A project exploring the use of excess heat from data centres to warm people’s homes in the future is among four new initiatives to receive support through the Strategic Innovation Fund.
Each project will use this early-stage support from Ofgem to tackle some of the energy sector’s most urgent challenges — from strengthening resilience in rural communities and improving rail infrastructure to unlocking hidden energy reserves and capturing waste heat from data centres.
UK Power Networks’ projects receiving discovery phase funding include a heat recovery project from data centres, which will explore how waste heat from data centres can be repurposed to support low-carbon, flexible heating.
It will assess how surplus heat can be used to improve the performance of heat pumps in nearby homes, use low-temperature heat networks, store heat for later use, and test flexible pricing for heat pumps — helping to cut carbon from heating and manage demand on the electricity grid.
In addition, the firm’s SHARED (Smart Hydrogen and Resilient Energy Delivery) project offers hydrogen backup to improve resilience for rural communities.
This scheme explores the use of low-cost hydrogen production and storage to improve energy resilience in rural communities. By producing hydrogen during periods of low electricity demand, the project aims to support both residential energy needs and critical infrastructure like water pumping stations.
The Conductor project will see flexible operation of bulk supply points on the rail network, exploring how
under-used electricity substations could provide power to electric trains and reduce the need for unnecessary network upgrades.
By installing third party-owned large-scale battery storage at traction Bulk Supply Points, the initiative aims to reduce peak loads on the electricity network, and export surplus solar energy — helping integrate more renewable energy.
Finally, the Super DuPPR (Dual Purpose Power Reserves) will assess unlocking backup power as a flexible resource. This project explores how backup power stored by operators such as BT, can be safely shared with the electricity grid without destabilising the system.
By working with customers to unlock this untapped resource, the project helps when there’s less renewable energy available and shows how using backup power in a smarter way can support the whole energy system.
Luca Grella, head of innovation at UK Power Networks, said:
“Securing funding for all four of our Discovery Phase projects is a huge milestone for us, and a testament to the strength of our innovative approach to tackling some of the UK’s most pressing energy challenges.
“These projects will build on our existing efforts to enable the transition to a low-carbon, more flexible energy system. We’re excited to move forward with these initiatives, knowing they will not only support our nationwide commitment to Net Zero but also deliver practical, scalable solutions that benefit both our customers and the wider energy network.”
Rich Marsh, responsible business director at BT Group, said:
“Collaboration across organisations and sectors is vital to tackle the sustainability challenges facing the UK. Working alongside UK Power Networks will give us the opportunity to find smarter ways to support the energy system and help pave the way to a greener and more resilient future.”
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