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<p>The Department recognises the potential role that cost effective energy storage
could play in contributing to a resilient, affordable and low carbon energy system
in the UK, alongside other forms of flexibility such as interconnection and demand-side
response. As such, we are investigating the potential barriers to the deployment of
energy storage, including Compressed Air Energy Storage (CAES). Our approach to storage
policy is technology neutral; however, we recognise the potential for CAES in the
UK, and we are in regular dialogue with prospective developers of new CAES projects.</p>
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