Next steps

The fast-accelerating field of decentralised local energy, flexibility markets and platforms and the development of new methods of system operation introduce a plethora of challenges, many of which are at early stages of understanding.

A distinct lack of visibility of low-carbon energy assets (only up to 40% of new small-scale energy assets are currently visible to networks) has prompted the government to investigate a programme of automatic asset registration to improve visibility of small-scale assets on the system.

A review of electricity market arrangements needed to deliver a fully-decarbonised and cost-effective electricity system by 2035, also led by the government, is exploring the need for different electricity prices in different parts of the country to better reflect the needs of flexibility and lower costs for consumers. According to Luff, it is vital that the work on local flexibility markets is carried out in tandem with this national-level approach to fully realise the benefits.

‘No one left behind’ has become a key motto as DNOs work to ensure the decarbonised future is fair and equitable for all and that interventions benefit vulnerable or low-income households, not just the wealthy.

SSEN recently led development of the HOMEFlex code of conduct, a voluntary compliance scheme created to ensure companies offering services in the domestic energy flexibility market are fair and inclusive. Multiple companies taking part in National Grid ESO’s Demand Flexibility Service over the winter signed up to the scheme.

Achieving decarbonisation goals demands continued and concerted efforts in these and other areas, helping advance flexibility and permanently lowering emissions at a local and national scale.