The new Ofgem Strategic Innovation Fund, delivered through a partnership with Innovate UK, is seeking innovative, ambitious ideas to transform energy networks.
A new fund opening at the end of August 2021 will unlock greener ways to travel and to heat and power homes and businesses, by harnessing a new approach to energy network innovation. This will:
The fund, which opens for application on 31 August, is part of Ofgem’s RII02 price controls for the electricity system operator and the network companies that operate GB’s energy pipes and wires. The fund will be approved by Ofgem and managed in partnership with Innovate UK.
£450 million will initially become available over the next five years through the fund, with the option to increase in response to need and if innovators bring forward strong plans. Together, network companies, system operators, and the world’s leading businesses and researchers will use this money to drive big ideas that:
To apply for the first round of funding, network companies must address four major strategic challenges that are crucial for the energy transition. These are:
Projects could include, but are not limited to:
Ideas need to be big, bold and ambitious with potential to scale across the networks upon completion.
Energy minister, Lord Callanan at the Department for Business, Energy and Industrial strategy, said:
"The UK is leading the world in decarbonising our energy system, with our innovators playing a vital role in going further while ensuring consumers receive clean and affordable energy.
The Strategic Innovation Fund will ensure the best projects and most talented minds have the grants available to reduce carbon emissions and enable bill payers to see the benefits of building back greener."
Jonathan Brearley, chief executive of Ofgem, said:
"What we need more than ever to reduce greenhouse gas emissions and reach net zero is innovation. The Strategic Innovation Fund means cutting-edge ideas and new technologies become a reality, helping us find greener ways to travel, and to heat and power Britain at low cost.
Britain’s energy infrastructure will play a pivotal role in cutting net zero greenhouse gas emissions, and this fund will help make sure our energy system is ready to deliver that."
Read more information on the Strategic Innovation Fund challenge competition on the the Ofgem website.