Sep 23, 2025
Paying to Waste Clean Energy: What Are We Doing?
Headlines recently revealed that UK households will see higher bills because wind farms are being paid to switch off.
This issue is known as wind curtailment. When the grid cannot absorb surplus electricity from wind farms, operators are paid to reduce output. To meet demand, gas-fired power stations are then brought online.
This double-payment system means:
Billpayers cover the cost of wasted wind generation.
Billpayers cover the cost of additional fossil fuel power.
Carbon emissions increase, despite the availability of clean energy.
It’s a system that makes little financial, environmental, or strategic sense.
Why the grid struggles
The UK’s electricity grid is outdated. Built in the mid-20th century, it was designed for centralised fossil fuel power plants, not for the dispersed, variable renewable generation we have today.
Transmission bottlenecks: Many wind farms are in remote coastal locations far from demand centres.
Limited flexibility: Balancing supply and demand requires rapid-response resources, which the grid currently lacks.
Slow upgrades: Grid expansion projects (new transmission lines, interconnectors, and grid-scale storage) are essential but take years, even decades, to complete.
While these long-term reinforcements are underway, households and businesses are left with the short-term consequence: higher bills and higher emissions.
The overlooked solution: Behind-the-meter batteries
While waiting for grid expansion, the UK is overlooking a solution that can be deployed in months, not decades: behind-the-meter battery storage.
Behind-the-meter (BTM) batteries are installed on the consumer side of the electricity meter. They store energy locally for households or businesses and can be aggregated into larger networks.
Key facts:
Over 100GW of potential capacity exists at residential and commercial & industrial (C&I) sites.
Installation time: as little as two months.
Function: capture surplus renewable electricity, store it, and release it when needed.
This is low-hanging fruit for the energy transition, yet the UK is barely harvesting it.
Immediate benefits
1. Lower bills
Batteries store cheap electricity when demand (and prices) are low and discharge during expensive peak hours. This reduces exposure to wholesale market volatility.
2. Grid relief
BTM batteries provide local flexibility, absorbing surplus energy and reducing transmission strain. This lowers curtailment costs.
3. Carbon savings
Every unit of stored renewable energy replaces fossil generation that would otherwise fill the gap, cutting emissions.
4. Resilience
Households and businesses gain backup capability during outages and protection from energy market shocks.
Why 2025 Matters
The UK energy debate often frames choices as binary:
Nuclear or renewables.
Hydrogen or batteries.
Transmission upgrades or distributed flexibility.
This framing is unhelpful. The reality is we need both long-term and short-term solutions.
Long-term: transmission reinforcement, offshore wind, interconnectors.
Short-term: behind-the-meter batteries, demand-side flexibility, local generation.
Ignoring what can be done in 2025 risks leaving households and businesses overexposed until 2040.
How behind-the-meter batteries work
The mechanics are simple:
Charge: absorb electricity when renewable output is high or prices are low.
Store: hold energy locally at homes, businesses, or industrial sites.
Discharge: release stored electricity during peak demand or grid stress.
Aggregate: link many small batteries to act as a virtual power plant.
This makes them an instantly deployable source of grid flexibility.
The scale of the impact
Wind curtailment is not a marginal issue. In 2023 alone, the UK spent . That figure is projected to rise as offshore wind capacity grows faster than grid upgrades.
Behind-the-meter storage offers a way to redirect that wasted energy into productive use.
Financial impact: A single household battery can cut electricity bills by hundreds of pounds per year. At scale, UK-wide savings could reach billions.
Carbon impact: Storing curtailed wind could prevent millions of tonnes of CO₂ emissions annually.
Resilience impact: Businesses gain continuity during supply shocks, while households are less exposed to price volatility.
Policy and market changes needed
Despite the benefits, behind-the-meter batteries remain underutilised. The barriers are policy, market design, and awareness, not technology.
Steps that could unlock adoption:
Incentives: grants, subsidies, or tax relief to reduce upfront costs.
Market reform: allowing aggregated batteries to participate in capacity and balancing markets.
Awareness campaigns: educating consumers and businesses on the financial and environmental benefits.
International examples show this is achievable:
In Germany, households are incentivised to pair solar with batteries.
In California, aggregated residential batteries already provide grid services.
The UK risks falling behind if it does not act.
