In a world first, Siemens is opening a £1.5m pilot project in Oxfordshire employing ammonia as a new form of energy storage.

The German industrial firm hopes to prove that ammonia can be as useful as more established storage technologies, such as lithium-ion batteries, when it comes to managing the variable output of wind and solar power.

The proof-of-concept facility at Harwell will turn electricity, water and air into ammonia without releasing carbon emissions. The ammonia is stored in a tank and later either burned to generate electricity, sold as a fuel for vehicles or for industrial purposes, such as refrigeration.

Ian Wilkinson, programme manager for Siemens’ green ammonia demonstrator, said: “Storage is recognised as the enabler for intermittent renewable power.

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