£36.7 million to deliver net zero energy networks for consumers

Twenty-five projects have been successful in securing funding in cycle four of the Ofgem Strategic Innovation Fund, delivered by Innovate UK.

The funding has been awarded to:

  • five beta projects (£31.6 million)
  • seven alpha projects (£3.3 million)
  • 13 discovery projects (£1.8 million)

Successful beta demonstrators

Alongside the successful discovery and alpha projects, five large scale beta demonstrators were funded in cycle four.

These multi-million-pound real-world projects aim to turn their innovative solutions into new products and services that will be integrated into the daily operations of Britain’s energy networks.

Whole system network planning

Scottish and Southern Electricity Networks’ (SSEN) Revisiting and Evaluating Environmental Inputs on Line Ratings (REVISE), will deliver a new Energy Networks Association Technical Recommendation, replacing current outdated methodology.

With renewable generation expanding at unprecedented speed, transmission networks are increasingly constrained by system capacity.

REVISE combines high-resolution weather topographic data with advanced system-modelling techniques and physical validation to ensure a more accurate, future-ready approach to overhead line rating.

Process and market approaches

The Smarter Network UpGrades (SNUG) project, is looking at how energy efficiency retrofits represent an opportunity for disadvantaged households to participate in the energy transition.

SNUG, led by UK Power Networks, will develop novel commercial models and coordinated market approaches to enable social landlords to participate in flexibility markets through bespoke contractual frameworks.

Energy efficiency will optimise electricity network use in constrained areas in preparation for heat pump roll out in efficient homes rather than poorly insulated ones to:

  • incentivise use of energy efficiency
  • unlock consumer benefits
  • facilitate flexibility participation of ‘hard-to-reach’ customers at scale

Grid expansion delivery

Three more betas are addressing how we can use novel technology and processes to deliver grid expansion in ways that enhance public support and deliver wider local and environmental benefits.

Nature4Networks

Led by SSEN, Nature4Networks is pioneering real-world demonstrators that prove Nature-based-Solutions (NbS) can meet engineering needs while delivering climate resilience, biodiversity gains, and community benefits.

With growing momentum and regulatory support, the next phase will trial scalable NbS on live assets, develop funding models, and embed nature into infrastructure planning.

By leveraging utility-owned land and aligning with stakeholders, from regulators to local authorities, this initiative will also explore how coordinated, landscape-scale investments can unlock shared value.

Pathways to 2050

Another SSEN-led innovation project, Pathways to 2050, is creating a new, consumer-centric approach to planning and delivering low-voltage network upgrades, to support a just and efficient transition.

Using existing datasets, digital models and automated ‘scorecards’ for every substation, Pathways to 2050 will forecast demand growth, prioritise investment and cluster works for efficiency.

Local Pathways Plans will show when and where upgrades or flexibility is needed, helping communities:

  • understand and shape decisions
  • speed up EV and heat-pump connections
  • cut costs
  • ensure every consumer can decarbonise fairly

Wayl-Ease

Gaining consent from landowners to install, maintain, and upgrade the network is essential for network operators. Current complexities in securing consents can mean significant delays in vital work.

By creating a novel, data-led process allowing landowners to self-serve, UK Power Network’s Wayl-Ease, will create a digital platform that simplifies wayleave agreements using artificial intelligence (AI) and geospatial mapping.

By facilitating improved planning, faster network transformation and more informed customers, Wayl-Ease will support timely infrastructure expansion aligned with local priorities.

Cycle four projects

These projects are just a sample of the transformational innovation funded in cycle four. See the further information section for the full list including partners and funding.

Cleaner, more affordable energy system

Jodie Giles, Deputy Director of Ofgem Strategic Innovation Fund at Innovate UK, said:

This significant investment in energy network innovation will help us deliver a world-leading energy system that underpins a better future. The projects we fund today will deliver a cleaner, more affordable energy system that critically enables us to address climate change.

Many of the projects we fund include small and medium enterprises (SMEs) whose growth supports the UK economy. These collaborations with large network companies will deliver jobs and help the massive societal shifts in how we use and generate energy for our homes, businesses, industry, and transport.

Ultimately, it’s about our future, and putting the people who use and pay for our energy system right at the centre. Customers are at the forefront of our funding decisions, and all SIF projects must benefit energy bill payers long term.

Progress towards net zero

Marzia Zafar, Deputy Director for Digitalisation and Innovation at Ofgem, said:

Ofgem is committed to creating clear pathways for innovation across the energy sector, supporting projects that will accelerate progress towards net zero, strengthen GB’s energy independence, and deliver a stable energy system.