Conclusion
The transition to net zero is a marathon, but that does not mean we cannot sprint certain stages. Behind-the-meter batteries are one of those sprints.
They can be installed in months.
They deliver immediate benefits: lower bills, reduced emissions, stronger resilience.
They complement - not replace - the long-term projects still required.
The UK cannot afford to keep paying to waste wind power. By deploying behind-the-meter batteries now, households and businesses can unlock financial savings and carbon reductions almost immediately.
Frequently Asked Questions (FAQ)
What is wind curtailment?
Wind curtailment occurs when wind farms are asked to stop generating because the grid cannot absorb the electricity. Operators are paid to reduce output, and fossil plants are often brought online to cover demand.
How do behind-the-meter batteries save money?
They store electricity when it is cheap (overnight, or during high wind output) and discharge it when prices rise. This reduces household and business bills.
Are behind-the-meter batteries only for households?
No. Commercial and industrial (C&I) sites are an equally important market. Large-scale businesses can cut energy bills, reduce peak demand charges, and provide flexibility services to the grid.
How are BTM batteries different from grid-scale batteries?
Grid-scale batteries are connected directly to the transmission system. Behind-the-meter batteries operate on the consumer side of the meter, storing energy for the site they are installed at. When aggregated, they can also contribute to system-wide flexibility.
Can BTM batteries really make a difference nationally?
Yes. Estimates suggest over 100GW of potential capacity exists in the UK at the residential and C&I level. That is more than the total current peak demand of the grid.
Headlines recently revealed that UK households will see higher bills because wind farms are being paid to switch off.
This issue is known as wind curtailment. When the grid cannot absorb surplus electricity from wind farms, operators are paid to reduce output. To meet demand, gas-fired power stations are then brought online.
This double-payment system means:
Billpayers cover the cost of wasted wind generation.
Billpayers cover the cost of additional fossil fuel power.
Carbon emissions increase, despite the availability of clean energy.
It’s a system that makes little financial, environmental, or strategic sense.
Why the grid struggles
The UK’s electricity grid is outdated. Built in the mid-20th century, it was designed for centralised fossil fuel power plants, not for the dispersed, variable renewable generation we have today.
Transmission bottlenecks: Many wind farms are in remote coastal locations far from demand centres.
Limited flexibility: Balancing supply and demand requires rapid-response resources, which the grid currently lacks.
Slow upgrades: Grid expansion projects (new transmission lines, interconnectors, and grid-scale storage) are essential but take years, even decades, to complete.
While these long-term reinforcements are underway, households and businesses are left with the short-term consequence: higher bills and higher emissions.
The overlooked solution: Behind-the-meter batteries
While waiting for grid expansion, the UK is overlooking a solution that can be deployed in months, not decades: behind-the-meter battery storage.
Behind-the-meter (BTM) batteries are installed on the consumer side of the electricity meter. They store energy locally for households or businesses and can be aggregated into larger networks.
Key facts:
Over 100GW of potential capacity exists at residential and commercial & industrial (C&I) sites.
Installation time: as little as two months.
Function: capture surplus renewable electricity, store it, and release it when needed.
This is low-hanging fruit for the energy transition, yet the UK is barely harvesting it.
Immediate benefits
1. Lower bills
Batteries store cheap electricity when demand (and prices) are low and discharge during expensive peak hours. This reduces exposure to wholesale market volatility.
2. Grid relief
BTM batteries provide local flexibility, absorbing surplus energy and reducing transmission strain. This lowers curtailment costs.
3. Carbon savings
Every unit of stored renewable energy replaces fossil generation that would otherwise fill the gap, cutting emissions.
4. Resilience
Households and businesses gain backup capability during outages and protection from energy market shocks.
Why 2025 Matters
The UK energy debate often frames choices as binary:
Nuclear or renewables.
Hydrogen or batteries.
Transmission upgrades or distributed flexibility.
This framing is unhelpful. The reality is we need both long-term and short-term solutions.
Long-term: transmission reinforcement, offshore wind, interconnectors.
Short-term: behind-the-meter batteries, demand-side flexibility, local generation.
Ignoring what can be done in 2025 risks leaving households and businesses overexposed until 2040.
How behind-the-meter batteries work
The mechanics are simple:
Charge: absorb electricity when renewable output is high or prices are low.
