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Renault have confirmed that they will introduce a second generation Energy Recovery System in light of the new regulations in 2017.
The French supplier has made some steady gains since the introduction of the hybrid era in 2014, when they struggled quite a bit.
However the radical new approach is a hope of catching the dominant Mercedes.
"This year we want to confirm the turnaround of the situation on the engine," said managing director Cyril Abiteboul.
"Last year was really fantastic, and we need to confirm that."
"We are going to have an all-new architecture on the internal combustion engine, and also be introducing for the first time the second generation of Energy Recovery System."
Abiteboul says that there is a lot to consider when designing a brand new spec.
"There are an awful lot of collateral aspects to consider - like weight, packaging, cooling requirements, plus the intensity of the current that you can use in certain conditions, in particular climatic conditions," he said.
"There are certain things that look like they are secondary, but in F1 nothing is secondary."
"Once you have reached the top - which is an MGU that can deliver 120KW - you still need to think about these extra elements if you want make your way and reach the top as a team."
Renault will supply Red Bull and Toro Rosso with power units in 2017 alongiside the works team, however it is expected the Bed Bull and Toro Rosso power units will be branded TAG Heuer.
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