The innovation on show with these latest SIF projects is hugely exciting and has the potential to help deliver these goals. I’m looking forward to watching them develop and seeing the value they can bring for consumers.

 

Further information

Ofgem SIF: Cycle four beta, summary of projects approved

Round three, challenge one: Whole system network planning and utilisation to facilitate faster and cheaper network transformation and asset rollout

Revisiting and Evaluating Environmental Inputs on Line Ratings (REVISE)

Combining high-resolution weather topographic data with advanced system-modelling techniques and physical validation, to deliver a new Energy Networks Association Technical Recommendation.

Ensuring a more accurate, future-ready approach to overhead line rating.

SIF Funding award: £5,892,440

Lead network type: Electricity transmission

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • National Electricity System Operator
  • Met Office
  • University Of Strathclyde
  • National Grid Electricity Transmission
  • Energyline
  • SP Transmission

Round three, challenge two: Novel technical, process and market approaches to deliver an equitable and secure net zero power system

Smarter Network UpGrades (SNUG)

Developing novel commercial models and coordinated market approaches to enable Social Landlords to participate in flexibility markets through bespoke contractual frameworks.

SIF Funding award: £4,435,203

Lead network type: Electricity distribution

Project partners:

  • UK Power Networks (lead)
  • University of Strathclyde
  • Northern Powergrid (Northeast)
  • Centre For Sustainable Energy
  • Sia Partners UK

Round five, challenge four: Consumer-centric grid expansion

Nature4Networks

Next phase trials of scalable nature-based-solutions (NbS) on live assets, to develop funding models, and embed nature into infrastructure planning.

Unlocking shared value, delivering climate resilience, biodiversity gains, and community benefits.

SIF Funding award: £7,892,388

Lead network type: Electricity distribution

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • Frontier Economics
  • Gutteridge Haskins & Davey
  • Great Yellow
  • Guidehouse Europe
  • James Hutton
Pathways to 2050

Creating a new consumer-centric approach to planning and delivering low-voltage network upgrades.

Using existing datasets, digital models and automated ‘scorecards’ for every substation, to forecast demand growth, prioritise investment and cluster works for efficiency.

SIF Funding award: £9,935,676

Lead network type: Electricity distribution

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • Faculty Science
  • Low Carbon Hub IPS
  • James Hutton
  • Energy Systems Catapult
  • Sia Partners UK
  • Industrial And Financial Systems, IFS UK
  • NFU Scotland
Wayl-Ease

Gaining consent from landowners to install, maintain, and upgrade the network is essential for network operators.

Wayl-Ease proposes to create a digital platform that simplifies wayleave agreements using AI and geospatial mapping.

SIF Funding award: £3,481,350

Lead network type: Electricity distribution

Project partners:

  • UK Power Networks (lead)
  • Digital Catapult Services
  • Community Energy South
  • Tata Consultancy Services

Ofgem SIF: Cycle four alpha, summary of projects approved

Round four, challenge one: Faster network development

VOLT

Working to develop and validate how multi-vector microgrids can help industrial and commercial sites decarbonise, improve resilience, and provide flexibility.

Delivering scalable microgrid blueprints and operational processes aligned with national and regional strategies.

SIF Funding award: £496,123

Lead network type: Electricity distribution

Project partners:

  • Northern Powergrid (Lead)
  • EDF Energy R&D UK Centre
  • Wales & West Utilities
  • Lane Clark & Peacock
  • Pulsant
  • Newcastle University
  • Northern Gas Networks

Round four, challenge three: Embedding resilience

Smart Hydrogen and Resilient Energy Decarbonisation (SHARED)

Exploring the potential of low-cost hydrogen production and storage as a solution to improve the resilience of worst served customer communities.

The project will assess how effective this approach could be and identify the specific needs of rural communities.

SIF Funding award: £499,526

Lead network type: Electricity distribution

Project partners:

  • UK Power Networks (lead)
  • Frazer-Nash Consultancy
  • The First Element Group

Round four, challenge four: Accelerating towards net zero energy networks

Optimisation and Diagnostics for Innovative Networks (ODIN)

Capturing and analysing live operational data to detect early signs of wear, thermal imbalance, and performance loss.

Enabling predictive, data-driven maintenance to minimise outages, extend asset life, and enhance overall network reliability.

SIF Funding award: £455,450

Lead network type: Electricity transmission

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • Ross Robotics

Round five, challenge three: High-energy demand point integration

Future Fleet

Developing a geospatially informed framework combining fleet archetypes, smart energy schemes, and innovative business models.

