Overview
Innovate UK and Ofgem’s Strategic Innovation Fund (SIF) Discovery Phase funds early-stage, collaborative projects that define and de-risk innovations to deliver a net zero energy system at lowest cost to consumers across GB energy networks.
Scope
Projects must target one Round 5 Innovation Challenge and shape a clear path from Discovery (problem definition and value case) to Alpha (live testing) and Beta (large-scale demonstration). Proposals must evidence consumer benefit, GB network relevance, and consider users, constraints, opportunities, and environmental impacts.
Key themes and topics
- Advanced energy transmission and networks: advanced semiconductors; superconducting transmission; wireless power transfer
- Dynamic modelling: grid simulation and optimisation; coordination and dispatch of flexible resources
- High energy demand point integration: demand forecasting and load growth; flexibility and efficiency strategies; accelerating connections and infrastructure
- Consumer-centric grid expansion: scalable technical solutions; community engagement and public acceptance
- Enhanced system visibility and control: real-time monitoring, AI diagnostics, automation; control room decision support and digital twins
- Green gas: blending and grid adaptation; system flexibility and balancing; compression, storage and injection management
- Whole system optimisation: whole-system modelling and scenarios; high-impact multivector configurations
- Cross-cutting expectations: customer focus and inclusion, scalability/replicability, data and digitalisation, shared learning, skills and capability, supply chain deliverability, and resilience.
Project duration
Start after 1 January 2026; end by 31 May 2026. Total duration up to 5 months. Projects must start on the first of a month.
Award value
Up to £150,000 SIF funding requested per Discovery project (ex VAT).
Funding rates
Third-party SIF funding on a no-subsidy basis. A compulsory private contribution of at least 10% of total project costs is required; higher match is viewed favourably. Monitoring and end-of-phase reporting apply. Progression to Alpha and Beta is by separate competitive application.
Eligibility criteria
- Lead: Ofgem-licensed energy network (gas distribution/transmission, electricity transmission/distribution, or ESO/NESO).
- Collaboration: at least one project partner; additional mandatory partner types vary by challenge/theme (e.g., research institutions, technology providers, consumer bodies).
- Work and deliverables: majority performed in the UK; partners responsible for at least one Discovery deliverable.
- Non-UK partners may participate with their own funding; their costs can count toward eligible project costs.
- Must comply with SIF Governance, no-subsidy requirements, sanctions, and ethical research standards. Resubmissions from prior SIF rounds require approval and material change.