Why are we legislating? Electricity storage covers a range of technologies that store low carbon energy for when it is needed, for example in batteries on the wall of your home or business, or in facilities that pump water to higher reservoirs when electricity is abundant, and let it flow back down through a turbine when it is scarce.
In the planning regime electricity storage facilities are treated as a form of generating station and prior to this legislation coming into force were subject to the 50MW capacity threshold for the Nationally Significant Infrastructure Projects regime.
The Infrastructure Planning (Electricity Storage Facilities) Order 2020 has been laid to remove electricity storage facilities (except pumped hydro) from the NSIP regime in England and Wales.
Formalising electricity storage as a distinct subset of generation removes current ambiguities and provides long term clarity and certainty over its treatment within the existing frameworks (e.g. planning and licensing) and possible future frameworks.
This measure will facilitate the deployment of electricity storage. The Bill amends the Electricity Act 1989 to, in effect, clarify that electricity storage is a distinct subset of generation, and defines the storage as energy that was converted from electricity and is stored for the purpose of its future reconversion into electricity.
“The Infrastructure Planning (Electricity Storage Facilities) Order 2020 and this instrument’s annualised net impact on business is an estimated net £1.5 million equivalent annualised direct savings, below the indicative £5 million threshold for significant impacts.