Providing networks and logistics operators with actionable strategies for scalable, affordable, and grid-friendly freight electrification.

SIF Funding award: £499,815

Lead network type: Electricity distribution

Project partners:

  • UK Power Networks (lead)
  • Voltempo Group
  • Maritime Transport
  • Energy Systems Catapult
  • Baringa Partners
  • Voltloader

Round five, challenge four: Consumer-centric grid expansion

HVDC Wind Connect

Integrating offshore wind into the energy system by developing and demonstrating novel ‘rigid’ and ‘hybrid’ meshed HVDC systems.

Addressing key technical challenges including system control and protection strategies, modular offshore platform designs, and dynamic rating approaches for cables.

SIF Funding award: £499,961

Lead network type: Electricity transmission

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • Carbon Trust Advisory
  • WindGrid
Power wheels

Looking at harnessing over 10 GW of flexibility from Motability’s growing electric vehicle fleet.

Exploring smart charging and bidirectional charging to create a virtual power plant and safeguard households reliant on medical equipment during outages.

SIF Funding award: £490,330

Lead network type: Electricity distribution

Project partners:

  • Northern Powergrid (lead)
  • Motability Operations
  • Centre For Energy Equality
  • Energy Systems Catapult
  • Energy Innovation Centre

Round five, challenge six: Green Gas

Hydrogen-Enhanced Biomethane for Energy System Resilience

Using biomethanisation, injecting hydrogen to convert additional CO2 within digesters, to boost biomethane output dynamically and support network balancing.

Operational and regulatory frameworks will also be assessed to enable wider adoption.

SIF Funding award: £371,186

Lead network type: Gas distribution

Project partners:

  • Wales & West Utilities (lead)
  • Hydrostar Europe
  • Dwr Cymru Cyfyngedig

Ofgem SIF: Cycle four discovery, summary of projects approved

Round five, challenge one: Advanced energy transmission and networks

Superconducting Fault Current Limiters Potential to Limit Reactor Implementation Within DC Network Topologies (SPRINT)

Aims to enhance the protection and efficiency of high voltage direct current (HVDC) networks by integrating superconducting fault current limiters (SFCLs).

By leveraging SFCL technology, the project aims to:

  • reduce fault current peaks
  • lower energy dissipation
  • improve system stability

SIF Funding award: £147,254

Lead network type: Electricity transmission

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • SuperGrid institute
WPT for Grid

Investigating the technical feasibility, adoption barriers, and cost-benefit implications in the use of wireless power transmission (WPT).

Enabling quicker, more-flexible grid connections and overcome delays associated with installing traditional cabled infrastructure.

SIF Funding award: £145,118

Lead network type: Electricity distribution

Project partners:

  • National Grid (lead)
  • National Grid Electricity Transmission
  • Space Solar Engineering
  • National Grid Partners

Round five, challenge three: High-energy demand point integration

Forecasting & Planning Regional Digital Infrastructure (FPRDI)

Developing a spatially integrated forecasting tool to help electricity networks anticipate the location, timing, and scale of future medium and large data centre demand.

The tool will integrate geospatial analytics, AI, grid connection, and planning data to support proactive investment and anticipatory reinforcement and will align with planning workflows and open data platforms.

SIF Funding award: £134,320

Lead network type: Electricity distribution

Project partners:

  • Northern PowerGrid (lead)
  • Jacobs UK

Round five, challenge four: Consumer-centric grid expansion

CREOS-OUT

Creosote is a tar-based wood preservative used to protect utility poles, but it is also an environmental contaminant that can leach into soil and water, posing serious health and ecological risks.

CREOS-OUT explores the natural enzymatic capabilities of certain microbes to break down creosote contaminants.

Offering an eco-friendly alternative to costly incineration, for safer reuse of infrastructure while supporting sustainable grid expansion and reducing public and environmental risks.

SIF Funding award: £137,020

Lead network type: Electricity distribution

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • University of Strathclyde
  • James Hutton
Demand Insights for Metered Enterprises (DIME)

Tackling a critical data gap for small and medium-sized enterprises (SMEs) with non-half-hourly metering, particularly in high street areas.

DIME uses alternative data sources and machine learning to infer business types and create accurate demand profiles to support better network planning, cost savings through efficient reinforcement, and faster deployment of low-carbon technologies.

