Electricity SO Reform

The System Operator (SO) has a key role in planning and operating the electricity system. The role has already grown over recent years.

Through our Integrated Transmission and Regulation (ITPR) project, we have already made changes to the SO’s role to support more integrated and efficient planning and delivery of transmission investment. The SO has also taken on the role of the Electricity Market Reform (EMR) delivery body.

We think further change is needed to:

  1. The SO’s roles, to ensure it is well placed to both respond to and facilitate the transformation of the electricity system. These changes include both new roles for the SO and clarifying our expectations of how it will undertake existing roles.
  2. The structure of the SO, to mitigate conflicts of interest. We are proposing further separation of the SO within National Grid Group, with a level of independence and transparency to make industry confident in its impartiality.

Publications and updates

  • Published: 25th Apr 2018
  • Decisions
  • 2 Associated documents
The Authority's final decision in relation to the application for certification under the ownership unbundling requirements of the Third Package by DTP BBE Ltd.

  • Published: 28th Mar 2018
  • Decisions
  • 3 Associated documents
We have decided to modify NGET’s special licence conditions in order to introduce new reporting and incentive arrangements for the ESO from 2018/19 onwards.

  • Published: 14th Mar 2018
  • Consultations and responses
  • 4 Associated documents
This industry update follows on from our previous Future Arrangements for the Electricity SO: Informal Consultation on ESO Licence Drafting

  • Published: 7th Mar 2018
  • Open letters and correspondence
  • 1 Associated documents
We have responded to the Electricity System Operator’s Forward Plan consultation 2018-19.

  • Published: 23rd Feb 2018
  • Decisions
  • 3 Associated documents
This is our policy decision on a new regulatory and incentives framework the Electricity System Operator from April 2018.

  • Published: 23rd Feb 2018
  • Closed: 23rd Mar 2018
  • Consultations and responses
  • 6 Associated documents
Notice of statutory consultation on a proposal to modify the special conditions of the NGET’s licence.

  • Published: 1st Dec 2017
  • Closed: 26th Jan 2018
  • Consultations and responses
  • 10 Associated documents
This informal consultation seeks views on separation of National Grid’s electricity transmission licence into Transmission Owner and System Operator functions

  • Published: 3rd Aug 2017
  • Decisions, Reports and plans
  • 1 Associated documents
This document explains our response to the consultation on separating National Grid’s electricity system operator and electricity transmission owner functions.

  • Published: 11th Jul 2017
  • Guidance
  • 4 Associated documents
This Working Paper updates stakeholders on our latest thinking for the future electricity SO regulatory framework and incentives scheme.

  • Published: 7th Feb 2017
  • Closed: 10th Mar 2017
  • Consultations and responses
  • 23 Associated documents
This consultation launches our review of how the SO regulatory framework can be designed to support our proposals for the SOs future role and structure, which we published 12 January.