Guidance

Alternative Energy Markets Innovation Programme (closed to applications)

The Alternative Energy Markets Innovation Programme aims to support innovative demand side flexibility propositions in a future energy system.

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Details

The Alternative Energy Markets Innovation Programme (of up to £18 million) aims to support the development and demonstration of innovative domestic demand side flexibility propositions in a future energy system where electricity market arrangements may look different from today.

The programme consists of 2 phases:

  • Phase 1 (up to £2 million funding available) aims to support the design of innovative tariffs, products or services (demand side flexibility propositions) under alternative energy market scenarios of a future energy system. See the details of Phase 1 projects

  • Phase 2 (up to £16 million funding available) aims to deliver real world demonstrators, which would test demand side flexibility propositions developed in Phase 1 in a real world setting, demonstrating the impact of propositions and potential benefit to the electricity grid and to consumers under various scenarios. See the details of Phase 2 projects

The Programme is now closed to applications.

Background

The Alternative Energy Markets Innovation Programme will support the design and demonstration of domestic demand side flexibility propositions (tariffs, products and services) in a future energy system where electricity market arrangements may look different from today. This aims to demonstrate the value that innovative domestic demand side response propositions may bring to both the consumer and the system, and contribute to the evidence base for how the domestic flexibility market can be grown to inform future policy and regulatory decisions; supporting the delivery of a smart and flexible energy system.

This programme is part of the Flexibility Innovation Programme which seeks to enable electricity system flexibility through smart, flexible, secure, and accessible technologies and markets. The Flexibility Innovation Programme funds innovation across a range of key smart energy applications, and sits within Net Zero Innovation Portfolio (NZIP).

Updates to this page

Published 15 November 2022
Last updated 23 February 2024 + show all updates
  1. Added link to Phase 2 projects.

  2. We have published details of Phase 1 projects.

  3. Alternative Energy Markets Innovation Programme questions with responses added.

  4. Slides published from the online information event hosted on 30 November 2022.

  5. Annex 4: Phase 2 Grant Funding Agreement published.

  6. First published.

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