Introduced in 2014, the Capacity Market plays a critical role in maintaining the security and reliability of Great Britain’s electricity system. As the energy transition accelerates and renewable generation continues to grow, the market provides a mechanism for ensuring sufficient reliable capacity is available during periods of peak electricity demand.
Participation is open to a broad range of assets, including new and existing generation, on-site generation such as combined heat and power (CHP), battery energy storage systems, and a growing number of flexible demand-side assets. Technologies such as heat pumps, refrigeration systems, HVAC, industrial processes and controlled lighting can all contribute, creating new revenue opportunities for businesses able to provide flexible capacity.