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Case

Grid balancing

Digitalisation

Electricity grid

+1

Transforming industrial and corporate energy flexibility into value

3 February 2026

Solution provider

Centrica Energy

Centrica Energy is a leading energy trading company operating out of eight offices across the globe to move energy from source to use. In short, we call ourselves Energy Movers by Nature – driven by the purpose of energising a greener, fairer future.

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Challenge

Surging volumes of renewable energy are driving volatility in the power system, with the fluctuating nature of wind and solar making the balance between supply and demand increasingly complex to strike. Today, that balance is often still delivered by deploying costly and carbon-intensive fossil generation; however, the demand for fast, scalable flexibility to prevent outages and ensure stability, especially during sudden forecast errors or extreme conditions, is growing exponentially.

Solution

This is where innovative partnerships and advanced optimisation of energy resources and flexibility come into play. By aggregating and steering distributed energy resources such as batteries, industrial loads, and renewable generation, it is possible to maintain grid balance in a cost- and carbon-efficient way.

Centrica Energy’s collaboration with Google in Belgium demonstrates this approach. Since 2020, the two companies have worked together to explore how Google’s data centers can support grid stability through on-site battery systems. Recently, this partnership expanded to include Google’s IT load-based demand response capability. The concept is simple yet powerful: when the Belgian grid is under pressure, Google shifts non-urgent computing tasks from its local data centre to other times and locations.

The application of optimisation algorithms integrates IT load demand response and battery storage capabilities hand in hand to reduce grid stress while maximising renewable energy use, with every activation transparently shared to reinforce a partnership built on trust and shared sustainability goals.

About the project

Centrica Energy’s partnership with Google in Belgium demonstrates how aggregating and optimising distributed energy resources — such as data centre battery systems and IT load demand response — can deliver grid flexibility, reduce reliance on fossil-fuelled peaker plants, and support the integration of renewable energy at scale.

Associated partners for the project include:

  • Google Belgium
  • Elia
Read more about the project

Result

As one of the largest electricity consumers in the Belgian grid, Google’s commitment to participating in national grid balancing and achieving carbon neutrality provides substantial benefits to the country’s energy system. In 2024, Google reduced its global data centre energy-related emissions by 12%, despite growing energy demand.

Traditional gas-fired peaker plants must remain online at a minimum load to ensure fast start‑up capability. This means they operate continuously at 30–50% of their maximum capacity, an inefficient regime that leads to unnecessary fuel consumption and avoidable CO₂ emissions.

By contrast, flexible capacity provided to the national grid can significantly reduce reliance on these traditional plants. A simple calculation shows that 1 MW of flexible power delivered to the National Grid Operator over a one‑year period can avoid approximately 1,600 tonnes of CO₂e emissions.

To put this into perspective: while total flexibility needs vary year to year, Belgium’s Capacity Remuneration Mechanism (CRM) secured 1,700 MW of capacity in its first auction for the 2025–26 delivery year. Even a fraction of that volume supplied flexibly represents a meaningful emissions reduction for the Belgian power system.

Analyses on the broader European energy system highlights the transformative potential of flexibility. By enabling real-time balancing of supply and demand, flexibility delivers significant socio-economic and environmental benefits. Studies estimate that by 2050, Europe could achieve annual socio-economic gains of €15.5 billion and reduce consumer costs by approximately €26 billion. Wholesale power prices could fall from €61/MWh to €55/MWh, while 40 million tons of CO₂ emissions could be abated as early as 2030.

Although these figures represent an EU-wide scenario, they underscore the societal value that flexibility can bring through lower costs, reduced emissions, and a more resilient, renewable-powered grid. Centrica Energy’s partnership with Google is a tangible example of how these benefits start at the local level, paving the way for a sustainable energy future. The partnership demonstrates how demand-side response can turn consumers into active participants, supporting grid stability and maximising renewable use. Grid stability can be achieved without relying on fossil fuels, but it requires a combination of cutting-edge optimisation with collaborative innovation to turn flexibility into resilience and helping Europe move closer to a greener, more sustainable energy future.

Australia & Denmark: A partnership for a resilient tomorrow

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