration Programme, Stream 2 Phase 2: details of successful projects announced and Stream 2: prototype demonstration - revised Indicative timeline published.

  3. Successful projects for Phase 1 of Streams 1 and 2 of the Programme announced.

  4. This competition is now closed to applications.

  5. Information day presentation and videos added.

  6. First published.