Asset pairing for integrated energy investment

Asset pairing sits at the core of the energy infrastructure bundling approach. Rather than assessing technologies in isolation, it considers how complementary assets can be combined to improve deliverability, financial viability, risk allocation, and alignment with Net Zero objectives.

Effective asset pairing brings together assets with complementary operational and commercial characteristics. For example, intermittent renewable generation such as solar PV or wind can be paired with Battery Energy Storage Systems (BESS) to manage variability, improve utilisation, reduce curtailment, and support access to additional revenue streams. Where appropriate, generation assets may also be paired with demand-side or enabling infrastructure, such as EV charging, heat networks, retrofit, or grid infrastructure.

From an investment perspective, asset pairing can support more resilient and financeable portfolios. Combining assets with different revenue profiles can enable revenue stacking, including power sales, energy savings, export income, capacity payments, flexibility services, or optimisation revenues. This can improve the overall investment case where individual assets may be too small, too risky, or insufficiently bankable on a standalone basis.

Asset pairing also supports better risk management. Pairing generation with storage, flexible demand, or demand reduction can help smooth operating profiles, improve revenue certainty, and reduce exposure to single-asset risks. For local authorities and combined authorities, this is particularly relevant where projects need to balance policy outcomes, public value, and investor requirements.

Guidance note: Bundling

This bundling guidance helps local and combined authorities understand how to combine energy projects into coordinated, investable portfolios. It explains how the guidance suite supports asset pairing, portfolio development, and retrofit integration, helping authorities standardise projects, manage risk, and develop propositions that are capable of attracting external finance.

Portfolio bridges: Onshore wind and solar PV with BESS

These two portfolio bridges examine the opportunities and challenges of combining onshore wind or solar PV with battery energy storage systems (BESS). They explore financial, investment, development, construction, and operational considerations, including shared infrastructure, revenue optimisation, reduced curtailment, grid considerations, and the potential risks and complexities associated with co-location.

Net Zero service playbook bundling guide

This bundling guide provides a stage-gated framework for developing portfolios of solar and wind projects from initial strategy through to financing, delivery, and operation. It sets out the activities, data, checks, and outputs required to assess potential bundles and determine whether projects should be combined, restructured, deferred, or excluded.

Bundling guides: Onshore wind and solar PV with BESS

These two bundling guides provide a practical process for developing onshore wind or solar PV alongside battery energy storage systems (BESS) into investable bundles. They help local and combined authorities assess policy, technical, financial, and commercial considerations, guiding projects from early strategy and feasibility through to financing, delivery, and operation.

Retrofit integration guidance note

This guidance note explores how retrofit can be delivered and financed at scale. It covers retrofit measures, market barriers, costs and funding, workforce and supply chain challenges, and place-based delivery, alongside how measures can be bundled and sequenced to improve affordability, energy efficiency, and successful implementation.

Asset pairing for integrated energy investment

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