One year of Thermal Storage UK - a review of 2022

Today is the one-year anniversary of establishing Thermal Storage UK. I want to reflect on what we’ve achieved in 2022 since launching the trade association for smart thermal stores.

Setting up

The first few months involved lots of activity familiar to all start-ups. We registered the not-for-profit company, built a website, created a logo, established templates and tracking tools, found accountants and sorted out insurance. We agreed membership fees, established a strategy and put in place ways of working with members and other stakeholders.

Heat flexibility

One of our main tasks in 2022 was to explain the importance of heat flexibility and smart thermal storage. The energy sector has so far largely focused on flexibility from electric vehicles and electro-chemical batteries. But heat flexibility is required to efficiently manage higher electrical heat demand in winter. We held teach-ins on smart thermal storage and heat flexibility with Ofgem, the UK government, National Grid ESO and Energy UK. We are happy to provide teach-ins to any organisations that are interested.

To raise awareness of the potential of smart thermal storage, working with or instead of heat pumps, we published our report on heat flexibility in October 2022. This research with LCP Delta demonstrated the potential of heat flexibility to maximise our use of renewable energy and keep homes warm. As we electrify heating over the coming decades, the power sector and heating sector are going to increasingly overlap. That means heating engineers thinking about power demand and the power system thinking about heating demand.

Heat decarbonisation

We recognise that thinking about heat flexibility runs across multiple policy areas of heat decarbonisation. That is why we’ve engaged with consultations from the UK and Scottish governments and Ofgem on topics such as:

  • the market mechanism for low carbon heat 

  • future heating options for those off the gas grid

  • reforming Energy Performance Certificates

  • the UK’s Energy-Related Products Framework

  • the Review of Electricity Market Arrangements (REMA)

  • ED2 price controls for Distribution Network Operators (DNOs)

  • the role of Distribution System Operators (DSOs)

  • the design of ECO4 and ECO+

  • the financial resilience of energy suppliers

  • Skidmore review of Net Zero

It was welcome to see smart thermal storage mentioned as a technology in the government consultation on standards for Energy Smart Appliances. And for the new BEIS Technical Working Group to include at least one Thermal Storage UK member.

I’ve been really impressed by the quality and commitment of the civil servants working on heat decarbonisation. It is a difficult policy, infrastructure and financing challenge with no silver bullets.

Working together

We recognise that decarbonising heating involves thousands of organisations and tens of thousands of people working together over decades. So we work to build coalitions and emphasise the positive case for change. We joined the Electrify Heat campaign group to promote smart thermal storage working with or instead of heat pumps. We have welcomed the positive engagement with Electrify Heat members such as the Heat Pump Federation, MCS, EDF and Octopus.

We also enjoyed positive engagement with other organisations focused on the net zero transition such as Regen, the Sustainable Energy Association, Citizens Advice, the Energy Saving Trust, the Energy Systems Catapult, Baringa, the ENA and BEAMA.

While our focus has been on policy development, we have done some media and events. Thank you to those who hosted us at events (Utility Week), publicised our work (Electrify Heat, Current News) or invited us onto their podcasts (BetaTeach, Nesta).

Looking ahead to 2023

We are looking forward to building on the positive start we’ve made this year. Thermal Storage UK will keep on promoting smart thermal storage and heat flexibility in 2023. We see lots of scope for heat decarbonisation to reduce the UK’s reliance on imported fossil gas, to lower bills for people and to maintain warm, cosy buildings. 

We will continue to focus on making buildings more efficient, embedding heat flexibility in the power system and helping people and businesses make good choices. This will include ensuring that smart thermal storage technologies receive fair tax treatment and recognition in product policy and standards. We will work constructively with governments, regulators and other organisations working on heat decarbonisation. 

Innovation continues at pace. All of the Thermal Storage UK members are working on exciting projects in 2023. In recent weeks, Sunamp has received government funding for Project EXTEND and tepeo has launched a trial with Ovo and UKPN.

If you have any questions or ideas about the work of Thermal Storage UK or are interested in joining us, get in touch.

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Delivering net zero in 2023

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Heat flexibility - new report