Northern Powergrid Secures Funding To Boost Grid Resilience

23 Feb 2026

Northern Powergrid has announced a significant funding boost from Ofgem’s Strategic Innovation Fund (SIF) for two pioneering innovation projects, each helping to advance the development of a smarter, more resilient energy system.

The initiatives, ‘Project VOLT’ and ‘Power Wheels’ demonstrate how innovative technology, new approaches and customer participation are supporting the UK’s transition to clean power.

As the energy landscape evolves across the UK, flexibility is becoming increasingly important for the balancing and resilience of the grid.

Duncan Oliphant at Northern Powergrid said:

Flexibility is an innovation priority for us to drive meaningful change in the energy sector towards a more resilient and reliable energy system, and it is an important part of both projects that we are driving forward.

Project VOLT is focused on how microgrids that combine renewables, storage, hydrogen and smart controls can provide cleaner, and more reliable power for major energy users and critical infrastructure sites, with trials taking place at sites including Port of Tyne and Newcastle Airport.

This project has been awarded £500,000 to move to its Proof-of-Concept phase where the project will have its feasibility validated.

Power Wheels is also moving to its Proof-of-Concept phase and has been awarded £490,000 towards its further development.

This project is assessing how electric vehicles (EVs) on the Motability Scheme could lower bills and enhance resilience for users.

By enabling these EVs to store and share electricity, the project is demonstrating how these vehicles could work together as a virtual power plant.

Importantly, this could help users manage energy costs and provide a backup power supply, as well as extra peace of mind for people with health conditions that can make them more vulnerable during a power cut.

Andrew Miller, CEO of Motability Operations said:

The Motability Scheme provides people with life?changing freedom, and a key part of our work is ensuring the transition to EVs continues to protect that independence.

Many of our customers are on lower incomes and face significantly greater medical risks during power interruptions.

Projects like Power Wheels allow us to explore how EVs could support disabled drivers beyond mobility needs alone, from improving resilience to managing energy costs, while keeping vehicle choice and accessibility front and centre.