Sherwood Power in China: Delivering Flexibility at the Heart of a Global Energy Transition
As global efforts to achieve net zero emissions accelerate, the need for reliable, flexible, and sustainable energy storage solutions has never been clearer. This month, our CEO Alex has travelled to China for a seven-week deployment, where Sherwood Power is working with local partners to deliver our first scalable 2 MWh energy storage project — a significant milestone in demonstrating our zero-emission compressed air and heat storage technology.
China’s 1192 Electricity Reform: A Landmark in Energy Market Modernisation
Our work in China coincides with the launch of the country’s latest and perhaps most consequential electricity policy to date, the “China 1192 Electricity Reform”, issued by the National Development and Reform Commission (NDRC) in September 2025.
Known officially as Document 1192, this reform seeks to modernise China’s power system to support its clean energy ambitions. The policy’s three central goals are:
- Promote renewable energy consumption – encouraging the local use of renewable power through improved price mechanisms.
- Encourage flexible resources – supporting the deployment of technologies such as energy storage to balance variable renewable generation.
- Transition to market-based pricing – replacing fixed tariffs with a more dynamic, competitive electricity market.
These changes recognise the increasing importance of flexibility in modern power systems. As renewable generation grows, so too does the need for intelligent, dispatchable energy storage that can smooth supply, reduce curtailment, and enhance reliability.
Why This Matters for the Global Energy Transition
China’s reform reflects a broader international trend — a structural shift towards market mechanisms that value flexibility, reliability, and efficiency alongside low-carbon generation. Energy storage is no longer an optional add-on; it is becoming a core enabler of decarbonised grids.
Sherwood Power’s technology directly addresses this need. Our zero-emission, recyclable storage system converts renewable electricity into compressed air and heat, storing energy efficiently for on-demand release. This allows businesses and industries to:
- Reduce energy costs by up to 40%.
- Increase energy security and resilience.
- Accelerate their net zero transition by using clean power reliably on site.
A Step Forward in a Global Journey
Our deployment in China is not only a demonstration of technical excellence but also a symbol of Sherwood Power’s growing international footprint. As policymakers and industry leaders worldwide recognise the importance of flexible, low-carbon systems, we are proud to be at the forefront of this evolution — offering scalable, 25-year-life, zero-emission storage that complements renewable generation.
This project marks an important chapter in our mission to enable businesses everywhere to generate, store, and use their own clean electricity — reliably, sustainably, and affordably.
⚡ Clean power. Stored smartly. Deployed globally.