National Grid Plc expects a more comfortable winter this year as it steers the country away from risks of blackouts.
More grid-scale batteries, which help deploy renewable power, will help widen its supply buffer to 8%, according to an early outlook published Thursday. At times of lower demand, excess wind power can be stored in batteries, and then discharged when the grid gets tighter.
Lower demand could also play a factor in maintaining a reliable system, and National Grid ran a program last winter for households to earn money for reducing power use.
The forecast indicates more breathing room for the UK while navigating out of an historic energy crisis that triggered record bills for consumers and intense demand on supplies. A wider buffer would give the grid operator more options next winter for trying to steer the country away from risks of blackouts and power cuts.
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The grid operator is still monitoring market factors closely, including Europe’s growing dependence on liquefied natural gas, competition for cargoes with Asia and the ongoing struggles with France’s nuclear-reactor fleet.
“There are many additional energy risks out there outside of our base case,” said Jake Rigg, a spokesman for the operator. “We’re watching those things like hawks.”
In the tightest periods, it may still use contingency options and issue calls for more generation, he said.
The operator also is in talks with Drax Group Plc to open its two coal units in Yorkshire for a second contingency reserve. Electricite de France SA won’t reopen its West Burton coal plant, Rigg said, while Uniper SE’s Ratcliffe plant is operating in the normal wholesale market.
Read More: Drax in Talks with UK Grid to Restart Two Coal Units Next Winter
Next winter is likely to see a more flexible market, as well. The grid is hoping to increase the number of industrial and commercial users who lower demand at peak times, reducing the need to turn up expensive and polluting generators.
Controversial trading behavior by some producers last winter — detailed in a Bloomberg News investigation — is expected to be limited next year, Rigg said.
“We’re hot on market monitoring and working with the regulator on reform,” he said.
(Updates with further details on batteries from second paragraph.)
