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Businesses set to benefit from new ‘Smart Grid’, earning £100k per year from existing energy assets

npower has joined forces with Flexitricity to bring the benefits of the company’s ‘smart grid’ system to customers through the launch of the new SmartSTOR service. This will turn energy assets such as standby generators and electricity consuming equipment into direct revenue generators.

Flexitricity’s smart grid is the first, largest and most advanced smart grid system in the UK. It provides Short Term Operating Reserve (STOR) to the National Grid, which is a method of providing additional power during times of system stress from fast-acting generation or demand-reduction. npower’s SmartSTOR service will create revenue because National Grid pays businesses to have reserve power available on standby and makes further payments when this reserve electricity is required.

Signing up to SmartSTOR will also improve the reliability of a business’ assets because all assets connected to Flexitricity’s smart grid are monitored remotely and customers are informed immediately of any on-site concerns.

There are ‘green’ benefits too - businesses will be helping the UK meet its carbon emission targets, as using power from their assets will mean that the National Grid will not have to hold as many power stations in reserve. STOR arrangements will also enable the increased use of renewable energy as it helps balance out fluctuations by responding to variations in wind, wave, tidal and solar generation.

David Cockshott, director of industrial and commercial markets at npower, said: “We work closely with our industrial and commercial customers to help them manage the twin pressures of energy costs and carbon emissions - so helping them unlock revenue from their existing energy assets is the next logical step.

“We are the first energy supplier to offer this type of remotely operated service and it really is win-win for customers, providing them with opportunities to earn extra money and increase asset reliability, while reducing carbon emissions and risk in the national electricity system. In fact, it’s estimated that SmartSTOR will generate up to £15 million gross revenue for our customers and save between 90,000 and 225,000 tonnes of CO2 per annum.”

Commenting on today’s announcement, Ron Ramage, chief executive officer of Flexitricity, said: “Flexitricity is delighted to be extending the reach of its smart grid system through this partnership, it demonstrates our ambition to work with innovative companies like npower.”

SmartSTOR is the latest addition to npower’s range of innovative services to help businesses meet the requirements of their energy risk management. For further information on npower’s SmartSTOR product, please visit npower.com.