Mr. Brian Kennedy:

I will circle back to an earlier question. The Deputy asked whether, if technologies advance, we should be cautious about locking into technologies. It is important to say, by way of context, that as we approach an electricity system that is 80% RES-E, the predominant cost of participation in that market will move away from fossil fuel generation into capital infrastructure. With long-duration energy storage, we are talking high capital expenditure and low operating expenses. The way that transpires for the investment community is that it needs to see certainty because the existing markets do not incentivise or pay for the long-run costs. They pay for the short-run costs like fuel and avoidable costs. The reason we are looking at this procurement framework is to provide that investment certainty out the distance, which is why GB is looking at 40 plus year contracts for investors to come back around and replace the technology here. I agree there has been historical nervousness about locking into technologies. However, the flip side of that is technologies will not get built because existing markets do not incentivise. They work to provide flexibility but maybe do not work to incentivise development of the right technologies for LDES.