UK: Grid-forming batteries miss out in system stability tender as synchronous condensers, gas get contracts

March 3, 2026
LinkedIn
Twitter
Reddit
Facebook
Email

A second-round auction in the UK for grid stability services, including inertia, concluded without any wins for grid-forming battery energy storage system (BESS) projects.

The UK National Energy System Operator (NESO) awarded no contracts to battery storage projects in the Stability Market Round 2. This was despite an extensive pilot support scheme called Stability Pathfinder having already proven the technology’s capabilities in grid-forming and system stability. 

In Stability Market Round 2, all BESS submissions failed at the technical assessment stage, while synchronous condensers and open cycle gas turbines (OCGTs) took 7.3 GVAs of contracts, market intelligence and analytics firm Modo Energy said. 

Some of the failed batteries are already operational with active NESO Stability Pathfinder contracts, added Modo Energy analyst Zachary Jennings, posting the company’s analysis on LinkedIn. 

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

That is despite NESO having spent £323 million (US$430 million) on its Stability Pathfinder programme, which set out to show how newer technologies like BESS could provide inertia and other grid stability services which have historically been provided by gas plants. The Stability Market is the regular, long-term procurement mechanism for such stability services. 

Owner-operator Zenobē has been the leading player in deploying BESS within the Pathfinder scheme, with two projects online: Blackhillock and Kilmarnock South, both in Scotland. 

Comments from industry sources on Modo’s post showed frustration and concern at the lack of BESS awards despite the Pathfinder programme. 

Multiple commenters suggested NESO favours synchronous/thermal assets over proven zero-carbon alternatives, with eligibility criteria appearing ‘written around incumbents rather than outcomes’, according to one. 

However, one commenter said that NESO was being ‘reassuringly conservative’ when it came to procuring inertia, considering how critical the services are to a stable grid. 

System integrator Wärtsilä provided the BESS and for both of Zenobē’s Stability Pathfinder BESS projects, and spoke to Energy-Storage.news for an article on grid-forming technologies in the Energy Storage Report 2026, which you can download here

To read the full version of this story, visit Solar Power Portal, where it first appeared.

13 October 2026
London, UK
Now in its second edition, the Summit provides a dedicated platform for UK & Ireland’s BESS community to share practical insights on performance, degradation, safety, market design and optimisation strategies. As storage deployment accelerates towards 2030 targets, attendees gain the tools needed to enhance returns and operate resilient, efficient assets.

Read Next

April 24, 2026
Around 74% of battery storage projects in Australia’s NEM pipeline are confirmed to be equipped with grid-forming inverters, says AEMO.
Premium
April 14, 2026
Over 1.4GW/3.4GWh of grid-scale BESS came online in Europe, likely its best month ever, accounting for almost a fifth of global figures.
Premium
April 13, 2026
Envision’s Behzad Naderi believes that Australia’s hybridisation rules are reshaping development and connection processes across the NEM.
April 9, 2026
Multinational power firm Engie has acquired two large-scale BESS projects in Spain, paired with synchronous condensers and has launched construction on a BESS in France.
Premium
April 8, 2026
A panel at the 2026 US Energy Storage Summit in Dallas, Texas, discussed the “creative, innovative structures” developers are having to embrace to secure long-term revenues for energy storage projects.