Carlsberg Britvic, one of the UK’s largest beverage manufacturers, enrolled in the Capacity Market on October 1, 2025, committing to make electricity available to the grid during power emergencies. The participation demonstrates how large-scale food and beverage producers are supporting grid stability while generating revenue through demand-side flexibility — programs that help balance electricity supply as renewable energy sources increasingly replace conventional power stations.
“When Enel X first introduced us to the Capacity Market, the motivation for businesses like ours to be ‘good grid citizens’ was clear,” said Nigel Paine, vice president of production at Carlsberg Britvic. “Our commitment to give back energy to the grid, should the need arise, is a small sacrifice to make if it means we all benefit from a more stable supply of electricity.”
The UK government’s Clean Power 2030 Action Plan targets 25-45 GW of within-day flexibility by 2030 — roughly double current levels — with longer-term targets of 51-66 GW by 2030, a two to three-fold increase from the approximately 24 GW installed today. Large industrial users including food and beverage manufacturers possess substantial untapped flexibility capacity through equipment including heating, ventilation and air conditioning systems, compressors, refrigeration, and on-site power generation that can support grid stability with minimal production disruption.
Grid flexibility revenue opportunities
Flexibility schemes typically pay participants based on commitment levels, providing additional revenue even when flexible resources are not called upon. For food and beverage manufacturers operating on tight profit margins with minimal tolerance for downtime, the financial opportunity is compelling while supporting grid objectives.
“Most food and drink manufacturers work with the tightest of margins, so this income makes the Capacity Market a very compelling proposition for the sector,” Paine explained. The revenue opportunity enables cost offset against production expenses or capital reinvestment within operations.
Beyond immediate financial benefits, participation in flexibility programs reduces the risk of power outages that could compromise perishable goods production and disrupt customer orders. Capacity Market participants receive a four-hour warning of potential grid stress in advance, allowing for proactive adjustments to operations before grid stability is compromised.
“As an organisation with significant energy needs, we view the electricity grid as business-critical infrastructure that needs to be protected,” Paine said. “Working in partnership with the grid is a mutually beneficial arrangement that just makes good business sense.”
Supporting renewable energy integration
Electricity grid stability becomes increasingly challenging as renewable energy sources replace conventional power stations, given the variable and less predictable output from wind and solar compared to gas, coal, or nuclear plants. Demand-side flexibility enables the grid to adapt to renewable energy’s variability while supporting acceleration of clean energy projects.
Rather than increasing output from traditional centralized power stations or constructing new infrastructure, distributed flexibility resources maintain balance across the network more efficiently. The approach avoids greenhouse gas emissions that centralized power plants would generate over their operational lifetimes, supporting decarbonization pathways to net zero.
Food and beverage manufacturing facilities represent precisely the scale and asset portfolio required for meaningful grid support — large-scale operations with significant energy consumption patterns that can be adjusted without compromising product quality or delivery commitments.
How food manufacturer flexibility works in practice
Carlsberg Britvic’s participation exemplifies practical implementation. The company identified flexible capacity within production operations including equipment switchoffs or process rescheduling that can temporarily reduce grid demand without disrupting perishable goods production or customer fulfillment.
“By temporarily switching off machinery or rescheduling a production process, Carlsberg Britvic can help to relieve pressure on the electricity system, which reduces the risk of an interruption to our own power supply,” Paine explained. Working collectively through a virtual power plant aggregating multiple organizations’ flexible resources, small adjustments to consumption deliver meaningful grid stability impacts.
Enel X, the energy flexibility provider managing Carlsberg Britvic’s participation, works with organizations to identify untapped flexibility across manufacturing operations. Combined heat and power systems, battery energy storage systems, and process-flexible equipment represent common flexibility sources in food and beverage manufacturing.
Commercial and industrial role in energy transition
The shift toward decentralized, digitized, and decarbonized electricity systems creates opportunities for commercially sophisticated energy users prepared to adopt flexible consumption approaches. Food and beverage manufacturers possess assets, scale, and operational sophistication to deliver meaningful system services while maintaining production continuity.
“Commercial and industrial energy users such as Carlsberg Britvic have a crucial role to play in Britain’s energy future,” according to the analysis. “Flexibility is one of the UK’s largely untapped strengths. We already have the businesses, the scale, the assets and the processes in place to deliver meaningful system services today.”
Current installed flexibility capacity of approximately 24 GW remains substantially below government targets, indicating substantial potential for expanded manufacturer participation across the sector. Scaling flexibility provision at pace will be essential if the UK is to achieve 2030 sustainability targets and support accelerating renewable energy deployment.
“Ultimately, we see our support of the grid as an investment in our future,” Paine concluded. “As we grow, we require certainty around grid connections and access to clean energy to power new facilities, and new jobs, around the country. A strong grid is a cornerstone of a strong economy – we’re proud to play our part in defending the UK’s energy security.”