Store: hold energy locally at homes, businesses, or industrial sites.
Discharge: release stored electricity during peak demand or grid stress.
Aggregate: link many small batteries to act as a virtual power plant.
This makes them an instantly deployable source of grid flexibility.
The scale of the impact
Wind curtailment is not a marginal issue. In 2023 alone, the UK spent . That figure is projected to rise as offshore wind capacity grows faster than grid upgrades.
Behind-the-meter storage offers a way to redirect that wasted energy into productive use.
Financial impact: A single household battery can cut electricity bills by hundreds of pounds per year. At scale, UK-wide savings could reach billions.
Carbon impact: Storing curtailed wind could prevent millions of tonnes of CO₂ emissions annually.
Resilience impact: Businesses gain continuity during supply shocks, while households are less exposed to price volatility.
Policy and market changes needed
Despite the benefits, behind-the-meter batteries remain underutilised. The barriers are policy, market design, and awareness, not technology.
Steps that could unlock adoption:
Incentives: grants, subsidies, or tax relief to reduce upfront costs.
Market reform: allowing aggregated batteries to participate in capacity and balancing markets.
Awareness campaigns: educating consumers and businesses on the financial and environmental benefits.
International examples show this is achievable:
In Germany, households are incentivised to pair solar with batteries.
In California, aggregated residential batteries already provide grid services.
The UK risks falling behind if it does not act.
Conclusion
The transition to net zero is a marathon, but that does not mean we cannot sprint certain stages. Behind-the-meter batteries are one of those sprints.
They can be installed in months.
They deliver immediate benefits: lower bills, reduced emissions, stronger resilience.
They complement - not replace - the long-term projects still required.
The UK cannot afford to keep paying to waste wind power. By deploying behind-the-meter batteries now, households and businesses can unlock financial savings and carbon reductions almost immediately.
Frequently Asked Questions (FAQ)
What is wind curtailment?
Wind curtailment occurs when wind farms are asked to stop generating because the grid cannot absorb the electricity. Operators are paid to reduce output, and fossil plants are often brought online to cover demand.
How do behind-the-meter batteries save money?
They store electricity when it is cheap (overnight, or during high wind output) and discharge it when prices rise. This reduces household and business bills.
Are behind-the-meter batteries only for households?
No. Commercial and industrial (C&I) sites are an equally important market. Large-scale businesses can cut energy bills, reduce peak demand charges, and provide flexibility services to the grid.
How are BTM batteries different from grid-scale batteries?
Grid-scale batteries are connected directly to the transmission system. Behind-the-meter batteries operate on the consumer side of the meter, storing energy for the site they are installed at. When aggregated, they can also contribute to system-wide flexibility.
Can BTM batteries really make a difference nationally?
Yes. Estimates suggest over 100GW of potential capacity exists in the UK at the residential and C&I level. That is more than the total current peak demand of the grid.
Headlines recently revealed that UK households will see higher bills because wind farms are being paid to switch off.
This issue is known as wind curtailment. When the grid cannot absorb surplus electricity from wind farms, operators are paid to reduce output. To meet demand, gas-fired power stations are then brought online.
This double-payment system means:
Billpayers cover the cost of wasted wind generation.
Billpayers cover the cost of additional fossil fuel power.
Carbon emissions increase, despite the availability of clean energy.
It’s a system that makes little financial, environmental, or strategic sense.
Why the grid struggles
The UK’s electricity grid is outdated. Built in the mid-20th century, it was designed for centralised fossil fuel power plants, not for the dispersed, variable renewable generation we have today.
Transmission bottlenecks: Many wind farms are in remote coastal locations far from demand centres.
Limited flexibility: Balancing supply and demand requires rapid-response resources, which the grid currently lacks.
Slow upgrades: Grid expansion projects (new transmission lines, interconnectors, and grid-scale storage) are essential but take years, even decades, to complete.
While these long-term reinforcements are underway, households and businesses are left with the short-term consequence: higher bills and higher emissions.
The overlooked solution: Behind-the-meter batteries
While waiting for grid expansion, the UK is overlooking a solution that can be deployed in months, not decades: behind-the-meter battery storage.
Behind-the-meter (BTM) batteries are installed on the consumer side of the electricity meter. They store energy locally for households or businesses and can be aggregated into larger networks.
