Long Duration Electricity Storage: technical details of the scheme and its operation
The joint government and Ofgem Technical Decision Document confirms details of the Long Duration Electricity Storage (LDES) cap and floor scheme and how it will operate.
Documents
Details
In October 2024, the government decided to introduce a Long Duration Electricity Storage (LDES) cap and floor scheme that will be delivered by Ofgem.
The cap and floor scheme was strongly supported through consultation responses and builds on the approach already used to successfully deliver more electricity interconnection.
The government response to the consultation stated that a Technical Decision Document (TDD) would be produced to confirm the final details of the scheme along with delivery timelines.
The TDD is jointly published by Ofgem and the government.
Cambridge Economic Policy Associates (CEPA) were contracted by government to provide advice on how the cap and floor thresholds could potentially be set to aid decision making. The TDD confirms the approach of how thresholds will be set.