SIF Funding award: £146,426

Lead network type: Electricity distribution

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • Frontier Economics
  • Southampton City Council
  • CGI IT UK
Grounds for Change

Britain’s race to electrify our transport and heat is reshaping every street, yet open trenches slow the journey, increase costs and disrupt the lives of millions.

Grounds for Change will investigate precise slot cutting, directional drilling, and innovative onsite spoil recycling to reduce waste and restore sites faster.

This will result in quieter, cleaner, and more affordable works, with less disruption for everyone.

SIF Funding award: £94,125

Lead network type: Electricity distribution

Project partners:

  • Scottish and Southern Electricity Networks (lead)
  • Energy Innovation Centre
  • Southampton City Council
Social Virtual Power Plant (Social VPP)

Will empower vulnerable and fuel-poor households to actively participate in the energy transition.

By combining community-led investment with smart flexibility software, the project aggregates household batteries and demand response to lower bills, reduce carbon emissions, and strengthen grid resilience.

The discovery phase will assess technical, financial, and social feasibility, creating a replicable pathway for consumer-centric grid expansion that delivers operational benefits for electricity networks and fairer outcomes for households.

SIF Funding award: £149,924

Lead network type: Electricity distribution

Project partners:

  • Northern Powergrid (lead)
  • Centre for Energy Equality
  • Lane, Clark & Peacock

Round five, challenge five: Enhanced system visibility and control

Smart Open Load Visibility Exchange (SOLVE)

Electricity networks face new challenges from electric vehicles, heat pumps and solar. These low-carbon technologies are vital for net zero but can strain local grids. High voltages waste solar energy, while low voltages trip EV chargers.

Project SOLVE builds on Ofgem’s and NESO’s innovation programmes, using open standards and smart meter data to provide real-time visibility of low-voltage networks.

By combining this with real-time, appliance-level forecasting, SOLVE enables networks to predict local demand and flexibility, plan ahead, and make better use of existing assets.

SIF Funding award: £148,911

Lead network type: Electricity distribution

Project partners:

  • Northern Powergrid (lead)
  • EDF Energy R&D UK Centre
  • Green Energy Options
SwitchTwin

Inverter-based resources (IBRs) are vital for network operations, but their power electronics (PEs) present challenges for grid resilience and capacity utilisation due to unpredictable degradation.

This causes operators to under-utilise thermal capacity, leading to inefficiencies and premature replacements.

By combining advanced sensing technologies with AI/ML-driven digital twin analytics, operators can enhance asset management strategies and provide better insights on the condition of these assets.

This will save costs for the network and consumers.

SIF Funding award: £149,234

Lead network type: Electricity transmission

Project partners:

  • National Grid (lead)
  • The University of Manchester
  • Frazer-Nash Consultancy

Round five, challenge six: Green gas

BioCapMap

Will develop a digital, self-service tool that helps developers identify optimal gas network connection points, the first of kind to solve this gap in the connections planning process.

SIF Funding award: £145,108

Lead network type: Gas distribution

Project partners:

  • Cadent Gas (lead)
  • Bohr
  • Energy Systems Catapult
Clean Green

Identifying alternative green enrichment gases to fossil Propane and considering how improved measurement technology can inform network intelligence to optimise Biomethane injection.

SIF Funding award: £138,033

Lead network type: Gas distribution

Project partners:

  • Cadent Gas (lead)
  • Bohr
  • Mace Consult
Renewable Energy Harvest

Unlocking the untapped power of Britain’s countryside by turning farm, food, and forestry residues into clean, flexible green gas.

By combining biomethane and syngas production with advanced mapping and forecasting tools, the project will identify where rural resources can best connect into the gas network.

This innovation supports a fair, low-carbon transition, cutting emissions, reducing costs, and keeping energy value in local communities.

SIF Funding award: £149,267

Lead network type: Gas distribution

Project partners:

  • Northern Gas Networks (lead)
  • Centre For Energy Equality
  • Lane Clark & Peacock
  • Foodchains

Round five, challenge seven: Whole system optimisation

Quantum optimisation for future gas network design

This project is a first of its kind exploration into the applicability of quantum-inspired optimisation to improve and accelerate modelling of future gas transmission configurations and whole-systems planning.

It will assess use cases where these techniques can:

  • enhance scenario coverage
  • integrate additional energy vectors
  • address current computational limitations in modelling hydrogen and CO2 networks
  • improve granularity of planning outputs

SIF Funding award: £148,434

Lead network type: Gas transmission

Project partners:

  • National Gas (lead)
  • National Electricity System Operator
  • PA Consulting Services