Key facts:
Over 100GW of potential capacity exists at residential and commercial & industrial (C&I) sites.
Installation time: as little as two months.
Function: capture surplus renewable electricity, store it, and release it when needed.
This is low-hanging fruit for the energy transition, yet the UK is barely harvesting it.
Immediate benefits
1. Lower bills
Batteries store cheap electricity when demand (and prices) are low and discharge during expensive peak hours. This reduces exposure to wholesale market volatility.
2. Grid relief
BTM batteries provide local flexibility, absorbing surplus energy and reducing transmission strain. This lowers curtailment costs.
3. Carbon savings
Every unit of stored renewable energy replaces fossil generation that would otherwise fill the gap, cutting emissions.
4. Resilience
Households and businesses gain backup capability during outages and protection from energy market shocks.
Why 2025 Matters
The UK energy debate often frames choices as binary:
Nuclear or renewables.
Hydrogen or batteries.
Transmission upgrades or distributed flexibility.
This framing is unhelpful. The reality is we need both long-term and short-term solutions.
Long-term: transmission reinforcement, offshore wind, interconnectors.
Short-term: behind-the-meter batteries, demand-side flexibility, local generation.
Ignoring what can be done in 2025 risks leaving households and businesses overexposed until 2040.
How behind-the-meter batteries work
The mechanics are simple:
Charge: absorb electricity when renewable output is high or prices are low.
Store: hold energy locally at homes, businesses, or industrial sites.
Discharge: release stored electricity during peak demand or grid stress.
Aggregate: link many small batteries to act as a virtual power plant.
This makes them an instantly deployable source of grid flexibility.
The scale of the impact
Wind curtailment is not a marginal issue. In 2023 alone, the UK spent . That figure is projected to rise as offshore wind capacity grows faster than grid upgrades.
Behind-the-meter storage offers a way to redirect that wasted energy into productive use.
Financial impact: A single household battery can cut electricity bills by hundreds of pounds per year. At scale, UK-wide savings could reach billions.
Carbon impact: Storing curtailed wind could prevent millions of tonnes of CO₂ emissions annually.
Resilience impact: Businesses gain continuity during supply shocks, while households are less exposed to price volatility.
Policy and market changes needed
Despite the benefits, behind-the-meter batteries remain underutilised. The barriers are policy, market design, and awareness, not technology.
Steps that could unlock adoption:
Incentives: grants, subsidies, or tax relief to reduce upfront costs.
Market reform: allowing aggregated batteries to participate in capacity and balancing markets.
Awareness campaigns: educating consumers and businesses on the financial and environmental benefits.
International examples show this is achievable:
In Germany, households are incentivised to pair solar with batteries.
In California, aggregated residential batteries already provide grid services.
The UK risks falling behind if it does not act.
Conclusion
The transition to net zero is a marathon, but that does not mean we cannot sprint certain stages. Behind-the-meter batteries are one of those sprints.
They can be installed in months.
They deliver immediate benefits: lower bills, reduced emissions, stronger resilience.
They complement - not replace - the long-term projects still required.
The UK cannot afford to keep paying to waste wind power. By deploying behind-the-meter batteries now, households and businesses can unlock financial savings and carbon reductions almost immediately.
Frequently Asked Questions (FAQ)
What is wind curtailment?
Wind curtailment occurs when wind farms are asked to stop generating because the grid cannot absorb the electricity. Operators are paid to reduce output, and fossil plants are often brought online to cover demand.
How do behind-the-meter batteries save money?
They store electricity when it is cheap (overnight, or during high wind output) and discharge it when prices rise. This reduces household and business bills.
Are behind-the-meter batteries only for households?
No. Commercial and industrial (C&I) sites are an equally important market. Large-scale businesses can cut energy bills, reduce peak demand charges, and provide flexibility services to the grid.
How are BTM batteries different from grid-scale batteries?
Grid-scale batteries are connected directly to the transmission system. Behind-the-meter batteries operate on the consumer side of the meter, storing energy for the site they are installed at. When aggregated, they can also contribute to system-wide flexibility.
Can BTM batteries really make a difference nationally?
Yes. Estimates suggest over 100GW of potential capacity exists in the UK at the residential and C&I level. That is more than the total current peak demand of the grid.
