Scholarlink

Purpose of review <p>The UK parliament recently introduced a cap-and-floor mechanism for net revenues of Long-Duration Energy Storage in Great Britain (GB). The article summarizes learnings from the UK proceedings around four questions: (a) What drives the need for LDES? (b) What are the barriers to LDES deployment in GB? (c) Which options could mitigate these barriers? (d) What are the key design choices for the cap-and-floor mechanism?</p> Recent findings <p>GB evidence indicates that (1) energy shifting over long timeframes and security-of-supply benefits drive LDES needs; (2) revenue uncertainty is the primary barrier; and (3) a cap-and-floor mechanism could mitigate investment risk.</p> Summary <p>Evidence on LDES needs is extensive, whereas analysis of barriers, their impact on investment, and the effects of alternative policies and cap-and-floor designs remains limited. Further research could address this gap and contribute insights into the interplay of long-term contracts and short-term markets in hybrid electricity markets for deeply decarbonized power systems.</p>

错误：搜索内容不能为空，请输入英文关键词
错误：关键词超出字数限制，请精简
高级检索

Designing a Policy Mechanism for Long-Duration Energy Storage: The British Experience

  • 期刊论文

  • 出版模式：

    开放获取

  • 发表日期：

    2026年4月1日

查看全文
  • Elina Spyrou,
  • Adam Suski,
  • Richard Green

摘要

Purpose of review

The UK parliament recently introduced a cap-and-floor mechanism for net revenues of Long-Duration Energy Storage in Great Britain (GB). The article summarizes learnings from the UK proceedings around four questions: (a) What drives the need for LDES? (b) What are the barriers to LDES deployment in GB? (c) Which options could mitigate these barriers? (d) What are the key design choices for the cap-and-floor mechanism?

Recent findings

GB evidence indicates that (1) energy shifting over long timeframes and security-of-supply benefits drive LDES needs; (2) revenue uncertainty is the primary barrier; and (3) a cap-and-floor mechanism could mitigate investment risk.

Summary

Evidence on LDES needs is extensive, whereas analysis of barriers, their impact on investment, and the effects of alternative policies and cap-and-floor designs remains limited. Further research could address this gap and contribute insights into the interplay of long-term contracts and short-term markets in hybrid electricity markets for deeply decarbonized power systems.