Our latest report | Regional flexibility markets and the development of an efficient low carbon energy system

Our latest report | Regional flexibility markets and the development of an efficient low carbon energy system

The third paper in a series exploring the evolution of regional flexibility markets and how they can support the development of an efficient low carbon energy system has just been launched.

The paper, entitled Future Networks – is jointly prepared by Shakespeare Martineau, Cornwall Insight and Complete Strategy.

The DSO Challenge

The transition from Distribution Network Operator (DNO) to Distribution System Operator (DSO), where electricity is actively managed at a distribution level, presents a new set of challenges for Ofgem. These challenges will come to a head in the next electricity distribution price control, ED2. ED2 will need to encourage continued progress in this area.

It appears that Ofgem are leaning toward an incremental change approach, led by companies and stakeholder engagement, rather than a radical change.

Companies will need to demonstrate strong progress towards a DSO model to avoid an intervention from Ofgem or BEIS.
This discussion paper builds on the previous issues of the Future Networks Series, which introduced the wider context and discussed flexibility markets.

Download the latest report to find out more or catch up on our previous issue where we set the scene on exploring the evolution of regional flexibility markets and how they can support the development of an efficient, low carbon energy system.