Capacity Market New Technologies

The government is reforming the Capacity Market to integrate low-carbon and new energy technologies, improving delivery assurance and grid reliability ahead of the 2026 prequalification round. Led by the Department for Energy Security and Net Zero and Department for Business, Energy & Industrial Strategy, the policy addresses how emerging technologies like battery storage and hydrogen can participate in capacity auctions. The reform is active with recent government responses to stakeholder consultation on technology eligibility and operational requirements.